New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1920-04-27
Bill Would Tax
War Profits to
Finance Bonus
Johnson Measure, To Be
Introduced To-day, May
Split the Republican
X a n k 8 in the House
Democrats to Aid Plan
Voters Warn of Retaliation
at Polls if Legislation
Adds to Cost of Living

From The Tribume's Washington Bureau
WASHINGTON, April 26.-Facing a
Storm of protest in the form of letters
and kilograms opposing any increase in
taxes and the cost of living, majority
leaders In the House had their troubles
over the bonus legislation further com
Phcated tonight when Representative
noya! q. johnson, of South Dakota
made public the text of bill he will
ln!roduce tomorrow providing for tax
ae1on OF war profits.
by this action Representative John
IN IN the Republican ranks in the House.
Yielding to what they regarded as the
political necessity for bonus legislation
OF some sort. the majority members If
!he ways and Means Committee have
oeen giving consideration to a sales, or
consumption tax, as a means of financ-
ing IN part the gift to the ex-soldiers.
Mr.. Johnson, however, claiming to
speak for the American Legion and
other veterans organizations. has an
nounced his opposition to this method
OF finding the funds, and has drawn M
his war profits tax bill with the assur-
ance, given him on the floor of the
House last week by Minority Leader
champ Clark and Representative Henry
1. Ralney, of Illinois. ranking Demo
cratic member OF the Ways and Means
Committee, that he can count on Demo
cratic support for such a measure.
Voters Warn Legislators
Serving further to increase the
quandary of the Republican leaders is
the prospect that if the bonus legisla-
ton is to be attempted, the plans for a
congressional recess in June must be
swept aside. Majority Leader Frank
W. Mondell declared to-day his desk WAS
piled with letters from voters insist
ing they would resent at the Novem-
Der elections any bonus legislation
which would add to the cost Of living.
Other Republicans opposing the bonus
at this time made the same assertion.
Representative Johnson, in submit
ting the text of his bill, declared it
was drawn with the assistance of ex
perts from the Treasury Department
substantially as offered tonight. A
few minor changes to insure that it
would be declared constitutional would
be made, he indicated.
AT the same time Johnson an
nounced that at least seventy-fve Re-
publlcans would support the legisla-
could not hope to defeat it other than
by parliamentary tactics. And il
these tactics are adopted and the
bonus legislation is considered under
suspension of rules which would not
permit amendments, he said, the onus
for defeat of bonus legislation would
be upon those who would propose q
sales tax as a method of raising the
revenue.
Will Oppose Consumption Taxes
Republican leaders cannot lead on
this question if they propose parlia-
mentary tactics to prevent vote on
the floor on this question:" he de-
clared. "And if legislation is pre-
sented providing for consumption
taxes and we are prevented from hav-
ing vote on the floor the onus for
defeating the bonus legislation will be
upon those who proposed the sales
tax"
would you oppose legislation
the necessary revenue should be OBJ
tanned through sales tax?" he was
asked.
answer" he replied. "As for myself
| will oppose any consumption taxes,
but l cannot speak for the other Re-
publicans."
The Johnson bill, which is under
stood to be in harmony with the legis-
lation proposed by Rainey and to
which Representative Clark, Demo
cratic floor leader, pledged the sup
port of the Democratic members, is in
its main features as follows:
THAT in addition to all other taxes