Evening journal., 1918-08-21
ROPER TO UNEARTH
The TAX DODGERS.
Wants Congress to Compel
Every Man to Submit
Report of Income
GETS MILLIONS TO
CARRY ON AUDIT
BY The United Press.

BY Ihe United Press.
WASHINGTON. Aug. 2i.-A billion
dollar drive on income and excess
profit tax slackers Will be authorized
In the new revenue bill.
To prevent future tax lodging. Secre-
tary OF the Treasury McAdoo has ask
ed Congress for authority to force
every person In the country 10 make
an income tax return whether or not
he Is liable to the tax.
These two moves 10 set every pos
sible dollar 10 carry on the war were
revealed today In statements OF In
ternal Revenue Collector Roper before
the House Ways and Means Committee.
Roper assured the committee that II
he was given siO,000,OO0 TO hire the nee
essary force Of accountants. he could
collect Si,000,OO0 00O0-lhe sum he esti-
mated the government has been cheat
ed out OF in 1916 and 1917. The COM
mittee Immediately authorized the ap-
preparation, following the statement.
Coal companies are among the
principal tax slackers, Roper showed.
Auditing and verifying the tax reports
OF 28s out OF a total OF $500 coal con-
Germs showed the taxes due were s4,-
$4,000 more than had been paid.
This work was done by a force Of
IS men working from juno 4, TO Au-
gust TO-
Farmers are also under suspicion be-
cause OF the fact that only 1900 in
the entire nation submitted tax re-
ports last year. Ropers report shows.
Only about two per cent. OF the na-
tlon's saloonkeepers made returns.
Movie stars and actors are also go
ing 10 be asked to verify press agent
reports OF fabulous salaries.
Roper told the committee he plans
10 organize twenty auditing units OF
expert accountants. each unit TO go
into the returns OF all companies IN
certain lines OF business TO get every
dollar due the government.
The plan 10 force every person 70
submit tax returns according TO Roper
would apply TO the revenue bill the
same principles now applied In the
draft.
: This Is aimed at income tax payers
who are in the twilight zone.'
IF YOU Will enable us TO go more
carefully into that zone where the man
passes upon his own exemption and de-
iermine himself whether he should OF
should not make a tax return, Il gets
TO my mind a very large number OF
additional tax payers and a large
lamount OF revenue" Roper told the
committee.
, Thousands OF persons OF small In
, comes who are just on the tax border
! have been escaping because the depart
ment at present has no way OF check
ing on them, Roper said.
In one district there arc 10000 per
sons liable 10 taxes who have made n
returns at all.
Roper also plans to send throughou
3 The country thousaUis Of workers &
explain the new revenue bill TO tn
y ipeople I'm an effort 10 sell the tax serv
2 ice" 10 the nations taxpayers.
) An Important part Of the campalgl
2 Is the preparation Of a farmers &C
, count book prepared by the Depart
ment Of Agriculture to enable farmer
! to keep closer tab on their actual ID
E comes.
!. The House ways and means committee
+, today tentatively adopted an so Be
> cent. WdE lIUuh NdA oiiI ANNA NN~N'
4 profit tax rates for the new reyenu'
bill.
r The war profit tax takes so per cent
Q OF all earnings Of all corporations II
excess Of their profits for the year
i9ii-i2-i3 II a corporation, however
s earned less than 10 per cent. on Its In
= vested capital during those years II j
J given a Nat 10 per cent. exemption be
o fore the war tax becomes operative.
The excess profits rates tenativel'
adopted gives an eight per cent exemp
: tion and taxes according to the follow
I ing rates
= All profits from s 10 Is per cent. ar
Z taxed 30 per cent; profits from 10 &
4 90 30 per cent, and ell profits above ?
per cent. arc taxed 20 per cent.
d The corporation Will pay under tn
$ war profits or excess profits accordin
$ TO which will bring in the most money
, The new rates, committeeman said
!, will be put into the bill finally II tn
i treasury department approves them.
The adoption Of the two sets o
c profits rates today completed the neN
q revenue bill. Other details Of the meas
9 ure have been previously announce
= my the United Press The whole
9 now ready for submission TO the treas
a ury for approval and should be read
for introduction next week.