davidaulloa/AmericanStories huggingface dataset:
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
Imports Must Be
Stimulated, Too

with all the growing interest in the
United States in the development of
foreign trade, we must not lose sight
OF the fact that there are essentially
two sides to foreign trade" the banker
continued. people cannot buy unless
they also sell. In the main goods must
be paid for in goods, not merely with
money or credits. If we are greatly
TO develop our foreign business we must
greatly develop our imports as we'll as
our exports. That is especially true
now since we have become great
creditor nation of the world. Other ,4,o
pie must have the means to paw for
what they buy here, and we must facil-
ltate the exchange Of goods rather than
merely undertake to stimulate the ex-
portation of products. Our branches
are preparing also to aid commercial
and industrial interests in their several
localities to extend their trade opera
tons in the United States.
eve shall soon be prepared to fur
nlsh travellers with competent inter
prefers and to secure for travellers in
Productions and entries wherever that il
desirable and practicable We desire
to give information concerning routes,
hotels, railroads or other forms of con-
veyance, and to help in the way of fur
nlshing transportation, engaging hotel.
sleeping car or steamship accommoda-
tons, and, in fact, every line of service
that will facilitate the conveniences,
means of observation and comfort of
Travellers"
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
Putting Seller
In Touch With World

III the manufacturer decides to enter
the foreign field he will want to know
how to sell his goods. We are not
going to sell his goods for him. We
are not going to engage in the remotest
degree in merchandising. We can tell
hlm various ways to do business. The
best way is for him to send somebody
to the most likely foreign territory to
represent him, to investigate direct,
with expert knowledge of the article
that he manufactures. If he is not
prepared to do that we ought to be pre-
pared to bring him into touch with yar,.
Gus agents here or at the point that he
expects to develop trade.
Then if he wants to investigate the
situation himself, or if he wants to send
representative we will be prepared at
each point where he goes to furnish a
service of statistics, of personal infor-
nation, Of introduction, of things that
we can properly undertake through
these agencies or these bureaus in the
different branches"
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
.ss42fD
Lew on the
Individual Interest

II the above corporation should dis
incorporate prior to January l. 1915
and engage in the same business under
the same conditions, as a partnership
IN 1918, the war excess profits tax
would not apply, but the individual
partners would be taxed on their dis
tributive shares OF the income of the
partnership, whether distributed or
not. The income tax on the individual
interests would be as follows:
Income of each partner .... .s5oo.opo
Income tax on 5000 600 ..... $4,000
Tax of three partners e6e 900
In this particular case the tax or the
partnership would be slightly in excess
Of the tax on the corporation, although
the corporation is subject to the war
excess profits tax. If the corporation
should decide to pay off any outstand-
ing Indebtedness at the beginning Of
the taxable year, or invest in the
fourth issue of Liberty bonds. or under
the Senate bill permit this income I,
remain in the business, the total
could be allowed TO accumulate
IN the corporation. and the three stock
holders would not be liable TO ind
vidual income tax on their shares Of
earnings of the corporation until dis
tributcd. This would materially reduce
the amount of tax paid by the ind
vidual stockholders, and if all Of the
income of the corporation was properly
permitted to accumulate, the 1918 tax
would be reduced to s529,64s The in.
dividual partners could not similarly
reduce their taxes on their shares I'll
the income of the partnership, mas
much as under the law their intcrcsisI
are subject TO tax whether left in thsS
business or withdrawn.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
Touring for
Education

We believe that there will be
4 great number Of Americans going to
all parts Of the world with a serious
minded intention Of studying con-
d't1ons, Of learning something at first
hand OF political, industrial and COM
mcrcial conditions. The important in
tcrnational position into which the
United States has immerged seems to
have created an interest quite different
from the superficial pleasures seeking
motives that for years have taken most
Of our travellers abroad.
"phe average American starting on
tour Of serious observation In ant to
be somewhat awkward and find himself
Handicapped. We have had competent
guides to art galleries, but few to inr
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
Why DeAation
Will Be Slow

