The Washington herald., 1918-07-10
|CUT LUXURIES
BY TAXATION,
TREASURY IDEA
Sends Proposed List Of
Levies That Startle
Congressman.
WASTE LIKE TREASON
Jewels, Canes, Neckwear,
Sweaters and Costly
Clothes Are Hit.
WASTE LIKE TREASON

bill. Included in the HIST are auto
clothing. household servants.
jeyelry, hotel bills, gasoline. motion
pictures, musical instruments neck
wear, canes and furs.
The taxes upon most OF the articles
named in the list would be collected
on retail sales. The tax on gasoline
would be paid by the wholesale deal
er. 1t Is fixed at 10 cents a gallon.
while the automobile tax is grad
rating.
Waste and extravagance are akin
to treason" says the Treasury De-
partment in proposing this radical
method OF raising revenue for the
carrying on Of the war. THE retail
sales tax distinctly labels the taxed
article as a luxury and serves notice
that the governments ban is honest"
Members of the committee were as
founded at some Of the recommends 4
tions made by the department. II
was frankly stated by several of
the committeeman that many of the
suggestions as to taxable articles
would not be seriously considered.
what to Tax.
Following is the complete list sub
mitted by the department:
(MoRE)
Fifty per cent on the retail price
of jewelry, including watches and
clocks. except those sold to army
officers .
Twenty per cent on automobile
trailers, and truck units, motor
cycles. bicycles. automobile. motor
cycle and bicycle tires and musical
Instruments.
A tax on all mems suits selling
for more than $50. hats over 81,
shirts over 81, pajemas over 81,
hosiery over s5 cents. shoes over
IS. gloves over 81. underwear over
So. and all neckwear and canes.
On women's 8. over $40. coats
over $50, ready. dresses over
s35. skirts over : . over $40,
shoes over s6, lins, ie ever IS, cor
sets over IS, dress goods, silk, over
S1.50 a yard, cotton over SO cents
square yard, and wool over 81 a
square yard. All fHrs. boas and
fans.
On children's clothing. suits over
SIS. cotton dresses over So, linen
dresses over IS. silk and wool
dresses over IS. hats over IS, shoes
over 81. and gloves over 81.
House Furnishings.
On house furnishings, all orna-
mental lamps and fixtures, all table
linen, cutlery, and silverware, china
and cut glass, all furniture in sets
for which IS or more is paid for
each piece. on curtains over 50 per
yard, and on tapestries, rugs and
carpets over IS per square yard.
On all purses. pocketbooks, hand
bags, brushes, combs and toilet ar
ticles, and all mirrors costing over
81.
Ten per cent on the collections
from the sales Of vending machines
Ten per cent on all hotel bills
amounting to more than s2.50 per
person per day; also the present tax
on cabaret bills to be made to apply
to the entire restaurant or cafe bill,
the present tax being 10 per cent.
The following taxes to be collect
ed from the manufacturer or pro-
drcer:
Ten cents a gallon on all gasoline,
to be paid by the wholesale dealer.
Ten per cent tax on wire leases.
The following taxes on soft drinks
are suggested: Those now paying s
cents a gallon. to pay 20 cents, those
paying cents to pay 80 cents, those
paying 10 cents to pay 10 cents, and
those paying 20 cents to pay so
cents. Mineral waters now taxed /
cent a gallon to pay 1s cents. Chew
ing gum now taxed per cent OF the
selling price to pay one cent on each
package.
Moving Pictures.
Motion picture shows and films
Abolish the foot tax of Ia and 1-2
cent a foot and double the tax rate
on admissions and collect per cent
Of the rentals received by the pro-
ducer.
Double the present tax on alco-
holic beverages. viz: Distilled spirits
now $500 per gallon. increase to
s6.40; fermented liquors. increase
from So per gallon to IS; wine. from
s cents per gallon to 16.
Automobiles: a license tax on pas
senger automobiles graduated ac-
to horsepower, as follows
% horsepower or less, SIS: "a to 80
$25: 81 to 40 horsepow-
er, $40; over 40 horsepower. $50.
Double the tax on club member
ship dues.
Household servants: Male, 25 pei
cent of the wages of one servant ur
to 100 per cent of the combined
wages Of four or more: female ser
wants, each, family to have exemp-
ton from tax for one servant; al
female servants, from II
per cent to 100 per cent on all ovel
four.
The statement from the Treasur!
Department pointed out that the OBJ
ject of the proposed taxes is no
only to raise revenue, but to dis
courage wastefuf consumption ant
unnecessary production"
Follows Professor sprague.
II was noted by members of tn
committee that the Treasury Depart
ment's recommendations as to wha
should be defined as luxuries for tn
purposes of taxation follow yer,
closely the suggestions which wer
made to the committee recently b.
Prof. Oliver n. Sprague. Of Harvar
University.
The committee spent all Of yester
days session in going over the liz
but reached no conclusion as TO an
Of the items One member OF tn
committee said Of the list: 1T pro
coxnSuzp o. r4os xn1EA