Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1920-12-30
COST Of BONUS
s2,300,000,000
Secretary Houston Estimates
Cost of Aid Measure.
GIVES FIGURES ON d PLANS
Presents Report to Senate Committee,
Declaring That Legislation Would
Add to Tax Burden-Body Adj
journs Without Action.

Washington, Dec. 2S.-Passage Of
the soldiers bonus bill would cost the
government approximately $2,3OO,OOO,-
600 Secretary Houston estimated be-
fore the senate finance committee con-
sidering the soldiers aid measure.
The treasury secretary declared en-
actment of the bill meant an added
burden in the way of taxes, reiterat-
ing a statement made before the COM
mittee last week that the treasury
ought not to be called upon to assume
any additional burdens.
While Mr.. Houston said it was ina
possible to compute accurately the eX-
act cost of each of the four optional
aid plans. he believed the estimate
submitted was substantially correct.
Land settlement provisions Of the bill
contain so many uncertainties he
added, that the cost entailed by them
could only be guessed at.
Estimates Cost of Four Plans.
Assuming that all of the men would
select one of the four optional plans,
Mr.. Houston estimated the cost of
each of the plans as follows:
Adjusted service pay, $1,342OO0 900.
Insurance provisions, $4,534,O00.O00
Vocational training aid. 81 ,SS0O0O,-
900.
Farm and home development ST.
SSOOOO,OOO.
AS the plans were optional, the sec
rotary said the choice of the men
would not be confined to any one OF
them, and allowing for the various Sc
lections he arrived at the total esti-
mated cost of $2,30O,00O,
The treasury secretary professed to
be against a Wall' as to methods of
obtaining revenue to meet the outlay
that would be required if the bill were
enacted. He called the committees
attention to the suggestions for new
taxes contained in his annual report,
but explained that these were men
toned only for the information Of con-
gress and without any sort of recon-
mendatiOns.
He did not attempt to discuss the
various tax suggestions, asking the
committee to hear DIR. r. S. Adams,
treasury economist and tax expert,
who gave a comprehensive resume of
the tax situation, referring frequently
to Secretary HOustOn's discussion of
the question in his annual report He
declared the treasury was daily see
ing new evidence of q further driving
up of revenue sources, adding that the
task of computing tax receipts was
to that extent becoming more diff
cult
"Experts Don't Stay Long,"
In addition to the difficulties thus
confronting the treasury, Doctor
Adams declared the internal revenue
bureau faced another problem in keep
ing experts on the job He said
the men who were capable didn't stay
long.
Senator Smoot (Rep) of Utah said:
1.-THE real danger is that these men
get training in the revenue bureau
then go out and help big firms evade
tax PAYMENTS"
Doctor Adams said that might be
true to some extent, but that he knew
''of one man who left the bureau a
year ago whose resignation cost the
government millions Of dollars in I'M
collected taxes, for he was an execu-
tive with an expert knowledge of the
work"
The witness said this was typical
of the "labor turnover and that it
directly affected the tax collections
and would continue to have a more
direct effect on such collections unless
tax laws were simplified.