The grounds for disbelief in tho nros-
pect OF any immediate contraction of
credit need especial emphasis at this
point. The new demands upon bant;no
credit are likely to be large. The bank
ers have the necessary reserves Thero
VIII also be new government bond
issues Taxes may be lowered. and
VIII, in any case, fall far short of meet
ing government requirements. In the
financial aspect, in truth. the way ;s
yet with us, together with the financial
policies and methods already estab.
hshed. More largely even than previ.
ously the bankers will have TO absorb
these bonds or to carry government
snort time paper. Appeals to cnthusi
asm and to patriotism will have lost
part of their force. The meaning Of
this bond absorption is more imitation.
ana further yet: Either the banking
system or the government is substan-
TALLY committed to enormous advances
to Europe. Europe needs our food sun
pies, our iron, steel, cars, ships and
machinery. But Europe lacks in i'm.
mediate paying power in terms of
goods. 1t will furnish bankable prom
ises or 1T will have to be supported bv
the. credit Of the American government
NO manufacturer can supply goods nm
less he can bank the paper; nor can tho
government make advances unless II
collects taxes or issues bonds or euar-
antees public or private paper abroad
so that the paper can be banked here
The wiser hod--precscly in or6cr
TO avoid n further nflntion--would ho
that tho government carry the Euro
pcan securities through the collection
OF taxes but taxes are probably to be
lowered instead of raised, Therefore
credit will have to be further expanded
Bonds Mt Az per cent induccmcnt arc
not likely to count for much In rcvc-
MUGS, unless in the degree tbnt thoy
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12

perience, who are keen on this work, who
VIII not have to be driven but who viii
lead, and who will see that what they
arc engaged in is really great ma
tIonal service, as well as piece of
business.
ut is NOT easy to get such mon. Take
the ordinary group Of trained college
men with some grounding in economies.
How many of them would be eligible .
There will be family considerations or
other conditions that will lead some to
look with disfavor upon foreign ser
vice. Others may be lacking that in
tangible thing called personality, or
there may be other reasons that will
disqualify them for this work. Our
own employees in the home Office give
us material to draw on.
outside the bank we shall in the
main perhaps take returning officers.
We find that there are many applicants
from among these officers. and thew
seem to be men with. personality. men
who had large sponsibilities laid on
them and have shouldeged them success
fully, who have broadened very much
with their military experience. or have
mad IN many cases broad and inter-
estlng experience before they went into
the military work. Some of them have
many qualifications that are desir-
able"
The next query was what oreaniza-
tion IN the home Office would be neces
sary to coordinate and direct the for
elgn branches. TO this Mr.. Vanderlip
that in way the general or
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12

! ganzation by which the domestic bust
ness was handled would be copied.
The domestic system was put into
effect about two years ago, as a recog-
milton of the genuinely national and
unprovincial character of the bank.
Aware of the fact that not even an ex-
pert banker could hope to become in
the least degree expert on conditions
throughout the forty eight states of
the Union, the bank divided the country
into six districts, put vice president
in charge Of each, and under them as
sstant cashiers were placed, each in
charge of a sub district.
"That plan has proved workable,
Mr.. Vandcrlip declared, in commenting
on how rapidly the bank has grown since
it was instituted. s'I think the entire
correctness of the new method has been
demonstrated. SO, seeing the success
of that type of organization in the do
nestle field, we are led to adopt the
same general plan in the foreign field
The world will be divided into groups
OF countries. with vice president in
charge of each. He will have under him
either assistant vice presidents or as
sistant cashiers. who Will take charge
of subdivisions of each group Each
epresident will be responsible for
the development of the work in the
group of countries assigned to him, anc
IN turn he must throw the response
bility upon his subordinates so that an
assistant cashier or assistant vice
president will feel the weight of 1e-
sponsibility for Countrywide re-
sponsibility for all the interchange be-
tween the branches in that country and
the home banks--all the work that
originates or terminates in the coun-
tr,
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12

oustry. The lack Of facility in foreign
language, the absence of a background
OF experience in foreign trade, the gen
cral absence of means for being quickly
brought into touch with the things Of
serious interest that travellers will
want to learn about will, we believe,
create demand for new form or at
least new development Of service, and
1T will be internationally important
that this new form of service be
promptly and efficiently organized
Mr.. Vanderlip has interpolated an ex-
PLANTATION that the foreign branches of
The National City Bank and the Inter-
national Banking Corporation were now
forming travellers bureaus. and also
establishing agencies in places where
branches have not yet been opened
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
By Morris F. Frey
o9 Consultont Guaranty Trust
Company of New York

