Fulton County tribune. (Wauseon, Ohio) 1883-1925, 1920-12-17
HOUSTON ASKS
4 BILLION LEVY
jrges Increase Of Two Per Cent
on $1,000 and Four on
$4,000 Incomes.
WANT 2-CENT GASOLINE TAX
repeal Of Excess Profit Tax and EIlm-
lnatIon Of Certain Luxury Taxes
10 Proposed to Congress
by Treasury Head.

Washington, Dec. 10.-Immediate re-
nsion Of the nations tax laws on the
,asIs Of an annual levy Of $4,000, ,OOO,-
WO for period Of four years, and in
.luding an increase Of per cent In
ne taxes on incomes up to 5000, Is
rged by Secretary Houston In his
bnnual report sent to congress.
Repeal Of the excess profits taxes,
Elimination OF certain OF the so-called
uxury taxes. including the levy on
Ioda fountain and similar beverages,
md a readjustment Of the rates In
he higher groups Of income taxes, Is
proposed by the treasury chief. To
meet the losses brought about by these
shanges, Mr.. Houston recommends re-
fsed and new taxes to yield about
E,0O0.0000OO as follows:
A tax OF 20 per cent on corpora
hon profits. distributed or undistrib-
lted. In addition to application Of
higher surtax rate to yield $690,0O0,-
Doo.
An additional tax of Q per cent on
corporation incomes to yield $685.
100000.
Readiustment Of surtax rates on In
romes to yield an additional 10000
BOO.
Adjustment of the $1,000 exemp-
nen allowed corporations on incomes
10 yield $5s,O0O,OO0.
An increase from the present A per
rent to 8 per cent In the tax on In
comes Of $1,000 or less and from s
per cent to 12 per cent In the tax on
incomes between 5000 and $4,000,
the whole estimated to yield $50, 0,94O.-
BOO annually.
A tax Of 2 cents a gallon on gaso-
line for motorcars and all other pur-
poses. to yield $9OOoo.0O0.
A federal license tax Of 80 cents per
horsepower on the use of motorcars
10 yield S100,OO0.Oo0.
An additional sales tax on automo-
biles (other than trucks and wagonsl
and motorcycles and motorcar acces-
sories. to yield s1OO.O00OOO.
A 10 per cent additional tax on the
htrical admissions to yield $70.OO0,0O0
An additional tax Of % cents per
thousand on cigars to yield 5000, 600.
An additional tax of 9 cents per
pound on tobacco and snuff to yield
s0OOO,OOO.
An additional tax OF per cent on
cgndy to yield $20O00.OO0.
An additional tax of per cent on
chewing gum to yield $2,000,00O.
An additional tax of per cent on
toilet soap and toilet-soap powders to
yield $4,OO0,0OO.
A 10 per cent tax on the sale by
manufacturers, producers or import
ers Of perfumes, cosmetics and medic
lnnl articles, in lieu Of the present
tax on the consumer. to yield $10,0oC,.
BOO.
An additional 3 per cent tax on
Iewelry and precious metals to yield
B25.OOO,O0O.
An additional tax of per cent on
musical instruments to yield $13,0O0..
900.
An additional tax Of per cent on
motion-picture films to yield $4,000 900
Tn the readjustment of surtaxes,
afr. Houston proposes the division OF
incomes into saved" or reinvested
and spent" Or the former class he
would limit the highest tax to 20 pei
cent. while the income spent would
be subjected to tax ranging as high
as 80 per cent. Under the plan pro
posed by the secretary, incomes be
tween 5000 and $4,000 would be
taxed 2 per cent on the part saved
and the same ON the part spent. The
same ratio with a graduated increase
would apply to Increases up to $50,
900. where the maximum of 20 per
cent ON saved income is reached
From $4,000 to $4,000. the rates
would be 20 per cent on saved ant
20 per cent ON spent; $4,000 to $50,
900. 20 per cent and 80 per cent
$4,000 TO $4,000, 20 per cent ant
20 per cent; $4,000 to 100000, 2,
ger cent and 40 per cent, and owe
100000. 20 per cent and 30 per cen
or n total Of 70 per cent.