Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1917-07-01
Measure Also Catches IN
comes Harder and Harder
as They InCreasei $780,
10000 Is Estimate,
PUBLISHERS MUST
PAY ON NET PROFITS
House Provisions Are Largely
Rewritten by Toga-wearerS;
General Reductions and
Some Increases,

.tsy MORNING JOURNAL SPECIAL LEASED wtssl
Washington, June 30.-Revision OF
the $500, 100000 war tax bill passed
by the house five weeks ago was
completed by the senate finance COM
mittee today. The measure virtually
was rewritten and reduced to $1,652,-
10000, with no authorization of ad-
ditional bonds The final draft Will
be given formal committee approval
Monday and reported to the senate
early next week.
Incomes and excess profits taxes
will bear about two-thirds of the new
tax burdens Under the revised bill
about half billion dollars each
with a large share of the remainder
secured from liquors and tobacco.
Many house taxes were entirely elm
mated by the committee and others
added.
Radical increase of taxes on war
excess profits of corporations, part
nerships and individuals decided upon
today, enabled the committee to dis
pense with the suggestion for addi
tiOudl DOlu loSutS vi pOuV,OUV,VVV W
$1,000, 100000 Senator Stone with
drew an amendment for $500, 0,000,-
900 ISSUE While the bill falls short
by about $500, 900, 900, of meeting the
treasury estimates of war expenses
next year, the committee decided that
by issuing $135,000,8 600 of authorized
but unsold Panama canal bonds the
nV au hn ,nttI
reconvenes in December.
Publishers Tax.
AS finally drafted. the much de-
bated publishers tax section proposes
a five per cent tax upon publishers
profits over $4,000, yielding $500
600 revenue, and an increase of one
fourth of cent a pound in second
class postage rates, yielding $1,000
oeO. Excess profits due to the war
under the revised bill will be $780,
100000 in taxes, graduated from IL
to 40 per cent, according to the pro-
portion of excess,
From income taxes. $532, 700, 900
would be raised, $50. 900, 900 less than
the house provided-the decrease
$40,0OO annually and above--with the
committee approving the house plan
of lowering income tax exemptions to
$1,000 for singles persons, $4,000 for
married persons, additional normal
taxes of per cent upon incomes up
to $4,000, and surtaxes graduated
from one to 33 per cent upon larger
incomes.
The committee also changed the
plan of collecting income taxes from
that of collection at the source" to
information at the source" to ac-
complish direct payment. A compari-
son of the estimated revenue to be
gained from other sources under the
revised bill and the house bill, re-
spectively follows:
Where 1t Comes From.
Liquors, $155.000,000. against $151,-
100000: tobacco, $56.600,000. against
p6S,200,000 freight transportation,
$77.50O,000, unchanged; passenger
transportation, $37.500,000, against
s75, 100000: automobiles $4,000. 900.
against s6S,0O0,O00 payable under
the revised bill by pleasure car own
ers and not manufacturers); amuse-
ment admission, $23,000,0 900, against
$50, 900, 900; and first-class mail, $780,
600, 900, against $7O.000.000 (by re-
tanning the one cent increase for first
class mail and striking out the in
crease upon postcards).
House levies of five per cent upon
gross sales of many manufacturers
we're stricken out entirely, and taxes
on patent medicines, perfumery. cos
metics, Pullman accommodations and
soft drinks greatly reduced.
Believing a compromise on prohibi-
ton legislation will not stop consump-
ton and revenue yielded from dis
titled spirits beer or wines, the COM
mittee made little change in the house
liquor taxes.
The committee struck out entirely
the house ten per cent general tariff
tax upon virtually all imports, esti-
mated to raise s200,000.0OO. 1t sub
stituted consumption taxes totalling
$S6.000.0O0 and bearing more directly
upon consumers, of half a cent a
pound of sugar two cents on coffee.
five cents on tea. and three cents on
cocoa and substitutes.
Stamp Tax Revived.
All Spanish war stamp taxes would
be virtually re-imposed under the bill.
the committee adding~a new tax of
one cent each on bank checks over IS.
Other changes in the revised bill
include prohibitive tax to stop
manufacture Of distilled beverages,