Ia1 Consultdnt Guaranty Trust
Company of Nev York
THE war excess profits tax title
of the revenue bill as passed
by the Senate, though far from,
what may be desired, is an improve
ment over the 1917 law, both in sub
stance and clarity. Many of the in
terpretations of the law, which were
contained in the regulations Of the
Treasury Department and made posi-
bic the administration of the obscure
and complex provisions Of the Act OF
1917, have been Incorporated in the
new bill and have cleared up a num-
Der Of the complexities of the exist
ing provisions.
1t is not to be expected, however.
that law providing for a form of
taxation, the basis of which is the
invested capital Of a business, arbi-
trarily determined, can be enacted
which Will permit of simple and salts
factory administration. A law based
upon invested capital necessarily pro-
duces inequalities which cannot be
overcome by any general rules of as
sessment. Uniformity, if possible at
all, can be obtained only by special
treatment of the individual cases pre-
sented and an assessment based on
the facts in each particular case.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
Provision for
Gross Inequities

In the bill as passed Congress has
laid down certain general rules gov
erning the method of the computa-
ton of invested capital and the war
excess profits tax, which will apply in
ordinary cases. The law then pro-
vides for relief from gross inequality
in assessment, due to the peculiar
facts incident to certain other cases.
by providing that in such cases the
tax shall be the same percentage OF
the net income Of the corporation as
the average percentage of the tax Of
representative corporations engaged in
a similar business is Of the income Of
such corporations. 1t is left to the
Treasury Department TO ascertain the
average percentage of tax of repre-
sentative corporations which Sre com
parable with corporations so circum-
stanced that the regular rules CT as
sessment cannot be applied The sue
cess of this system, consequently, is
entirely dependent upon the admin
istration of the Treasury Department
and its ability to select representative
concerns. In many Instances ii is
probable that a business concern can
not be compared with any other con
Germs, or that because of conditions
peculiar to the particular corporation
the average percentage of concerns
engaged in the same business is not
properly applicable. In such cases the
tax cannot be equitably apportoned
i'm the manner prescribed in the law.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
How the Hun
Stole Secrets

Moreover, in the days before the
war, when the United States was with
out any substantial banking represen-
tation in foreign fields, it was notori-
GUS that the German banks at least
used confide initial information that they
received from American exporters who
were their clients and transmitted it
to exporters at home, informing
them of all the essential facts regarding
the foreign markets, the margin of
profit, the cost of production and other
relevant facts, thus enabling the for
eign exporter to take the trade from
American firms by unfair tactics"
Mr.. Vanderlip explained that the for
eign branches must be American in
spirit and personnel as we'll as in
name. The chief officers must be Ameri-
cans-and the finding of adequately
trained men is the chief obstacle to
surmount, he indicated. And the City
Bank is striving to overcome this diff
Guilty By conducting training school
in banking and languages for those Of
its employees who wish to grow with
the institution.
This world is after all pretty
human old place" said Mr.. Vanderlip
in further unfolding his dream, "and
we want to make our foreign banks
dynamic centres-friends of American
travellers and foreign customers"
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
Will Have
Officers Abroad

"ln Europe we will have at least
one foreign vice president. We may
eventually have number of foreign
vlcc-presidents located in different
parts of the world. The agencies will
be related to the adjacent branches in
the country where the agencies are
located.
81 think that the ideal equipment for
an agency would be an American man
ager, native assistant and an Ameri-
can senior clerk. The service that the
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
Business Taxed
On Different Basis

