The Washington herald., 1918-11-22
ASK 4 BILLI0NSH
FOR U.S.IN 1920
New Revenue Bill for Next
Two Years Totals
$I0,000,0OO,0 1000.

/ The Treasury Department. huan-
cial policy for the coming two years.-
Z including the reduction Of the revenue
bill to SLOl0.u 600 for 1892 was pre-
sented 10 The Finance Committee of
the Senate yesterday by senator Sim
mons, chairman Of the committee. .
The plan was drawn mp by senator
Simmons after a series OF conferences
with Secretary MCAdoo and other Of
fcials OF the Treasury.
Q The committee will resume consider
alton Of the bill tomorrow. and will
work during the eleyen-day recess in .
an effort 10 finish IL Up for pHgsl1ia-
ton 10 the Senate early In DcCembcr.s &
The full plan presented by Senator
Simmons 10 the committee is as fol- f,
lows:
SiO.OO0.OOO .OO0 In Two LearS LOT
!. Reform the bin so us 90 raise for
the fiscal year 1918 yG.U.nDaugJt aud
for the fiscal year TH9a Elewug0lp i'm
accordance with Jhr estimate Of theT
Secretary a. Co the requirements Of
the government for those years re-
SDcctvcly
>. Retain In thu bin the income.
excess profits and war profits rates
in the House bill with the keep.
tlon OF m" 6 per cent different az
upon the UndIstr but,H earufrgs %
corporations. The elimination Of
this per cent dtnoreuttal together
with other changes made Iy the
Senate committee with reference 20
amortizs ton. depletion. etc. would
reduce the revenue 10 rIa govern
W"nt from these source fn approx
mately $1,000 0UO.0r0 Tor the GscaI
year 1919 while these faNsr U4II
DO" paid IA the v.ar 1919. they viii
be based on the income and can't
lngs for the calendar year. fqgksI
Ihes" earning represent war prhf-
its. have iu th0 main been coESctsd
and are in the pocket. 800 .t = felt
that they should pay the big IN
. Creasss proposed
"- That tho adIlrrur.H 81 0Og 900 To-
o0' required boo ra .sad from the
other sources OF taxation contained .
in the pending hIli us amended BY
the Senate committee
I Eliminat" altogether the % ues.f
cent tax imposed upon the rraee ~
articles sold in ,Nr,.-s ur certain Hv.g
prices Retain th, S,nrf,. r0n--#rfe.
amendment aS Co inheritance frys-. n
retain the other sNu1ss. .r.uE.| arF
misCcllun~0u- r.Nr- provided GA Sra.
2 hill az a'iN'..sarI ..N 'f" <H.F.HfE COM
mItter. winch ar JOG On. mar thoq.
I Of The HoIs. hIL Ea- where the
House bin rate. .a lu ,NcaaS OF the
rat" o. fh' Present Jaw. chanEe the
rat" 50 a- ru I.ro-f fg, a rate averar-r ri
lng about 2E I-a per cent in excess q
. - Oh" rates IMPOSED In the existing
( law On ca~rs Of new sources or
I taxation OF this character Included
either tu ih" House or Senate. bFg.
change the rate 80 as TO CONFORM
( To this scheme of reduction
! Increase In Tax Rate.
/ la obtaining the general average OF
/ > l-5 per cert inCrCZsy from the rates
1 Of the existing law. It ls planned that
! the range OF increase shall run from
I - 10 - per cent. The theory unon
] which the income and profits ENos
Z are differentiated from the eNciS-.
! special and miscellaneous taxes q the
| bill IS based upon the rarr that IN
! the case OF income and excess rroats
/ the taxes Tor Ih. Present fiscal wear
1 will %" levied upon incomes made dur
/ ing The calendar year 1918 or since
/ the termination of war conditions.
q That for tho year 1870 The rad4c-
I ton OF S-.Uul u'0"5 Dee Accomplished
/ through the elimination ar th. war
( profits tax and the reduction oc tho
/ normal individual income aua the
/ corporation income tax ln re- cent
! and a reduction of around o. Is per
4 cent from the excess profits tax pro-
posed in the senate lHu as now
| drafted