Harrisburg telegraph. [volume] (Harrisburg, Pa.) 1879-1948, 1918-08-14
$40 LEVY ON
$2,OOOSALARY
Is NEW MOVE
Ways and Means Committee
Plans Also to Tax Women's
Hats and Shoes

Washington, Aug. 14.-An occupa
tional tax OF $40 a year on every
business, occupation and profession
earning $4,000 or more year
was adopted by the ways and
means committee to-day as a new
section of the revenue bill. On whole
sale concerns doing a business of
100000 or more a year the tax will
be S25.
The only exemptions from payment
of the occupational tax are employees,
farmers, clergymen and school teach
ers. The tax will include lawyers.
dentists, authors, engineers and ar
lists.
No. estimate has been received by
the committee from the treasury de-
partment as to the amount of money
the tax will produce
The committee adopted an amend
ment to the section imposing a tax
on leased wire and talking circuits
so as to exempt from the tax the
leased wires used by press associa-
tions and newspapers and periodicals.
The tax will still apply to brokers'
private wires and circuits.
The committee also adopted an
amendment to the income section to
provide that citizens of this country
countries shall pay to the county in
which they reside the income tax on
that part of the income derived
there. The effect of this will be that
Americans residing in Canada shall
pay to Canada whatever may be due
under the Canadian income tax regu-
lations. The purpose OF the amend
ment Is to collect the tax from a
large number of Americans who have
sought to evade payment by crossing
the Canadian line.
Secretary McAdoo conferred briefly
with Chairman Kitchin to-day and it
was arranged to have him go before
the committee tomorrow afternoon
to make statement explaining the
reasons for imposing a stiff war prof
its tax. 1t is expected that Secre-
tary McAdoo will lay before the COM
mittee a great deal of the secret in
formation in the possession of the
treasury department showing how
some of the rich profiteers have es-
capped. The hearing will be execu-
tive.
After Secretary McAdoo has COM
pleted his statement the committee
hopes to be able to reach an agree
ment upon the war profits and ex-
cess profit section. so that the bill
will be ready for introduction in the
house next Monday. All of the other
sections of the bill have been virtu-
ally completed. and the estimates
from the various sources of taxation
imposed are within s500.000.O00 of
the desired total of $4,000. 100000.
The luxury tax section has been
revised and definitely agreed upon by
the committee. 1t is one of the most
...N Ws..r- IL
ing. as it does, a larger proportion
of the population than any other
schedule in the measure. Here is the
full text of luxury section as it will
appear in the final draft of the bill:
From and after November l. 1918,
there shall be levied. assessed and
collected on the consumption and use
of the following articles a tax equal
to 20 per cent. of the amount paid
in excess of the amounts specified:
Fiber carpets and rugs in excess
of So per square yard.
Picture frames. $40 each.
Trunks. $50 each.
''Valises, travelling bags, suitcases.
hatboXes used by travellers and filed
toilet cases. s25 each.
Purses, pocketbooks. shopping and
handbags. $3.50 each.
Umbrellas. parasols and sun
shades, 81.
Fans, 81.
House or smoking jackets or coats
and bath or lounging robes. $40
And Winter Is Near
Mems 'waistcoats, sold separately,
S..
Mems and boys suits and over
coats (not including uniforms for the
army and navy, $50.
"womens and misses suits, cloaks
and coats. $40; if made up by tailor
or seamstreess, $50.
"Women's and misses dresses, IL
bought ready made. $40; If made up
by seamstress. $50.
'women's and misses hats. bonnets
and hoods, 81.
MEMS and boys hats, IS.
Mems and boys caps, So.
Mems, women's, misses and hoys
oh nd cit