The Wisconsin tobacco reporter. (Edgerton, Wis.) 1877-1950, 1919-08-15
NOTE BOOK SKETCHES

| CONGRESS LOOKS LONGINGLY ON ToBAC-
co TRADE FOR ADDITIONAL REVENUE.
To say the Republican majority in
Congress is worried over the financial
| outlook is putting the case very mildly.
The worry arises from the fact that
billions must be raised by. taxation to
meet the current expenses OF the gov
l5ernment and the tremendous interest
charge on the debt already outstand-
ing. They do not know where TO look
for the money.
Apparently about everything that can
be taxed has alreasy been thrown into
the hopper, and some of the taxes, like
those on soft drinks, ice cream and un-
derwear, have met with such universal
condemnation that their speedy repeal
is expected. The revenue from distilled
spirits will be very greatly reduced.
That, it is expected, will be made up
from increased customs duties, but
there is very wide gap between the
revenue from all present resources and
the disbursements that must be made.
Another bond issue could hardly be
made if the war was still on, and cer-
tainly will fail in a time of peace, al
though some of the leaders are contem-
plating making an effort to float an
other loan.
The Committee on Ways and Means
is still working over the tariff end of
the revenue, and only casual thought
has been given to the internal tax end,
but that casual thought has led to much
uneasiness 1t is realized that income
and corporation levies cannot be in
creased; that the placing of stamp du-
ties such as were placed during the
civil war can hardly be tolerated, and
that but little has been left out of the
tax ring on which tax can be placed
SO as to produce more than a small ad-
dition to the revenue. Were it not for
the dry" condition much larger rev.
enue could easily be raised from dis
titled spirits, but if the doors are tight
closed on the traffic in liquors there re-
mains no possible relief in that direc-
ton. ~
Next to distilled spirits tobacco prod
ucts have been for many years the
great revenue producing traffic. It was
thought when the present revenue bill
was under consideration that the tax
then fixed was all the traffic could bear
but some members of the committee
are turning longing eyes on those
schedules, and trying to convince them
selves that much higher levy can be
made on some of the tobacco products,
and that such an increase will bring in
large increase in revenue. They have
not vet reached definite conclusion on
the subject, but their minds are tend
ing in the direction of an increase. One
thing the majority of the committee
keeps steadily in view, and to that they
are bending most of their thoughts,
and that is a revision of the tariff up
ward. This is for two causes-to aid
in producing the much needed revenue,
and because high tariff has always
publican party. The party in Con-
gress is unit on having revision of
the tariff, but there is some difference
shall be raised.
some favor is to require license fee
from every one doing any kind Of busi-
ness in the country. This would catch
all merchants, all brokers, all insurance
men, all professional men, but the
scheme is so elaborate as now contem-
plated as to puzzle its own advocates.
The present outlook is that strong
effort will be made in the committee to
very materially increase the present
tobacco schedule. In anticipation of
still more widely diffused system Of in
ternal taxes the Treasury Department
has reorganiZed it's field force, consoli-
dating some revenue collection districts
and opening out new ones in other
states. Already very large addition
has been made to the field force, and it
is expected to make other increases so
as to insure the prompt collection of
the revenue. This consolidation has
been made possible by the closing of
distilleries throughout the country, the
collection districts having been origin
ally designed to meet the collection ne
cessities on distilled spirits. Business
everywhere is anxiously waiting the
action of the Ways and Means Commit
tee, and that much uneasiness prevails
is easily seen from the letters received
by members of Congress.
The easiest thing to say, and per-
haps the truest, is that at the present
writing the members of the committee
are all at sea as just what turn to take
on the taxation question. Chaos reigns.
Before them stands the one ,lnalterable
IdCG CudC Tile dOV0TNU1eHC VIII HCcu
money, lots of it, and according to
to American lights a government has
only two ways of getting money tax
alton and loans. But then there stands
the other fact apparently as unalter-
able and inevitable as the other, and
that is, business for the immediate fu-
ture is problematical. It's condition is
also rather chaotic. Competition, live
ly, earnest, energetic competition of
other countries must be met; LABOR
troubles, like a dark and almost i'm
penetrable cloud, loom up; our bankers
are considering an attempt to finance
the world, world that is almost bank
rupt.
Members of Congress of all parties
are beginning to see these things and
are growing troubled as to the way to
lead us out of the wilderness. There
was time when we looked hopefully
to the Orient as our one best market,
but there stands that little yet rapidly
growing giant, Japan japan, with
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