Americus times-recorder. [volume] (Americus, Ga.) 1891-current, 1917-08-07
WAR TAX BILL IS
REP TED AFTER
| ONO CONFERENCE


by Chairman Simmons, who explained
that the Committees revision of the
House bill was on the principles OF
raising revenues with the least burden
upon the public A substitute report
with substitute bill is expected from
Senator LaFollette, Senator Gore and
Thomas also plan separate report.
The report defends the elimination OF
the so-called Lenroot surtax on in
comes of over $4,000 added in the
House, designed to raise $66,OOO,00O as
follows
I'm view of the fact that in addition
t. the large increase in the normal tax
and surtax upon incomes, the bill pro-
vides for large increase in the war
profits tax of corporations and partner
ships and includes individuals in the
scope of that tax, and in view of the
probability that it will be necessary
hereafter to further increase these
rates in order to provide for increased
war expenditures, your committee be-
Iieves that for the present it is mad
yisable to increase the surtax rates
beyond those proposed in the original
bill"
The House retroactive income taxes
on 1916 incomes, which would have
provided Sos, 100000 are eliminated
In recommending the graduated war
profits tax upon individuals as well as
corporations in lieu of the present 8
per cent excess profits law the com
mittee said its plan is similar to that
of European countries, where it has
had marked success.
The new tax of one cent for each 20
cents paid on parcels post packages
was said in the report to remove dis
elimination in favor of the railroads
and the parcels post.
The House five percent taxes upon
electricity, gas and local telephone
service were eliminated.
The report defends the elimination OF
the so-called Lenroot surtaxes on in
comes of over $4,000 added in the
House, designed to raise $66,000,000 as
follows;
I'm view Of the fact that in addition
to the large increase in the normal tax
and surtaxes upon incomes, the bill
provides for large increase in the
war profits tax Of corporations and
partnerships and includes individuals
in the scope of that tax, and in view of
the probability that it will be neces-
sary hereafter to further increase these
rates in order to provide for increased
war expenditures, our committee be-
lieves that for the present it is mad
visable to increase tax, which might
not be passed on to the purchaser, a
moderate excise tax upon the owners
of automobiles and motorcycles"
Declaring that the new tax on cab
arets and retention of taxes on other
amusement admissions is justifiable,
the report said the tax on moving pic
ture theatres charging less than %
cents has been eliminated
House taxes on club dues were elm
mated, the report said, because it was
difficult to reach clubs properly and at
the same time exempt those which
should not be taxed.
Most House stamp taxes. virtually
those of Spanish War days, the report
said, have been retained. The new one
cent stamp tax on all bank checks, 1t
was said was provided because pre-
valent in most belligerent countries
and because there is no good reason
why this source, which would yield a
substantial revenue, should be over
looked"
The House general 10 percent, tariff
levy. the committee declared would
have taxed nearly 1000 articles and
yield $2OOO0,OOO.
The committee, it was stated, sub
stituted for the House 10 per cent tariff
levy moderate, temporary excise tax
es' of one-half a cent per pound on
sugar, five cents on tea, two cents on
coffee, and from three to five cents on
cocoa.
The increase of IA cent pound in
second class mail rates and the five
percent net profits tax against pub
fishers on profits over $4,000 annually,
in lieu of the House zone rate in
crease, was recommended.
Striking out Of all insurance taxes
from the House bill was based upon the
belief that exercise taxes upon insur-
ance is a questionable principle and
Should be subjected to tax only as a