Evening star. [volume] (Washington, D.C.) 1854-1972, 1918-11-13

Il
!, Four Bullion dollars. viii be the
yearly outlay Of the United States for
Perhaps a decade. onicials of the
Treasury Department. estimate.
This gives ground for belief that
taxes levied since the United States
entered the war vall not be sub
staatially reduced. = This view is
shared by many1saasrs in Congress.
1t is estimated that a sinking fund
Of s1.sso.oo 900 : i yeaar. VIM pe neces-
sary to redeem bonds issued since
the declaration of war by the United
States and thataeert>inly NAother
bond issue will be called. The END OF
the. war: IT was intimated. does not
necessarily mean. The end OF public
borrowing. On the contrary Score
tary McAdoo said, 1t was: likely the
public would be asked to subscsiba for
$4,000. 100000 worth OF bonds If 1919
Doubles Ordinary. nzp .nss Y
Ordinary government, expenses,
which ran around q billion dollars a
year before the war, IfOWsWi1l amount
to at least $1,000, OU0. 900 annually flor
many years, and for two or three
years after the war may be double
that figure. If the $16.as50. Oo0. 900 Of
creased in volume by lister loans to
$4,000. 100000. the interest, on this
sum would amount to about $1,000
100000 year. :.
In addition. it probably, will be the
fnnd p policy .n sonds
maturity. This would require about
$3.50. 0OQ. 900 a year.. These three
items would make an aggregate near
34,25O. 900 900.
To offset this. there would be near
s " ha f,om the dea s as somag
on their loans, which. now amount
to seven billions. and are likely to
run much higher; and revenue from
customs and miscellaneous sources,
which last year amounted to about
S45a. OO0, 900.
With allowances for wide varia-
lions in these calculations there would
still remain about three and half
billion dollars to be raised from in
ternal revenue taxes. Last year $685.
100000 came from internal revenue,
including $2.775.0 100000 from income
and excess profits taxes. This year
these figures probably will, be more
than doubled.
Makes Estimates Tentative.
Factors which make this system of
estimates highly tentative, officials
point out, are that the war is not
yet definitely over SO far as expense
is concerned, and that war debts, both
Of the American government to the
Ylyrh1 to nd Nf "a m n
to tho United States. cannot be figured
until them. Reconstruction policies,
yet to be formulated, will have much
to do with determining how many ex-
listing government wartime agencies
shall be continued, and consequently
how high ordinary, government ex-
penses will run. Besides on the con-
dition of business and foreign trade
after the war must depend the weight
Of the tax burden which can be
borne.
The methods Of applying taxes after
the war also are receiving attention.
II the schedule of income taxes now
being framed in the new revenue bill
works out we'll, it is considered prob
able-that the bulk of after-the-war rev.
enue will come from income levies,
which next year will yield probably
$4,000 100000. Excess profits taxes
probably would automatically be aban-
doned after the war, and liquor rev.
enue will stop if the contemplated pro-
hibition amendment is ratified, and
sooner with the passage of the war
time" prohibition :. bill. 1t is almost
certain that the multitude of minor
taxes now levied on transportation, in
surance. admissions, club dues; the
excise taxes, stamp taxes and special
taxes on certain businesses, now yield
ing comparatively little revenue and
very difficult of administration, will
1~4
taxes probably will remain, it is said.
Whether tariff schedules will be raised
materially depends on future formula
tions Of policy.