The Washington herald., 1918-11-23
sSOO,OOO,OOo
TAX CUT FROM
REVENUE BILL
Senate Recommends Elimi-
nation of Duties on
All Luxuries.
SEE MORE REDUCTIONS
Imposts on Cigars and Gig
arettes Drop One-Third;
Soft Drinks Cut.

Sweeping reductions in the taxes
which were to have been imposed by
the new revenue bill were made by
the Senate Finance Committee yes
terday, following the recommends
ton Of the Treasury Department that
cut to 5000. 10000.
The rates on cigars and cigarettes
were cut ABOUT one-third- The tax on
soft drinks vas cut in half. All Of
the so-called taxes on luxuries. in
Guiding clothing above a certain
fixed value, and the proposed tax OF
two cents a gallon on gasoline were
stricken from the bill.
There will be no tax on photographs
and the tax on candy is cut from lO
per cent TO per cent, while on chew
ing gum the tax will be only per
cent The tax on jewelry will be
per cent instead of 10 per cent.
Further Reductions To Be Made.
The reductions made will amount to
revenue from the bill Still further
reductions are to be made in other
tax schedules until the measure is
brought down to the maximum agreed
upon.
The new rates fixed by the commit
tee are as follows:
Near beer and other beverages con-
tanning less than one-half Of per cent
of alcohol, Is per cent, reduced from
% per cent: soft drinks in bottles or
other containers, 10 per cent, reduced
from % per cent.
Piano players. graphophones, etc, 0
per cent; chewing gum, 3 per cent;
Photographic films and plates, per
cent; candy, 5 per cent; firearms.
shells. etc. 10 per cent instead Of %
per cent: thermos bottles, 5 per cent;
slot machines, per cent; articles
made Of fur, 10 per cent; toilet soaps
and powders, per cent: sculptures,
paintings. etc. 5 per cent; jewelry, 3
per cent: moving picture leases, per
cent instead Of 10 per cent.
Bowie knives. which were included
with the deadly weapons upon which
q tax Of 100 per cent was to be i'm
posed, are taken out OF this classif-
cation and put in with hunting
knives. which are to pay a tax Of
10 per cent.
NThe tax on electric fans was
changed so as to apply only to fans
Of the portable type; they are to be
taxed per cent
The changes made in the taxes on
cigars are as follows:
Tobacco Taxes Cut.
Cigars under three pounds per 1000
$50 per 1000 instead of 81; scent
cigars, "a per 1.O0O instead OF s.; 5 to
Scent cigars, $40 per 1000 instead Of
$; to 15-cent cigars, 80 per 1000 in
stead Of s12: Is to 25-cent cigars, So
per 1000 instead of SIS: cigars costing
more than % cents each. SIS per 1000
instead of $50
Cigarettes weighing not more than
three pounds per 1000. made to retail
at less than cents each, will be
taxed $3.50 per 1000 instead Of $40.
Cigarettes weighing more than three
pounds per 1.O0O will be taxed $40
per / 900 instead of $3.50.
The tax on tobacco and snuff is
changed from IS cents a pound to IS
cents a pound. The tax on cigarette
papers is changed from l cent on
packages containing less than 100 pa
pers to 4 cent, and on the larger
packages the tax of cents is chang
ed to l cent.
While these reductions are about
one-third of the rates previously
agreed upon. they are about 10 per
cent higher than the taxes collected
snder the existing law.