The sun., 1918-08-03
TREBLED TAXES
FOR SMOKES IS
TENTATIVE PLAN
House Committee Draws Up
Tobacco Increases to Pro.
duce $40, 100000. o..
10 CENT CIGAR TO BE 13
Definite Action Deferred
While Other Sources of
Revenue Are Sought.
Special Despatch to TIE So.

Special Despatch to TIE So.
WASHINGTON, Aug. At Is going TO
cost the American public a whole lot
more to have a smoke II taxes written
tentatively to-day into the new revenue
bill by the Ways and Means Committee
stand.
On top OF its action yesterday In
doubling the taxes imposed on tobacco
manufacturers the committee to-day
drew up schedule OF taxes designed to
reach the smokers themselves. which
amounts to more than trebling present
rates The taxes affected by this action
are those on cigars and cigarettes. as
well as cigarette papers and those little
thirgs called tubes" which some people
consider necessary to the enjoyment of
a cigarette or cigar.
e34O,OOO,OOO Receipts Expected.
Convinced that the country needs
money from all possible sources to pros
ecute the war. the committee fairly
ripped its way through the present cigar
and tobacco schedules without a visible
tremor or regret. 1t is estimated that
IL the nations smokers are still able
under the new taxes to buy cigars and
tobacco at the present rate Of consump-
ton the Government will receive about
s340,o0o,ooo from smokers instead of
the sl6s,ooo, 900 1t now receives.
Under the new rate cigars costing 8
or cents are likely to go to and s
cents, while the ten center" will prob
ably go up to IL O. 10 cents. This
was the prediction to-day OF committee
members, all of whom appear to be
heavy smokers. When the last bill was
passed the cigar and tobacco taxes were
passed right along to the consumers,
and there is no reason to believe the
manufacturers will do anything else
this time.
This is the schedule of rates in the
tobacco taxes tentatively agreed on to-
day:
On cigars weighing not more than
three pounds a thousand. 50 instead Of
81 as under existing laws.
Weighing more than three pounds a
thousand. retailing at not more than 4
cents each. IS instead Of SO n thousand.
On cigars retailing at more than 4
cents and not more than cents each,
$40 instead Of 81 a thousand.
Retailing at more than certs and
not more than Is cents each. SIS in
stead Of Sc.
IS Tax Raised 20 S20.
Retailing at more than is cents and
not more than 20 cents. $50 instead OF IS.
Retailing at more than 20 cents, $40
instead of $40 per thousand.
On cigarettes weighing not more than
pounds per thousand and retailing at
less than cents each. S. per thousand
instead of S2.05.
On cigarettes retailing at more than 2
cents each. IS per thousand. instead OF
$205. -
Weighing more than pounds per
thousand. $40 per thousand, instead OF
$3.50.
The tobacco tax was raised from 10
cents per pound to 80 cents.
On cigarette papers made up into
packages or books containing between
% and so papers or tubes. l cent. in
stead Of half cent as at present.
Cigarette papers in packages or books
containing more than SO and not more
than 100 papers. 2 cents, instead OF
cent.
Containing more than 100 papers. .
cents for each hundred papers or frac.
ton thereof. instead of l cent as at
present
On cigarette tubes. cents for each
hundred tubes or fractional part thereof,
instead OF 2 cents as at present.
sim 900 short.
The taxes tentatively written to-day
are In addition to all OF the taxes on
manufacturers OF cigars and tobacco
imposed by the committee yesterday
The committee is still confronted with
shortage Of s1.32S.0o0. 900 in the S.
moo, 100000 the Treasury wants raised
through taxes. providing the estimates
Of the revenue to be raised through the
tobacco, cigar and cigarette taxes are
correct. Some of this amount the conf
mittee expects to get through the luxury
taxes suggested by the Treasury. but
how much more these articles can raise
is problematical.
4 subcommittee OF the Ways and
Means Committee has been at work for
two days on the schedule OF luxury taxes
sent 10 the committee by the Treasury
Department. but probably will not re-
port until Monday.
The committee in considering the to-
hacco taxes to-day considered the sug-
gested retail sales tax on tobacco and
its products. but passed this over until
later to see II the deficiency In the new
BIZ can be produced In other materials
before tackling this article with still
q third tax.
Manufacturers are to pay an excise
tax and a tax on their products as 1t is
nd uti I'd TO 80
committee felt. would be rubbing II in
on one industry. OF course IL the Treas
ury insists that $4,000. 900. 900 in revenue
Is absolutely essential from taxes and
there is no other way Of raising II to-
h0cco, cigars and cigarettes will have
another tax slapped on them.
Fights shy of Liquor Tax.
The committee is still lighting shy of
the taxes on liquor, beer and wines. The
members want to double these taxes. as
they see a billion dollars In revenue
right there but they are afraid OF the
action of the two houses OF Congress
ON the war time prohibition rider to the
food stimulation production bill. II this
''der goes through II means that the
commttee will have another billion dol
lars to raise In some way or other.
Consideration OF the tax is being put of
until the very last 80 that the commit
tee may learn II possible the proba BILE
action Of the Senate and House on the
dry rider
Some Democratic members Of the COM
mttee are confident that the dry meas
ure Is never to become a law II the
rider is passed by both Houses the only.
hope the revenue ralsers have Is that
me President will let the bin die through