The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1920-04-13
$1F0R EACH
DAY IN US.
ARMY,PlAN
House Approves Cash Bo-
nus Affecting 100000
Ex-Soldiers, Report.
By HERBERT W. WALKER.

BY HERBERT w. WALKER.
UNITED Press Staff Correspondent
Washington, April ia cash
bonus of 81 for each days service
would be given to approximately
100000 Of the 1900, 900 men in the
army. navy and marine corps dur
ing the war under a plan that has
been approved by the bonus sub
committee of the house ways and
means committee, it was learned
today.
The program, which will be sub
mitted to the full committee for ap-
proval during this week, calls for
an expenditure of slightly less than
81 900, 100000, which is to be raised
by a tax Of one-half of one per cent.
on all sales. 1t is considered very
likely that this plan will be the
one which will be submitted to the
house in the near future.
With the purpose of limiting the
bonus to those who endured heavy
| financial sacrifices during the war.
the subcommittee has eliminated
several classes of service men from
the groups entitled to benefits, the
total number eliminated being esti-
mated at 100000.
Classes Affected.
! Among these classes are:
! Those who served less than SO
days because these men already
have received the original $50
bonus.
Men who are assigned to indus
trial plants such as shipbuilding
and received extra compensation
| therefor.
I All officers.
| Men in the regular army before
the declaration of war.
Men who while serving in the
| army received compensation from
their employers or business inter-
ests.
No man would be given the bo-
nus until he applied for it and this,
lit is believed, would reduce the to-
tai expenditure, as many service
men who have wealth are not ex-
pected to ask the extra compensa-
! ton. The application is to contain
an affidavit that the soldier is not
| in any Of the above classes.
In -Four lnStallments.
The plan calls for payment of
! the bonus in four equal INSTALL
ments and the sales taxes are to
be collected in the corresponding
periods.
The average service, the sub-com-
| mittee has been informed, is 10
months, making the average bonus
about $500. Men who were pro-
NOTED to be commissioned officers
would be paid only for the time
they served as enlisted men. The
committee is now waiting for esti-
mates from the treasury depart
ment as to exactly how much can
uc fuloSu ny tHC tdA ou SdICo, Uul
preliminary estimates place the
amount at about $500, 900 900
The levying of this tax also would
be in the nature of an experiment
as there is sentiment in congress
for having it replace some Of the
other taxes later.
For the present, however, it must
be in addition to all other taxes.
Under the house committee plan,
all businesses with total sales of
less than $2,500 a year and all small
farmers should be exempted. The
tax would not be paid by stamps as
is the case in the present consump-
tion levies.
Its collection, it is believed,
would be simple. All business con-
Germs at the end of every three
months after the passage Of the
law would simply pay one-helf of
one per cent on their total sales.
The advocates of the tax claim it
would not increase the cost of liv-
ing in any considerable degree, as
it would amount to only so cents
on every 500. All transactions.
wholesale, retail and real estate,
| would be taxed,