Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1917-08-20
new WAR BILL
Will Bring IN
TWO BILLIONS
SurtaxeS Made to Fall Upon
Those Having $4,000 An
nuaIIy and More
WASHINGTON. n G. Aug. 3.

WASHINGTON. n c, Aug. q
Til" war tax OIL. under revision
sine" May -, was Ut INTO final form
to-day Tor Report t. the senate by the
fna!cc committee 1t provides for
approximately &9.Uu" 10000 in taxes
to meet war exI enses, but makes
no provision for further bond author
lZut,oN..
The bill was increased $l23.00o,000
over the total as it passed the house.
About 1872 10000" was added during
the last week because Of the latest
wa estimates. The final redraft will
hc presented TO the senate as a BIZ
rartisan measure Monday Senators
La Toilette. Gore and Thomas plan
separate report, advocating higher
tax levieS.
The new increase Of 1927 100000
over the committees original draft is
distributed approximately among the
following additional levieS:
On cOpOrate incomes, 1852 100000;
additional surfaces on individual in
comes OF $4,000 and over, $27,500,.
600; distilled spirits $95 900, 900; beer.
>l2,0. 200; wines, $l7,OO0,00O; war
excess profits, $5OUO,000; bank
checks, $2,OO0,0o0; floor or stock
taxes on sugar coffee, tea and CO.
Goa, $4,000, 600.
Additional taxes on incomes of cor
pOrations apply also to partnerships,
joint stock companies and associa-
tons, including life insurance COM
panies. Their normal income tax is
increased to per cent, per cent
more than the present law and 2 per
cent above the original house and
committee program.
Increased surtaXes fall entirely on
individuals having incomes of $751;
900 or above. They range from l per
cent on $4,000 incomes to a maxi.
mum OF 33 per cent on incomes in ex-
cess Of 100000.
An additional 81 per gallon tax is
imposed on distilled spirits withdrawn
from bond, except those used for in
dustrial purposes, increasing the tax
on distilled beverages to 1920 per
gallon as compared with the present
hibitory tax on grain, molasses and
other ingredients of whisky to stop
further manufacture also is retained.
Beer would be taxed SO per barrel,
double the present rate. Wines would
bear virtually treble their present
taxes. The house levy was only S. |
100000 on wines.
The 100000 increase on war ex-
cess profits was added by minor
changes in the schedule of such
taxes providing for a total revenue
of $52S,000,00O. The 100000 addi |
tiOnal from bank checks would make
$10,000,000 in all from that source. /!
The committee originally planned to
tax only checks of IS or more, but !
decided today to extend the one-cent |
rate to all checks.
The new floor or stock taxes on
sugar, tea, coffee and cocoa, at the +
same rates proposed in the new con-
taxes, are levied only on
wholesalers and retailers having
large accumulated supplies.
An important eleventh hour change |
was to apply the new one-cent bank |
check tax to checks of all amounts, |
raising about 100000 in all. The |
bill previously taxed only checks for
more than IS.
The committee also wrote in a new |
provision exempting from all postage
letters written by American soldiers |
and sailors in foreign lands and pro-
vided that the proposed new tax of !
l cent each on 25 cents paid for
transportating parcel post packages
shall not apply to packages weighing
less than four ounces.