The Birmingham age-herald., 1918-12-20

pected to make a lengthy address to- morrow in it's behalf Senator Jones of New Mexcio, democrat, plans to ad- yocate an amendment to continue war profits taxation through 1920, and Senator ThomasSof Colorado. democrat is expected to propose elimination pr the inheritance tax provisions.
 SECOND-CLASS POSTAGE Disposal of the second-class postage section today was regarded as remov- ing a considerable obstacle from the bilIs path Senators Hardwick of Georgia and Nickel led the fight on the committee amendment, which was defended by Senator Shoot Of Utah Opponents charged that second- class publications are granted a large government subsidy" while senator Smoot declared the present zone sys- tenn tends to foster undesirable sec tionalism and would drive many small publications out of business.
 Senators Borah, Calder. Dillingham;, Fernald, France Harding, Johnson Of California;; Jones of Washington; Knox, Lodge, McCumber. Mclean, Me Nary Moses, Page, Penrose, Poindex- ter, Sherman Shoot. Spencer ard Weeks-Total, 21, for
 Democrats: Beckham, Hardwick. Johnson of South Dakota; Kirby, Me- Kellar, Martin of Kentucky; Myers, Nugent, Pomerene, Shaffroth Shep- pard, Smith of Arizona; Thomas, Tram meu and Vardaman. Total, against, b.
 Republicans: Curtiss, Kellogg, Ken yon, LaFollette, Norris and Suther- land.-Total. against, 22.
 Senators Sterling of South Dakota; Warren of Wyoming and Watson or Indiana, republicans, voted for the committee amendment, but because of absent pairs" withdrew their votes and Senator Gay of Louisiana. demo- crat, announced that he was paired and although unable to vote for the amendment. favored it's adoption,
 The substitute bill which Senator I.aFollette will advance tomorrow, pro- poses mainly large increases in the war excess profits rates and indivij- ual income surtaxes. Tn lieu of the bills levy of 30 per cent on the ex- cess of corporations net income over credits and under 20 per cent of in- vested capital Senator, LaFollettc's bill proposes 35 per cent on profits under Is per cent of invested capital.
 WOULD CUT THE PER CENT
 Instead of the bills tax of 60 per cent on profits in excess of 20 per ceht. the Wisconsin member proposes a tax of 60 per cent on profits between 15 and 20 per cent, and 70 per cent on those over 20 per cent.
 The LaFollette substitute also pro- poses to retain the 12 per cent tax on corporation incomes. but cut the normal rate from 12 to , per cent and secure the bulk of individual in come revenue from surtaXes In lieu of the bilrs surtaxes ranging from per cent on incomes between 5000 and s6000 to 65 per cent on those over $1 100000, Senator LaFollette's substitute proposes graduated sur taxes ranging from per cent on ,ln- comes between s8000 and s7000 to 7S per cent on incomes over s100,00o
 From individual incomes Senator I.aFollette estimates that his Dill would raise s1,7S4,060.000 compared with $1.432 .0oo, ,0O0, estimated under the pending measure.
 In disposing of the miscellaneous provisions today. the Senate adopted committee amendments to give mutual insurance companies the same tax privileges as life insurance companies, basing their taxes on net incomes in- stead of on policies issued