The Washington times., 1920-06-07
BANKERSURGE
TAX REVISION
District Financiers at Conven-
ton on Water Hear Views on
Fiscal Matters.

Simplifcation of the Federal income
lax and a more equitable distribution
and lessening of the burdens now
, placed upon business and incomes
were advocated by Maurice ID. Rosen-
berg, retiring president Of the DIS
trict of Columbia Bankers Associa-
tion, in his farewell address to the
Washington bankers in convention on
board the steamer Midland today.
The phraseology OF the income tax
laws should be so simplifed, he urged,
that individuals of average education
and understanding might interpret
its meaning without calling 10 MS
or her aid expert advice every time
return is made out.
Seeks Tax Revision.
He, expressed the hope that the
banking fraternity of Washington
would bring pressure to bear upon
the Federal Government to revise the
present taxes affecting individuals,
association of individuals, and cor
porations.
Rosenberg decried the fact that
banking legislation for the District
OF Columbia was deficient in many
respects and Inadequate for local re-
Quirements.
"The present proceedings OF the code
Of law" he said, prohibits banks in
corporated under the laws of the Das-
trict of Columbia from doing business
lin bank discounts and bank circuia-
' tion. Yet the code provisions vest IN
the Comptroller of the Currency the
same form OF examination as that re
quired for national banks so that
those institutions now engaged in the
savings bank business In the District
are dominated by the laws of the
foreign Incorporating jurisdiction to-
rHther with the laws in force in the
District"
He recommended that committee
he appointed to obtain Federal legis-
lation permitting savings banks to
incorporate under the laws of the
District. Such legislation. he said.
would permit savings institutions to
have their stockholders meetings in
the District, instead OF being required
to convene within the State in which
they are chartered.
On Cost OF Living.
Commenting on the high cost of
living and the money situation. Mr.
Rosenberg exhorted all financial in
stitutions to safeguard their reserve
and to approve applications for loans
only and when desired for legitimate
industrial purposes and to reject loans
when lntenOeQ 10 DC uscu III spSS"
,lative purposes.
Enforcement of strict surveillance
e,f loans made by banks, the curtail-
ment in the production of non-essen-
tials and luxuries, distribution OF the
war debt among future generations
and more equitable imposition or
tax burdens were recommended py
Robert N. Harper, first vice president
of the District of Columbia Bankers
Association in talking on 1.-THE Local
Financial Situation"
81 do not believe that any one gen.
Grafton should bear all the burdens
of a great war" said Harper. I do
believe it would not be inadvisable
for the Government to buy. In open
market, a large block of the earliest
maturing securities and in lieu there
of issue 4 per cent non-taxable bonds
of an equal amount payable fifty
years hence.
Favors Graduate Tax.
'rhe relief OF one-fourth OF one
Der cent to the Government in inter
est, together with savings by open
market purchase bonds, would largely
offset the loss by issuing bonds of a
non-taxable character.
"A graduated tax on retail sales
should be put into operation, and the
graduation should be made high as
10 luxuries or high priced non-essen-
tiaIs, regardless of what such non
\ essentials might be. A tax of this
kind would relieve to some extent
those who are now over-burdened
with excessive taxation, the support
Of which naturally is retarding the
commercial growth of our country.
Additional regulations should be