The Washington herald., 1920-04-05

from par would be much more rapid
IN such indiscriminate offers than Il
issued by the Treasury, while the
low price at which the benenciaries
must dispose of them would create
a sense Of injustice and dissatisfac-
lion.
surtax Called Impractical
As to the method of raising $2.-
100, 600, 900 by imposing a greater
Surtax on incomes over $4,000 IT
vas made clear by Mr.. Leffingwen
hat this would probably not In
.rease the amount of taxes to be
collected over that produced by the
present rate. He said that sur
taxes had already been so heavy
hat the incomes of rich men were
now being invested in non-tax-pay-
ing securities, that is, in bonds is
sued by States, counties and munich
palities, and that the ease with
which these bonds were fioated had
produced wasteful extravaganza in
State and municipal expenditures.
lie said that the only method by
which the proceeds of the income
AK could be increased would be by
raising the normal income tax from
8 per cent to Is per cent, and even
that. 1t appeared from subsequent
expert calculation, would only add
something like sso0.0oo.0o0 to the
present income. Such increase in
taxation Of moderate incomes would
certainly add to the high cost of
living. Mr.. Houston, Mr.. Letting
we'll and Mr.. Harding all agreed
that the present was a delicate Sit
uation and one which required great
economy, an increase in production,
and called for every effort to avoid
increasing the burden of govern
ment expenditure.
No Present Emergency.
Under these conditions IL seems
clear that the bonus should not be
granted. There is no present emer-
gency calling for immediate action.
When the organization of the Amer
ican Legion was proposed, the dan
ger that it might drift into an as
ISOLATION for the purpose of or
ganizing demands upon Congress
for such a bonus was present in the
minds Of many, but assurances were
given that under its constitution
and management, conservative poll
cies would be adopted. For a time
1t devoted itself properly to arous-
ing Congress to the necessity of
making proper and ample provision
for those wounded and incapaci-
tated by the war. At the Minnea-
polls convention the Legion declined
affirmatively to recommend to Con-
gress the passage Of the bonus bill,
but submitted II to Congress for it's
consideration. Now the executive
committee Of that body has deemed
II proper to appear and urge in be-
half Of the Legion, the passage of
such q bill.
Opposed ny Many Posts.
Posts throughout the country
have adopted resolutions against
the granting OF the bonus. Those
who take the affirmative of such
a proposition, however, have a
natural advantage with the body
of the membership, and there seems
in another convention. the bonus
would be carried. This Is greatly
to be regretted.
There are other proposals involv-
ing land settlement, home aid by
loans and vocational training which
have been formulated into numerous
bills; but the main issue Is the
bonus. representatives and Sem
ators are receiving demands from
local posts for Immediate favorable
action on the MEASURE. Let US hope
that a clear perception Of the
serious injury that will be done to
the country's finances by the en-
ACT meut of such n bill as this at
this time, will give them the high
courage to resist the pressure, and
refuse the appeal.