Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1917-05-12
All Facing Ruin"

All Facing Ruin"
.ltacturCgs who would have to
pl. The increased excess profits tax.
dst.u'rs. brewers and soda fountain
interests affected by the higher rate
oo e.uolc and soft drinks, and to-
t... Wpauics hit by the tobacco
t.t tDld the Senate committee that
'b,t '..Ocd ruin If the bill went through
us rl,sontcd in the House. Nearly
trtr witness declared his particular
seemed to have been made
f. -'t for an unjust and exorbit-
The House Opposition
:. '." House, too, many9portions of
'lc N.Il were under fire, but the reply
" Democratic and Republican leaders
..'rr was that the money must
.r .,i and only high taxes could
I.a ll
N. thr excess profits. liquor, beer.
0r drlnks and tobacco schedules
us. Considered today by the Senate
.mm'tcc.
The Objections
.'iuns 20 the income taxes on
-.u.U ui,i donds were made by Paul j.
trI p. representing Bethlehem Steel
r. ..., hholdcrs; j. kratz of the Lacka-
atrH, steel Co and Edward Wakely
n. <,w Jersey Public Service Cor
r..u..u
do not oppose any scheme of
't. trihutton of these taxes, nor
H. ' uf liz tax burden, nor the sur
'u' said Mr.. Cravath. but an in
.om tax on stock dividends before
hu. conversion into cash is an I'M
lr md unequal distribution"
mpttou from income taxation of
sa. dividends of subsidiary corpora
'.l already taxed, was urged by the
Ll,N1wanna Company
E>tfi time was given by the commit
20. fur discussion of excess profits
'1N
ln ion Of good will in calculating
.t...I frr assessing the excess profits
'a. nN- proposed by Joseph s. Auer-
IHrE presenting the Woolworth Co.
1 >.W y ork. Chairman Simmons said
a.vI viii might be used toward arti-
lI ,-tlmatos of capital and thus de-
Hll rNluon and for that reason. he
.'Il '.uEress has so far refused to cs-
'Hutt. ,nod will as a part of corporate
.HHH| Nrtincial estimates also could
uNl, hc said. of the value of trade
mrrks
Limitation Of excess profits tax to
.'I'HI ana assets of foreign fire and
mNrnr uuranco companies actually
"rd n this country was urged by A.
20 IhIf h,r Of New York. represent
ae Various foreign corporations. He
"issl that tho income from securities
Iod lN uch companies abroad and not
Nr'd n 'h'ir American business should
h '.'mr' from the tax
I.e 'Ntoes profits taN of the House bill
Ns ...r,l unfair and inequitable by
|nes y Emory. counsel for the Nation
H Na0 ALTON of Manufacturers and 9TH
~ nrra'saflous. which he said comprise
=" .n rlfinus employing 2,75o.oo0 work
n' ur pcr cent. of those industries
.'s 'rd upon by ,hc government in
'H' fracture OF articles for the war.
j' proposed instead increase of the nor
"A operation taxes.
Cotton Manufacturers
AH '.t,k upon the whole bill was made
H,ru W Morrison of Charlotte
representing the American Cotton
AElIr'urcrs Association. He advocat
~ extending the taxes over many years
'ha reducing the amount payable annu-
Ht
I"o cN"eas profits tax. Mr. Morris char
oftcI lis discriminatory class tax.
imposed upon corporations while indvid-
Na's air exempted. Corporations. he said.
would prefer a straight income tax upon
f"' 0roa'v or gross sales.
Liquor Dealers
~, ng the doubling of taxes on dis
."ed spirits Levy Cooke. attorney for
me National Wholesale Liquor Dealers
association. predicted it would greatly
Increase Illicit production. decreasing in
S'ead ~ decreasing federal revenues.
y y impossible TO collect such heavy
"A' Pc said. which represents tax
F" about lHo per cent. upon the cost or
Manufacture"
some Increase In liquor taxes is not op-
I'sed bt distillcrs and rectifiers, he said,
'hd suggested 10 per cent. differential
increase. "r ~ cents gallon on liquors
manufactured before the bill is passed.
i'e argued that would conserve grain sup
i"es for food and increase revenues.
increased taxes proposed on beer from
40 to s27j a barrel. Robert Grain of the
httcl states Brewers Association told
We Committee. vii, put many smaller
''a""rs out OF business
Soda Manufacture
mat three-fourths OF soda dispen-
- make their own syrups and prob
""E VIII escape the tax on that COM
modify, was the opinion given by =. I.
Ihming. a Rochester. n. H., manu-
"c,uror He predicted that many man
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