New-York tribune., 1918-09-21
Revenue Bill Passes
House; Few Changes

house committee authorized to SUPER
wise, the expenditures of the revenues
to be raised under the bill. but was
again ruled out Of order.
with the transference of the scene
Of activity from the House to the SEN
ate. the real tinkcring with the bill is
expected to begin.
Theory Opposed in Senate
r, There is strong opposition in the
Senate to the general theory of the
Nitchln bill and a considerable follow
ing OF the idea of taxation scheme
which would more widely distribute the
burden - which means consumption
taxes. The fact that the Kitchin bill
Is tax on corporations and the we'll
to do has led to the cynical criticism
that it stops taxing where voting be-
gins. The Finance Committee is en-
pectcd to take several weeks to report
the bill. and Mr.. Fordney predicted on
the floor of the House this morning
that the bill would not be through the
Senate for two months.
In its final consideration of the bill
the House adopted an amendment Civ
ing oil we'll "wildcattcrs" and pro
ducers deduction of 10 per cent of
the estimated value of the oil in the
ground. They asked 20 per cent. An
-, '"',e"0 gave olner mlneral
deposits the benefit of the same "rea.
sonable allowance for depletion"
with the exception Of paragraphs
mentioned as being amended, the only
oIner change was one taking rugs made
principally Of wool from the class of
luxuries determined by price and put
ting them into the straight luxury sec.
ton, here they will pay fiat tax O,
10 per cent.
change was made under the head,
Ing OF deductions allowable in deter.
mining taxable income that relieved
Liberty bonds and other tax free secur.
lties from the imposition of an indi.
rect tax. AS originally written, this
paragraph did not permit of the deduc.
tlon of income from such sources,
Another change gave Liberty bone
investments during the taxable yea,
the benefit of the IL per cent instead
OF the !S per cent normal income ia,
rate.
The occupational tax was changed sc
as to apply only to businesses or pro
LESSONS earning $1,000 or more a yea1
instead of $4,000 and professional per
sons working for salaries were except
ed from the tax Of $40 or Sis on whole
sale businesses.
Although not change in the bill
itself, the bond relief act passed b,
the House and now in conference is il
effect an important amendment, be
cause it relieves Liberty bonds. will
certain limitations, from the applica
ton of the sur taxes.
There were some other mino,
changes in substance and many of ;
+ correctional and textual nature.
Before getting down to work thi:
morning The House listened to an elo
Quent vindication Of himself by Repre-
sentative Cooper, of Wisconsin, from
rhc charges of disloyalty that led t.
his defeat for denomination. Mr.
Cooper reviewed his record with re.
spect to all war legislation since the
beginning of the war 70 prove his lov
atty and devotion to the vigorous pros
Representative Albert johnson. o
Washington, who has accepted a com
mission il the army, made farewell
speech. in which he denounced the
sentiments expressed IN a speech mad,
IN his state by an assistant to a mem
Der Of the Cabinet to the effect tina
America stands for internati tionalism in
this war. NJ. johnson does not resign
from Congress and has just been re
nominated