Connecticut western news., 1917-08-02
TAX ON PROFITS
 WILL BE LARGE
Higher lncoma Levy Also to ] Meet Huge War Bills.
YEARS COST Y BILLION

Senators Told by Army Chiefs What Gigantic Sum Will Be Needed For. Secretary McAdoo's Revised Figures Also Bear Out Shoots Estimate of What Will Be Monetary Cost of the ' United States Entering the Conflict. Senator Reed Shoots startling an- nOuncement that the nations bill for the first year of the war will be the staggering total of $17,OO0,OOO,O has been borne out by five general officers of the army, who explained it's fnan- cial needs to the senate finance com mittee, and by Secretary McAdoo him. self
 Huge Bond Issue Probable. The officers were Major General Cor gas, surgeon general; Brigadier Gen. eral Crozier, chief of ordnance; Briga- dier General Squier, chief signal off cer and head of army aviation; Brig adler General Sharpe, quartermaSter generals and Brigadier General Black. | chief of engineers.
 Just as the committee had reached it's adjournment Secretary McAdoo's promised revision of the war budget figures arrived. They furnished complete confirma-
 Ntion of the stupendous expenditures which Senator Smoot informed his col. leagues would be the first years out giving in treasure by the United States. They disclosed the fact that the total Of appropriations made, pending and proposed, which the congress will have to contribute to the upkeep of the government will be $11, ,651 ,194 900, of which nearly S10,OOO, 100000 will be ex- pended between now and the end of June, 1918.
 Committee figures show that, deduct ing from this sum the estimate receipts of the government, including amount already realized or expected from the consummated sales of Liberty bonds. | there will remain to be raised by taxes and the issue of more bonds balance of $7OOO,OOO,OOO.
 To bear out Senator Shoots proph. ecy of a $17,OOO,O0O expenditure it is necessary to add to the total of $11,- JOO,O0OOOO0, heretofore set forth the S3,OOO,OOO,0OO already lent or ready to
 be lent to the entente allies and $5O0,. 100000 authorized to be expended by the shipping board. ...-...-... ..
 Analysis of the $11 100000, ,OOO war bill of the, government shows that $S,- 633 100000 will be spent for the army The navy cost for the current fiscal year will amount to $1, ,324, 100000. The rest of the total is divided up among the regular annual and the war time excess expenditures of the other de partments of the executive branch of the government
 Figures submitted to congress lead CTS for comparison with appropriations of European belligerents indicated that for the British fiscal year ended Marcf 31 last the British appropriations; in cluding loans to allies, aggregated $1O, 00O,0OO,000 and an estimate for the sur rent fiscal year was $12,O0O,0 100000. $2,ooo, 100000 For Treasury. The finance committee has only ten tatively discussed the revenue needs 6f the treasury in the pending war rev enue bill. It is admitted that revisionS and increases will be necessary, but the committee is not disposed to be stam peded, and it is not thought that tht gross levy even after revision will ht permitted to exceed $2,OO00O0 As the bill now stands it is $1,670, 100000. To raise this desired $330,000, 000 it is generally accepted in senator
 ial circles that the additions to the pres ent enactment will be along the line O. increasing the normal taxes on income: by approximately per cent by increas
 ing the corporation tax in like ratio an( by boosting the war excess profits bas ic rate by probably 1 per cent This it is believed will bring the total of th levy up to the needed figure. The major item of the war depart
 ments supplemental war estimates listed as $2,46S, S,613,0OO for armamen ! for Notifications, covers the bulk O
 the mobile artillery program, including mobile guns of all calibers, Secretar.
 Baker eXD1ained