The sun., 1919-02-12
REVENUE BILL TO
Be PASSED TO-DAY
Final Action Assured on Meas
.ure Designed to Raise Six
Billion Dollars. g., q.
DELAY DEBATE
Thomas Objects to Elimination
Of Provision to Tax Cam
paign Gifts.

WASHINGTON. Feb. 1i.-P1nal action
by Congress- tomorrow on the $e,ooa'-
600, 900 war revenue bill appeared a.
sured tonight after several hours OF a.
bate in the Senate on the conferees
which the House adopted last
Chairman simmons, of tho Senate
managers, addressed the Senate to-day
on the conference report. while senator
(Coiorado) Democrat. Sharply
elimination Of his amendment
to tax campaign contributions OF seoo or
more 100 per cent. Democratic and Re
publican leaders predicted tonight an
vote Of approval.
Republicans delayed action on the bill
to-day demanding that the lengthy for
NAL conference report be read. Repuo-
lean leader Lodge (Mass) and sena-
tors Penrose (Penn.) and France MAJ,
that this formally be followed.
its reading took more than an hour. with
the Senate virtually deserted.
An incident enliyening the procedure
was the inadverdent adoption of the con-
ference report, but. upon objection by
Senator Simmons the action was set aside.
Senator Mcclellan (Tenn.) Democrat,
who was presiding. hastily put the cues.
ton on the report and formally declared
tho report adopted, but Senator Simmons
induced him to annul his decision.
Emphasises Exemptions.
genstor Simmons emphasized the i'm
portance to business interests OF thu
relief provision allowing tax exemptions
for shrinksge in commercial Inventories.
and said he believed much OF the oppo-
stion OF manufacturers to the bill was
due to the fact that they had not been
fully informed regarding the provisions.
Discussing the Senate amendment pro-
viding that all campaign contributions
above $500 should be taxed 100 per cent
Senator Simmons said q poll OF Demo-
cratic Senators showed that II the
amendment were retained In it's original
retroactive form II would result in seri
GUS delay IL not defeat of the revenue
bill. and for that reason the Senate
corterees decided to yield to the House
managers and strike out the amendment
Senator Thomas interrupted to say
that he had not heard OF the poll and
asked who took 1t. Senator Simmons
said Senator Swanson (va) took one
poll, and Thomas w. Keller, assistant
doorkeeper of the Senate, also took one.
Senator Thomas said that shortly after
formed that Chairman Hays Of the Re-
publican National Committee, came to
Washington and was active in opposition
to II as also was Senator Martin Of
Virginia. the majority leader.
Senator Penrose asked II the Colorado
Senator realized that the House con-
ferees objected to the retroactive feature
in tho amendment and suggested that
the Senate conferees did not desire to
destroy or mar its symmetry" by alter
ing It.
Takes shot at Penrose.
The effect Of the Pennsylvania SEN
ators symmetry" replied Senator
Thomas, sis so notorious that 1t has
often caused the defeat Of his better
judgment
Senator Thomas declared that II was
b. ":ho to.a: Republican and Demo.
cratic action that this amendment
which I believe would go far to purify
! elections. has been slaughtered"
In explaining how the second class
postage amendment was eliminated, Sen
ator Simmons said he believed it wa.
well understood that from the begin
ming OF Congressional controversy over
publishers rates. the Senate had opposed
the present zone plan while the House
has been equally insistent upon It.
From the very outset OF the presen,
conferences" he continued. I'VE were
notified that the Senate amendment
| could not remain In the bill The ques
ton kept bobbing up daily. always with
the same note-that there could be. nc
report unless the provision was eliml
mated. Finally we felt It necessary tc
yield. as much as we regretted IT."
Senator Kellogg (Minn.). Republican
criticised the conference agreement ex.
tending to 1920 the so per cent wa,
profits tax on Government contract.
made during the war. The Senator salG
corporations patriotic enough to work 70,
the Government thus would be penalizeC
ard Disseminated against. In reply Sen
ator Simmons said the tax was imposed
only on contracts from which profit.
would accrue this year and declared Il
was common knowledge that excesslv,
! profits were allowed on contracts durinf
, the war where speedy delivery was q
1