Evening star. [volume] (Washington, D.C.) 1854-1972, 1919-12-18
PROFITS TAX COST
TOLD T0C|TY CLUB
Public Pays Four Times in
Fancy Prices for Each
Dollar u. S. Gets.

For every dollar paid into the Treas
public is forced to go down into Its
rocket and shell out from 81 to S. In
fancy prices. according to William
Colver, member of the Federal Trade
commis si speaking at the .,n Deem EN-,
light in the large ballroom OF the
Jew Willard Hotel.
Mr.. Cofver urged IMMEDIATE repeal
T the excess profits tax law, declar'
that it encoura ged waete and az
;ravagance and was largely respoh-
.ble for the present high COS. o.
living.
WINS Designed to RecOup
1.-The excess profits tax was never de-
signed as a revenue measure, but
I merely as a wartime method Of re-
'ouping into the Treasury the amour
excess in prices that the govern
stimulate production to the exten,
hat was essential. 1t was found tina
here was a wide range In The cost O.
reduction of the same article in the
arious processes of manufacture II
actories, mines or mills. There were
ow-cost and high-cost production
,ncerrs. Prices had % be fixed 81,
that hte high-cost concerns could
rake fair profit. and this arrange
nent gave an enormous profit to the
IS tax was created to recoup some OF
his excess profit.
But prices no longer are fixed; and
20 try to return to a normal peace
basis with this tax used to equalize
fixed prices during wartime is utter
artificial. unhealthy and burdensome
price structure that should be under
mined.
Not Paid BY Taxpayer.
1.-THE excess profits tax is not paid
BY the taxpayer. It Is passed on In
the price of the product to the pur-
chaser Of the product, and as 1t passes
on and on It srows s AND grS .ws.n uns 81
and IS is taken from you and me and
the man. on the street-u1timate con-
sumers-in excess prices for every
dollar that eventually gets into the
Treasury. I think that is going a
little bit stiff.
stones upon which the present intol-
cradle price structure has beenraised
1t works a hardship upon the con
Stunning public, and SO. Of course, upon
I the business man.
II don't know exactly what II costs
to collect this tax but venture tc
| say that the government has to pay
out so cents for every dollar, collect
| ed. Considering this expense. along
with the amount added to prices (
reimburse the dealer for the tax he Ii
forced to pay, it is fair estimate tha
for every million dollars collected By
the government the public is com
PEELED to pay out ten millions"
Refer. to Attacks in fate.
Mr.. Colver referred to recent Senate
| attacks upon the Federal Trade Com
mission, in which the commission hai
| been charged with fostering bolshevil
| IDEAS, destroying foreign business ant
| consplring with foreign government.
l TO ruin American business men.
| we are going to have a showdown
] on these charges" he said. land whel
| the time,come 1 hope that the paper,
| will print all of the hot things tina
| we will have to say"
1 Dr.. John Van Schaick, nominated
recently as District Commissioner
also spoke. J. A. Whitfield. presiden
| of the club. who presided. introduced
| DR.. Van Schaick as one Of the thre,
| members of the club who are electe,
| by the United States Senate, the thre
District mmissioners being honor
| airy members of the club.
! Hopes OF Dr. Van Schafcl. =
l IF the Senate elects me to member.
ship in this club" said Dr. Va,
schaick: Il hope that will prove a,
honest-to-God member and an hon
| est-to-God resident Of the District
! While waiting for the Senate to &C
upon my nomination l am somewha
! like Mohammed's coff1n-in suspense
That suspense is not worrying me.
do not have to pay any excess profit
tax; do not have to pay my dog Ia,
again until next July, and there is
perfect joy about living In a com
munity like Unsupported one keep
off the school board. a thing / hav,
not been successful in doing.''
Views OF the 100000 cIuhous,
1 soon to be erected on G street nea,
18th were thrown upon the screen an,
! explained in detail by James Sharp
| chairman of the building committee
A unanimous vote Of thanks was Civ
en- the committee for it's untiring eff
forts and its excellent work.
Life Roll In Complete.
John Dolph. vice chairman Of tn,
committee on life membership, an
I nounced that the life membership roll
| Of 100 persons was complete, $4,000
having been raised in three weeks.
Charles w. Semmes made an appea
In behalf of the Chtldren's Hospfta
financial drive. =
DR.. J. Rozier Biggs of the forum
committee presided over the program
OF entertainment. Several acts wer
presented by professional vaudevill
talent and music was furnished B,
the City Club Ladies' Orchestra
bunet supper was served.
MOO nnAnnaaaas IA H~