The sun., 1919-06-30
NEW GERMAN TAKES
ARE CONFISCATORY
Budget Is Being Based on a
Maximum Yield Of $780,
5OO,OOO,OO0.
BIZ the Associdted Press.

BERLIN, June 2S (delayed) The new
budget IL the subject Of long confer
ences and discussions between Goverh-
ment leaders 1t is expected that the
programme will be ready for the Ma
tional Assembly early next month.
As originally planned, the budget was
to make confiscations to the amount OF
SIC, 600. 100000 to $4,000 100000. AS
more money is needed. however. the con-
ferees decided to extend the confisca-
ton list to bring in $l7.500. 100000 to
S22I500, 900, 900. Payments will be made
as easy as possible, but those who do
not pay promptly will be taxed.
Since Or. Schiller, former Minister OF
Finance. promulgated his original plan
the peace treaty has been framed. neces-
stating the raising of $4,000, 900
more than originally estimated, so that
a basic revision is necessary. Three OF
the bills to be submitted do not have
permanent money raising character,
but are emergency measures.
The tax on war profits falls into two
classes and. hits individuals and corpora
tions. Excess profits over peace earn
ings would be taxed. in the case of in
, dividuals. on everything over $3.50 up to
$4,000 at Ave per cent. Above $500
the rate would increase proportionately
as the profits increase until 1t reaches
nifty per cent Excess profits earned by
corporations in 1919 will be taxed up to
eighty per cent. instead Of sixty, as in
! 1918.
A war surrender OF excess income"
would be resorted to in the work OF col
! lecting from individuals all income in
! creases above $3.50 in 1919. No decis-
! ion has been reached as to where actual
! confiscation begins, the Government
maintaining that all above s60,125 shall
be taken. The financial commission is
holding out for s110.125. Losses since
December 81 shall be calculated and
! taken into consideration in adjusting the
amount of tax to be paid.
The inheritance tax would be mort
drastic than ever and heirs would b'
doubly handicapped. because the Govern
ment would first tax The property OF al
decedents and then levy another tai
when the property passes to the heir
This tax would be more severe In pro
portion to the relationship Of the heir Il
the deceased. Property and money gift
made during the lifetime OF the dOno
would be taxed heavily. The f1nancia
4 status OF heirs would also determine tn
rate of taxation. Thus, a large inherit
ance received by wealthy person woul'
pay as high as so per cent to the State
High Protective Duty Planned.
The taxes OF individual German State
would be unified and real estate nea
fortresees. which would become NOR
valuable when the strongholds are dis
mantled, would help TO pay the empire
financial expenses. Tobacco and suga
taxes would be increased and those o.
matches and wax papers would b
doubled. a high protectice duty woul
be imposed on imports TO protect HON
industries, and all amusements, celebra
tons and instructive and educationa
gatherings would be taxed on the mum
Der OF tickets issued to patrons, or o
the sums received from the sale Of food
or drinks II the performance is free
Playing cards would yield fifty cents pc
deck
The Government estimates that tn
increase In taxes over last year fror
various sources will be as follows: TIC
bacco. 500. 900. 900; inheritances. S1l7
soc. 900 sugar s45, 900. 900; recreationi
$500, 5000 matches, &C., 100000
real estate, $l8,500, 000 and playin
cards $2.000,o 900. The income tax fo
1919 is expected to bring an increas
OF sse,ooo.o0o and property conhscs
tons will bring an estimated sum c
$4,000. oo0. 900.
Bavaria will have a floating debt c
5000, 000, 900 at the end OF the year. F
nance Minister Speck declared in an &C
. dress NJ Bamberg.
Up to this time. he said, taxes had RI
3 turned S2S,60o. 900 annually, and ne
3 tax sources must be found School @,
0 penditures are estimated at S6,750.o0
2 and there Is no money in sight to met
4 them. while the expenditures for Stat
employees will aggregate S%t,6oo,Ooo.