Partnerships and individuals are
free from the imposition of the war
excess profits tax under the revenue
act Of 1918. The reason which is as
assigned by the committee for re-
lieving them OF this burden is that
heavy surtaxes must be paid upon all
net income, whether left in the bust
ness or not On the other hand, stock
holders OF corporation are relieved
from surtaXes upon the portion OF
the earnings of the corporation which
is not distributed. For this reason
Congress has concluded that the in
equality due to the assessment of war
excess profits taxes on corporations is
overcome by the imposition Of the
high rates on surtaX on the income of
individuals and members of partner
ships. In some instances the CON
illusions reached by the committee
are equitable. but in the majority of
cases, particularly of small corpora
tions, the tax on a business carried on
by close corporation is much higher
than the tax on the same business if
carried on by partnership similarly
constituted. If we take for example
corporation organized in December.
1917, composed of three stockholders
with equal shares, having net income
for the taxable year of 1918 of $1OO. 600
and invested capital of 5000, 900. the
war excess profits tax will be as fol-
lows:
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
How Manufacturer
VIII Be Helped

In what specific ways can the struct-
ure which you hope to build help The
ordinary American manufacturer who
has a notion that he would like to en-
ter the export field ~ was the next
question. This led Mr. Vanderlip to
depict more clearly the relation be-
tween the home Office and the foreign
branches.
"The American manufacturer" he
said, "has been hearing a lot about for
eign trade. Perhaps he knows nothing
about it. He has never engaged in any
thing but domestic business When he
first approaches us at our home office
we will aim to give him information
about the trade possibilities in the
country he is interested in.
1--WE may find even that good many
manufacturers think that the business
Of foreign trade is something quite
different from domestic trade, that it
is sort Of Christmas tree, and thew
have just got to reach up and get a
present of some profits, that they can
use it when things are dull and drop
it when things get busy at home. We
may find that even some of them VIII
think we will undertake to sell their
goods for them. We will not do any
thing of the kind, and we ought to dis
courage the man who has not the right
attitude toward the work.
Foreign trade is not easy; it is
more difficult that trade here, and un
less man is ready to enter it prepared
10 spend money, prepared to prosecute
1t with the greatest diligence during
easy times here and hard times, during
t'mes when he has plenty of domestic
orders, as we'll as other times when
he has & scarcity of domestic orders
then he had better keen out Of il.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
How Partnership
Fares Better

II the stockholders of the above cor
poration had transacted the same bust
ness during the year 1918 as partner
ship they would not have been subject
TO the war excess profits tax and would
nave been compelled to pay tax only
on their respective shares of the in.
come of the partnership, whether dis
trlouted or not. The tax would be as
follows:
Total net income of partnership 500 ,ooo
individual share Of each partner 1888
Income tax on SS3.ccS ..... SaCqet
Total income TAX of three part
ncrs Observation-Disclosures. 1Y.aae.7s
In the sbovc case, it can he seen
that the tax on the partnership would
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
Reconstr'uction-andB Beyond
Prospects for Early Contraction of Credit Remote Re.
cause Demands ON Banks Likely To Be Large.
and Distribution of New Liberty Bond Issues Nav
MOI be as Wide as i'll Earlier Ones Economist Saws
Article lV-The Credit Outlook

-Note.-This is the foauM of d
se'7es Of articles IN aclnch Professor
Docenport outlines his vicavs Of the
tut'ue of security ralues, interest.
international trade, gold movements,
'oo9es, immigration, shipping, tara
t'on, real estate, etc. The fifth
article mill be presented merit SIM
ddy.-Fananciol Editor.l
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
Success Of Tax Law Depends
On Efficiency of Treasur,
impost on Business Conducted by a Close Corpora.
t'on is Much Higher Than That on Similar
Activity Run by Partnership, Expert Saw.

