Evening star., 1918-08-23
SUGGEST FOURTH LOAN
!. Be TAX FREE AFTER WAR
By I. A. FLEM1Ne.

In his talk with the members Of the
ways and means committee of the
House with reference to the fourth
liberty loan. Secretary McAdoo ex-
pressed regret that the suggestion of
the Treasury Department, of giving
to the fourth liberty loan some addi-
tional tax-free characteristics, there
by putting the issue on a closer basis
with state and municipal issues, had
not been adopted. At the same time
he expressed himself as considering
the committees proposal to impose
tax on state and municipal issues as
fraught with considerable trouble and
constitutional difficulties
The fourth liberty loan will be sue
cessfully fioateL, no matter what pro-
visions are made regarding the issue.
The American people are awake: they
see victory in the not distant future;
their sons and brothers are in France
and backing up the government, and
the needed billions will come rolling
in during the three-week intensive
campaign.
At the same time. the issue would
be much easier marketed If the rec
ommendation of the Treasury Depart
ment was given favorable considera-
ton.
The rate of interest which the fourth
loan will bear has been fixed by Con-
gress (H- R., 125s0) at An per cent as
maximum.
Other issues of ~ per cent liberty
bonds are now selling at an average Of
$50 on the $1,000 bond below par, some
even more than that. so that 1t would
seem nothing more than wise to give
the fourth issue some preferential value
to prevent the open market competition.
One suggestion has been made, name
ly. that the fourth liberty loan bonds be
made tax free. effective after the war.
SO that the government would be able
to get surtax and excess profits taxes
during the remainder of the war and
then. when the lessened demand for
taxes would warrant. the fourth issue
might be free.
War taxes will last long after the war.
in the elimination of part of the debt,
the bringing home and feeding of the
Army. in rehabilitation, etc.
IL this concession Is given the fourth
liberty bonds the sale will be made
much easier. the market will need no
ether support and they might be ex-
pected to sell close to the first rs.
Good Inquiry for Bonds.
There was a good demand for the
favorite trading issues in bonds on
today's session of the local stock ex-
change. with steady prices. and with
Potomac Electrics showing a little
firmer tone
Sales were made at ssx for Capital
Traction SIS. s3A for Potomac Con-
solidated IS. 9S for the first SIS of the
same corporation and 93% for the
general mortgage 6s.~
Stock transactions were restricted
to odd lots at SSH for Capital Trac-
tton, 52a for Washington Gas and 113
for one share of Mergenthaler
Directors OF the Mergenthaler Limo
type Company have declared the reg
ular dividend Of IN a share. payable
september 80. to shareholders of rec
ord September 4. This is the ninety
first regular distribution.
Woman Cashier Named:
Miss Mary E. Meyers has the honor
Of being the first woman cashier Of a
bank in Maryiand-the Bank Of Seat
Pleasant. Seat Pleasant, Nd, Just
across the District line.
With women admitted to all classes
of the Institute of Banking and the
opportunity for advancement thus Of
fered. higher official positions may
yet be flled by women