The Washington times., 1920-01-02
CONGRESS TOHALT
HUCEENGL|SHL0AN
Mighty mo" Will Be Answer to
Deal Engineered Secretly,
Leaders Declare.
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(continusd from First PaEe)
must be cut TO $4,000. 600, 900 and. fur
thermore. has economies under con-
sideration which will permit that re-
duction.
With such retrenchment considered
an absolute necessity at home, there
seems little Likelihood that Viscount
Grey or Sir George Paish will get the
thirteen billions, pledge or no
pledges.
Want Lighter Taxes.
American navy ships are now tied
up at piers deteriorating and inactive
because there are not sufficient funds
to provide crews to man them.
There is popular demand for the
repeal of so-called war luxury taxes,
and no profrered plan for eliminating
them without cutting off the essential
revenue they provide.
Urgent internal improvements at
home could not be made IL such a loan
were fioated.
1t is estimated the railroads will
require nearly a billion dollar credit
on their return to owners in March.
Congress favors strongly voting
men who served the country In the
war bonus, but has found no way
of raising the funds without increas-
ing already heavy taxation.
The estimated cost OF the develop
ment OF needed power from the upper
reaches of the American rivers Is
$500, 900, 900.
All OF these were pointed out to-
day as ample reasons for the United
states Withholding further financial
aid to England and Europe. which
she already has given to the stupen-
dous total OF so, ,647. .419.494.
Seek Where Money Goes
Leaders in Congress have been in
forming themselves OF what Great
Britain, France and Italy have been
doing in the way of internal improve
ments and of the projects which they
have in mind to put under way. :.
They do not intend to have great
projects OF Internal improvements In
Great Britain, France. Italy and other
European couI tries go forward
through the use of United States
money, while greatly needed internal
improvements in the United States
are halted because OF the additional
burden assumed by the United States
to relieve Europe's necessities. real
or alleged
It may be set down as certain that
before European nations get an addi-
tior al dollar of credit from the United
States Government there will have to
be a convincing show of dire neces-
sity. Not only that, but there must
also be convincing evidence that the
nations asking the loans have done
everything possible they might do to
meet Their cqessitie es by drawing
fully on their osp + sources.
French- FNxes Lightly.
1t is well snown here that the
French gov e HtbEnt for instance, has
not seen At q vt 70 put upon wealth
in France - yshlng like the income
tax burden that .e now borne by
wealth in the Unitt0 states.
The fact se tnst the failure Of the
French yovrrnneHt 20 make wealth
in France lasr its Just proportion OF
the burden OF the ation during the
war period scdadalized Americans
who went 10 ysris during the peace
negotiations rhd bcrsme acquainted
with the facts OF French taxation.
American financiers frequer tly
urged upon the government leaders
In France the advisability Of increas-
ing French income taxes, but their
advice was, coldly received. The
French government leaders thought
that income taxes in Frar ce were as
high as the government could AFFORD
to exact without injuring itself politi-
cally.
When they were informed of the
income tax burden the United States
Government had seen fit to impose
on it's citizens to meet the expenses
OF the war, ard asked what they
thought OF our income tax schedule,
their answer was that they consid-
cred IL pure anarchy"
The bill of Senator Edge, of New
Jersey, passed by Congress at the
present session, provides for the for
nation of Federal corporations to ex
tend international credit and also