Perth Amboy evening news., 1921-07-12
DROP TARIFF,
EDGES PLEA
Until Such Time as it is Ready
to Revise Taxation,
Senator Says
BY GEORGE II. MANNING.
Washington Correspondent OF the
Perth Amboy Evening News.)

WASHINGTON, July 12.-1t
would be well for congress to drop
revision of the tariff and Immediate
~ recess until such times as 1t is
ready to pass law revising taxation
and shifting the burden from earned
income to unearned incomes n ex-
penditures, Senator Walter f. Edge
of New Jersey. asserted in a speech
n the senate yesterday.
Unless congress is prepared to
,nact tax legislation at once 1t would
be well to take a recess instead or
keeping business and industry In
nervous uncertainty and apprehen-
sion. he said.
at is a fact. of course" said SEN
ator Edge, that fiscal legislation
must originate in the House, but I'm
rather inclined to think, and l n
others of the same view, that legis-
lation to determine or repeal fiscal
legislation well might originate IN
the senate, and it may be well to
consider the ACCESSIBILITY of passing
I to repeal the present in
luuitous tax laws, which are chiefly
responsible for the prevailing de-
preston in industry, in business. IN
labor circles and in every line or
American life.
II recently have had opportunity
Of mixing with business men ana
the people at large, and L ma senti-
ment almost unanimous Tor repeal
and rewriting of the tax laws. In
deed, I think it might be well for
the members of congress to mix a
little more with the people and get
their views and their information on
conditions. If we cannot at least
discuss this question right now in
the senate, in preparation for early
action, it might not be a bad idea
TO take a recess and go out among
the people and find out what they
think about things; at all events. 1t
would relieve business and industry
from the apprehension of uncer-
tainty under which they now are
almost losing their nerves.
For one thing, l would suggest
radical revision of the income tax
and adjustment of the excess-pro1ts
tax. Tax u~nearned incomes. by all
means, but we should not impose a
discouraging handicap on enterprise
by unduly taxing a man on his earn
lngs in business or labor or industry
or any other such personal produce
tive activity. Might 1t not be well
~ P1aNO AK boA Oh
or tax a man on what he spends
rather than on what he earns? For
one thing, the man of wealth spends
by far the most money, even proper
tionately; for another thing, it would
encourage thrift in the land at all
events. it would discourage the tax
evasion now in braZen practice by
men who ordinarily would not dream
of misappropriating one penny, but
who do not hesitate to dodge the
income tax collector by dividing
their fortunes among relatives and
SO curtail their W surtaxes.
''The evils of the present tax sys-
tenn are so we'll known that 1t hardly
A.necessary for me to go into them
In detail. IT is up to congress con-
structively to rewrite and amend
the laws. and to do so without loss
Dft further time. The President called
into special session in his
appreciation of the fact that the
people demand sound, business-like
legislation, based first on new tax
laws and second, if you will. on the
tariff. A tariff billion which 1 will
not now comments working its
way painfully from the other cham
Der to this, where it Is expected to lie
for months. The new tax measures
nave not been started on their course;
but. we have measure after measure
tor emergency legislation for re-
lief legislation and for class legis-
lation.
"The time is not yet too late for
TAX legislation to relieve. to hearten
and to encourage and stimulate
business and industry: but. I greatly
fear that the present depression ma
develop into actual ~stagnation unless
something is done very soon."