Atlanta semi-weekly journal. (Atlanta, Ga.) 1898-1920, 1917-09-14
INCREASED WAR TAX
BILL PASSED BY SENATE
Measure Now Goes to House,
Will Be Complete in
Fortnight

WASHINGTON, Sept. 1.-THE big
war tax bill was back today in the hands
lof the house following its passage by
the senate last night. The measure
passed the house May %, and now goes
to conference. The senate added more
than $5OOOO0, 900 to the bill.
1t is hoped That the differences be-
tween the two houses may be settled
within two weeks, after which the Dill
VIII be laid before President Wilson
for his signature.
The senate approved the bill, 90 to 4,
| the negative votes being cast by Senators
Borah. Gronna, La Toilette and Norris
The action came after the high tax group
had again sought to secure the adop-
| ton of Senator La Follette's substitute
| TO raise $4,000, 100000 more taxes. 1t was
! voted down, 60 to 10.
As the bill now stands 1t totals about
So, 400, 600, 00O against the S1,S67, STO,OoO
! in the house bill. OF the total SS42'-
| 200, 900 is to be raised by levies on in
! comes, corporate and individual, and ST.
| O6O. 0OO,O from war profits. Levies on
! liquor, tobacco and public utilities VIII
make up most Of the remainder.
The senate at the last minute struck
out all provision for consumption taxes
on sugar tea, coffee and cocoa, and the
special levies on publishers and postage
! increases. 1t also eliminted proposals
! for repeal of the sugar drawback" and
additional inheritance taxes. Provisions
for free transportation of letters from
American soldiers abroad and for l.
cent tax on parcel post packages were
retained.
With the war tax bill out of the way,
the senate today began consideration OF
the trading with enemy bill, already
passed by the house
Among the principal provisions writ
ten into the bill by the senate commerce
committee were those which would per-
NIT the abrC cation of contracts made
prior to Americas entrance into the war
and the insurance section which would
permit enemy-controlled fire insurance
companies to remain in operation under
certain restrictions, one of which would
prohibit the sending of funds out of this
country by them.
Because of differences between the
secretaries of the treasury and commerce
regarding the extent of the powers con-
ferred on them by the bill, the commit
tee amended it so that full administra-
tive authority Is placed in the president
Work on the sailors and soldiers in
surance bill continued in the house
| today with the Democratic leaders pre-
pared to resort to a special rule to end
debate and hasten final action on the
measure. 1t is hoped to pass the bill
before the close OF the days session.
Before the final vote, Representative
Adamson, of Georgia. in charge of the
bill, will attempt, at President Wilson's
request, to substitute a limit of $4,000
on optional insurance policies for the
| IS, 900 limit now in the measure.
WAR TAX BILL PASSED.
The war tax bill-the largest single
taxation measure in American history
was passed last night by the senate. 1t
provides for a levy somewhat under
| so, 400, 0OO, 900, as compared with the ST.
| 867, $4,000 proposed in the bill as it
passed the house May %.
The vote was SO to 4, Senators Borah,
Gronna, La Toilette and Norris being
recorded in opposition
Awaiting the senate in the final strug-
/ gle over war financial policies is the
| $11, 500 100000 credits bill, which passed
the house unanimously and upon which
work will be begun today by the senate
| finance committee.
OF the $4,000, 100000 new taxes pro-
vided in the tax bill for the duration
of the war, S842, 900 is to be taken
from incomes, corporate and individual,
and 81, 06O, 900, 900 from war profits. Most
| Of the remainder is levied on liquor, to-
haccos and public utilities.
The principal eleventh-hour actions of
the senate were elimina ton of all pro-
| visions for taxing publishers and in
creasing second-class periodical postage
rates and all consumption taxes on sugar,
| tea coffee and cocoa, the latter reduc-
ing the bill S86,000.000. The senate also
struck out the clause proposing repeal
of the drawback" or re-export allow
ance given sugar refiners and defeated
proposals to add inheritance taxes.
| In last effort of the high-tax group
| TO increase taxes, the senate rejected, SIS
to Is, the La Toilette substitute bill to
raise 50, 500 100000 more taxes. Those
supporting it were Brady. Borah. Gore,
Gronna, Hardwick. Hollis, Husting. john
son, of California; Jones, of Washington;
Kenyon. La Toilette, McNary. Reed and
Vardaman.
SECOND CLASS POSTAGE
A parliamentary snarl and deter
mined fight on the second-class pos
tage provisions furnished the most ex-
element. After the Mcclellan substi-
tute zone postage increase provision.
applying to publications sent beyond
800 miles, had been rejected, 40 to "a.
Senator Hardwick's substitute zone
plan, applicable to advertising portions
only, was beaten, As to 20. Senator
Mcclellan attempted to offer another
substitute with a maximum rate of
cents a pound instead of cents, but
Senator Salisbury, presiding, held that
the house zone provision had never
been formally eliminated. Then the
senate made sure of its determination
to eliminate all postage Increases and
special levies on publishers by adopt
ing Senator Weeks motion to strike
out the entire house clause, SO to 0.
The only postage features left in the
bill are provisions for free transporta-
ton of letters from American soldiers
abroad and for a cent stamp tax on
parcel post packages, raising about
1000 900.
The consumption taxes of half cent