The sun., 1918-12-11
SENATORS RAP
DUAL PLAN TAXES
Levies for 1918 Approved in
General Negative Way by
Minority Report.
FUTURE CALLED ENIGMA
Profit Hoarding by Producers
Feared-Thomas Attacks
Excess Assessments.
specidi Despafch TO TnE Hrr

SpectdI Desp0fch 70 THB Srr.
WASHINGTON. Dec. 10.--Strong obIec.
ton to the dual feature OF the tar
bill reported to the Senate to-day
by Chairman Simmons North Caro-.
lina) Of the Finance Committee. was
voiced In the minority report on the
bin brought in by six Of the seven
/ Republican Senators on the commit.
tee. Senator La Toilette wisconsin.
who did not sign the report. will make
a separate minority report to-mor
row.
Senator Smoct tUtah). although he
signed the report to-day. will make
another report tomorrow. advocating
! dropping many Of the business taxes
in the bill, and substituting a sale,
tax TO raise a part of the needed
revenue. Senator Thomas (Colcrado).
Democrat. filed separate report
attacking the inclusion Of the excess
profits tax.
The taxes for 1918, calculated 10 pro
vide $4,000, 100000, are in a general
negative way approved by the minor.
ity report, the principal attack being
against endeavoring now to provide
taxes for next year. when business
and economic conditions may be Al.
together different.
No Danger to Loan.
The report recalled that in July ana
August last Il was insisted strongly
that the tax bill, not even then pre-
pared, should become n law not later
than September 2S. Disaster to the
Fourth Liberty Loan and the inability
Of the Treasury TO dispose Of certifi-
Gates Of indebtedness II the bill vaa
not a law by that date were pre-
dicted. but neither of these prophecies.
fortunately were fulfilled. This was
cited in answer to the Administration
argument that II is necessary now to
fix taxes for 1919
No one now can foresee conditions
at this time nor can estimate definitely
the conditions of the countrys prosper
ity or the nations tax needs the re-
port pointed out. Both capital and
labor are keenly interested in tho so.
luton of the levies to he mad and
the solution of the problems awaiting
attention and solution. not the least Of
which Is the problem of the high cost
of living.
In concluding the report tho six 70
publican Senators wrote "No pro-
gramme for the near or even distant
future has been evolved-nothiuy hut
tho merest outlines, suggestions and
northumberland yet on the thr~sh
old OF these nebulous conditions IT is
proposed to lay down hard ANA tJs'
scheme of taxa ton for tho future"
AS 1918 measure the mnorir
members of the commute. concur g.
tho reporting of the bill. but the meas
ure should stand as essentially q 1913
measure, and the many changes which
will be necessary to adapt the tax law
to the conditions found to obtain lr
1919 and subsequent years should FOL.
low and be made at one time and in
the light of as fun information as It
will be possible to obtain.
Chairman Simmons made his ur--
ing speech on the bill in general -.
day. following for the most part thu
lines of his lengthy report made
public yesterday Touching the two
in one" future measure. and in answer
10 the Republican report, however
Senator Simmons said this:
"It is essential now to begin renov
ing the unusual burdens imposed b.
taxation. These should he reduced 70
the fullest possible extent
Future Reduction Plan.
THE minority insists that TAX re
duCtions he made a some Later date
Unless an extra session OF Congress
Is called this must go over Until the
first of next December Producers ~
revenue during the interim VII De
unable to fix proper prices for their
products. The principles of self PRO
lection as well as sclfshness viii pre-
vail. Unnecessary tax eXactions will
he made 10 meet uukuOWu require.
ments. Producers will mark m their
prices TO conform to present rltrs AM
not TO meet promised reductions The
producers will have s3.oOo.0oo.ooo n
their pockets, collected from the ico-
pie. beyond what will meet THO re-.
qulremcnts OF the Government
The report made ny Senator Thomas
(ColO attacking the inclusion c, mo
excess profits tax in tho revenue h'll.
used the Presden and the Secretary
OF the Treasury as authority md
precedent for tho position taken ~
the Senator.
Said senator Thomas: "Th's 'o1.
turc Of the hill has boon Cor7owuei
ny tho President ard tho Ss'rc' Wv X
the Treasury in terms with VIII b 80
Senate IL familiar and I th,rN ~ q
ma tority az those who are f1" ar
with rs character and operation rs
embodied in existing law.
Eight per cent. proHt on 'nv'.'r'
capital Is a iust allowance IN -I"t
cases. In many others i IS tnu '...'
IN others far too l.ttlc 7 w...
hard and fast rule for AL '..r..e
alike is as statcsuauil'lD ms O.. .C
scribe one punishment fYr al. ,".. a..
one wage for al Worll.ugH,r.
rate Of levy for al incomes
such n method " taxation I-3-'
some analogy to tho German .'...- NJ
fines and contributions
Japanese Proper Name-
From The H'rIIi ~ 4sa