The Richmond Virginian. (Richmond, Va.) 1910-1920, 1918-09-26
SENATE COMMITTEE
TACKLES TAX BILL
Adopts Rate OF Twelve Per Cent on
Incomes as Basis for Other
Items.
NEW LOAN CONSIDERED.
1t is Planned 10 Hurry tho Schedules
to Completion Before the Liberty
Bond Campaign Begins That Indi-
yidualS Might Subscribe tnteiH-
gently,

Washington. Sept. 2a.--The senate
finance committee got down TO actual
work on the revenue bill today and
adopted a number Of the provisions
Just as they came from the house
Chief among these was the adoption
of the normal rate of IL per cent
on Individual incomes, which will
stand as The basis OF future determi-
nation by the committee as to the
other income rates.
The committee decided also to let
the house provision stand as to the
application of the rate of per cent
Oh the amount OF income below
81 900, the II per cent rate to apply
on all income in excess OF that
amount
The Importance of this decision lies
in It's relation to the approaching
Liberty bond campaign, the commit
tee being of the unanimous opinion
that the rate which individual in
comes are TO pay should be definitely
agreed upon before the date set for
the opening OF the campaign.
Other house provisions agreed to
by the senate committee were the
definition OF met income" and prac-
tically the entire definition of gross
income" Under the definition of
gross income" the committee adopt
ed subdivisions 3, s, and I. of sub
section -" which exempt from the
income tax the following:
"(31 The value Of property acquired
by gift, Request devise or descent.
"fb) The income OF foreign govern
rents received from investments in
the United States in tocks, bonds or
other domestic securities. owned by
such foreign governments. or from
interest on deposits in banks IN the
United States OF moneys belonging
70 foreign governments. or from any
other source within the United States
rs Amounts received through ac-
cident or health insurance or under
work mems compensation acts, as
com pc nsation for personal injuries or
sickness. plus the amount of any
damages received either by suit or
agreement on account OF such inju-
ries or sickness
"(11 Income derived from any pub
lie utility or the exercise Of any essen
ti1l functions and aceruing to any
state, territory or the District of CO.
luD1 bia or any political subdivision
Of a state or territory, or income &C
cruing 10 the government OF the
Philippine Islands or Porto Rico. or
ANY HpilItEHl SUBDIVISION iF2FFg0i4
In subdivision &. of the same sub
section, the committee changed the
language SO As to exempt from the
income tax the amount received by
any person in active service with the
military forces of the United States
either in the field or al sea The
house bill limited the exemption TO
incomes not in excess Of So. 500 The
senate struck cut this limitation. but
restricted the exemption 10 those In
active service.
Consideration OF the surtax rates
for the income tax schedule was post
poned by the committee Tomorrow
Wee President rie2. OF the emergency
feet corporation Is 10 be heard on
PROVISIONS III The bETI which he be-
! lieves VIII effect shipyard workers
No date has been set for the APP
pearance Of Secretary McAdoo before
the committee.