nave been about one-fourth of tho =.
on the corporation similarly co,s..
tuted, showing that the impos;.;o~ ' :.
taxes, on a different basis !"
same business. in one case trans ~.
by partnership and in the otba, WV
transacted by corporation. nroaus
gross inequality in the amount 40
which must be paid by compet,,ss
ms inequality exists in the great =.
lorlty Of cases and is particular,v 80 $50
dent IN the case Of the smaller ~.
poratlon whose net income is bsa =.
comparison with its invested can,..,
comparison shows, however. that =,
difference decreases as the amoan. :,
income of the individual partners !.
,he dlstributive share of the partr.,
ship profits increases and roach.
point where the tax paid by tho ;nai
vldual partners will be higher than ~.
tax paid by the stockholders Of ~.
corporation under similar circnu-
stances. This is dependent, howeys,
upon the amount of the invested csn'
ital, IS compared with the net incor. !,
and also the amount of net incom.
which is permitted to accumulate l,
the corporation.
AS illustrative of the latter class ~.
may take corporation organized IN
1917 with net income of s1.5o0.00o ,,a
invested capital of $4,000 900. with
three stockholders, each holding A.
equal amount of stock. The war e,-
cess profits tax and corporation in
come tax in this case would be a fo,.
lows:
-'eI INCOME 81 500 nnn
War profits credit at 10 per
cent .................... 100000
Amount subject so per cent
tax ACKNOWLEDGEMENTS. $4,000
lax at 81 per cent ..-.-... ss7.eoo
Income tax on Sli00,40O AT
IL per cent .............. 1s2.o4s
Total corporation war excess
profits and income tax. scaeas
If the corporation distributes a div.
dend of per cent, each shareholder
VIII pay surtax on dividends of s3oo-
coo, or s137,5lo. The total tax, there.
fore. paid to the government on the
earnings Of the corporation is as fol-
lows:
War and excess profits tax. sse7 soo
Corporation income tax ....... 132,oas
Individual surtax ............. 4f2.53o
Total tax .......... Sed1 en-
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12
Tying the World to New York

Nanderp Vision of Branch Banking Which as the
Centre of Financial Network With Reao Every
Business Point the World, Closer
With All Others Than Possible Even With nj
versal Telephone System
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12

This is the FIRST Of series Of az
t'ctes that Mr.. Frey is prepdrF'
for The Tribune on prociiool -
problcms.-Financidi h'ditesA
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12

If the corporation pays to the three
stockholders dividend equal to IL
per cent on its invested capital. each
stoekhoIdcr will receive dividends of
$4,000. The individual surtax on $4,000,
provided the shareholders have no
other income, is $50; so that the total
surtax paid by the three stockholders
on their dividends from the corpora
ton would be $50, making the total
tax on the income of the corporation
and the individual shareholders, for
the year 1918, s6611S
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-12

latter organization owns all the stock
of the former
The evening Caledonian. [volume] (St. Johnsbury, Vt.) 1918-1920, 1919-11-10
The Evening Caledonian-Record sounp.r~vD
ST. JOHNSBURY
Local News

Masonic dancing class and social
Friday, Nov. IA, at s o'clock.
adv. 1920
Perry Lowell spent the week end
with his sister, Mrs Cecil Albee, at
Newport.
One hunderd and twenty five
couples attended the dance given by
Hills Novelty Orchestra Saturday
night at Leclcrc's Hall.
Selden c. Smith and his daughter,
Miss Margaret Smith, Of San Fran
cisco arc the guests Of Mr.. ard Mrs.
Warren Eatabrooks.
w. Scott Stafford Of Lyndonville
and Lillian V. Petty Of st oJhnsbury
were married at the Baptist parson-
age Saturday by Rev. A. S. Wood
worth. Friends of the bride accom-
panied the couple at the marriage
service. Mr.. and Mrs. Stafford will
make their home for the present at
No. / Portland street.
"Squarc Deal SaEderson" the Art
craft Photoplay which features VIM.
S. Hart is without doubt one of the
strongest pictures Mr.. Hart has thus
far been seen in. Those who care for
action piled on action, true love and
the code of honor Of the far west,
VINO revel in scenes which show the
everlasting hills and the deserts that
stretch into miles in every direction,
where men live and die hard, will
find it all in "Square Deal Sander
soE" They will find in Hart Won
derrul mixture. Wild and inflexlbie
in his fight for the right, but tender
and cowcd by the presence Of the
woman he loves, he goes to the limit
and ovcl-for her. And beautiful
Ann Little is the woman, a sterling
actress, which insures wonderful
combination. At the Please U to-
day and tomorrow.