The Logan Republican. [volume] (Logan, Utah) 1902-1924, 1920-04-22

be paid; anybody will be able with
out trouble or misgivlngs to make
out the returns and there will be a:
great saving In collection costs.
"A flat normal tax on all business
profits would probably be fixed at
about 20 per cent. Assuming that
rate to be fixed, and that the BUSH
ness profits Of this current year for
the country viii be 100000. 1000
the tax on business profits would
produce s1.4oo. 900, 900. Last year
business profits aggregated about
SO, 900 100000 SO that the
tag would have purchased
safe In assuming . considerable re-
duction In profits this year, and max
ing calculations accordingly. It was
this sort Of tax proposed when the
war revenue legislation was under
nsideration, but 1t was strongly OBJ
posed every Democrat In the Senate,
except Senator Thomas, Colorado
voted against 1t.
TT il we'll for people to consider
the financial position Of the govern
ment at thia moment. II We provide
for soldiers bouss. It Will be aee
eapary for ne soveeamsat to require
the basks TO carry shsrt uns csrtt
ficates Of Indebtedness TOR the am
oant, Ia addition to what thes sr'
now carrying, ill the taxes can brint
lin the money. II the bonus requires
$4,000, 900. 900 to be paad out. and
We undertake to do that In the mex
year, then II there are no increase
OF taxes, and the profits Of business
decrease as I am sure they will d.
this year-then on June 80, 1922
there will be a deficit Of $4,000, 900,
900. That. you understand. woul'
be additional to the $4,000, 900, 00'
deficit of the current year; a tota
of $1,000, 900, 1000.
Under the present tax laws tn
revenue for the current calenda
year will be just about $4,000. 900,
900. Under these same laws-as
Stunning that no changes whatever ar
made--then, because of the reduce
volume of business, the collection Q
revenues will fall, in the calenda
year 1921, to about s3,400,0O0,0O(
THE slackening profits Of bushes
will be instantly reflected, Of course
1T is as well for people to rea,
ize that probably nobody now Twin
will see thei ncome taxes repealed
in a smalled receipt at the treasury
More than that. I doubt If they vii
see the aggregate annual collectio
from income taxes reduced. In
comes are now paying, as recollec
without figures before me, abou
l$1.6OO, OOO, 900 a year. 1t is proba
BILE that as time passes we will
change the rates of incidence on dif
ferent classes of incomes. I SHOULD
expect that the rates on the medium
incomes would be somewhat raised
those on the greatest incomes re
duced and a somewhat lower rate i'm
posed on the smallest taxable in
comes.
There will, OF course, be objec
ton to repeal of the excess profit
taxes. The extreme view of thos,
who believe in the system represent
ed by the excess profits is that al
excess profits above a certain poin
should be taken by the treasury. TIL,
original design was to make this
war profits tax, taking from the ex
ira profits that many businesse
would derive from the fact tina
there was war. But 1t was foun,
to be impossible to do this effectivel,
or fairly. There were some immense
ly profitable businesses. as. for in
stance. the automobile makers, VIII,
had been earning great profits befor
the war and would continue to ear
them during the war, but would no