Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1921-10-12
An Amendment Proposing
Repeal Of Transportation
and Pipe Line Taxes Janu-
airy /, Is Adopted,
SOME OTHER PROPOSALS
FACE HARD SHEDDING
Senators and House Leaders
Announce They viii 0p-
pose the 80 Per Cent IT.
come Surtax Rate,
tBy The Associated Press)

Washington, Oct. ll.-Ihe re-
publican compromise tax revision
program was started on its way
through the senate today by the
adoption without a dissenting or
record vote of an amendment pro-
posing repeal on next January
first of the transportation taxes
on freight, passenger, Pullman ac-
commodations, express packages
and oil by pipe lines.
There were increasing evidences
however, in the senate and behind
the scenes that some other com
promise proposals would not find
as easy sailing. Replying to an
inquiry from the democratic side.
Senator McCumber of North Da-
kota, announced the compromise
amendments would not be offered
on behalf of the full republican
membership of the finance COM
mittee. That he was against somc
of them and that he and other
committeeman reserved the right
to oppose them.
Senator's, supported by house
leaders, were set to launch their
fight against the so per cent max
imum income surtaX rate amend
ment after its introduction. There
were reports that this provision
would be materially altered in the
conference between the house and
senate on the completed bill.
House Won't Recedc. !
IAY,e q n
to have made it plain they would
not recede from the original house
maximum rate of 32 per cent, but
some senators were Of the opinion
that the reduction likely to be
made by the conferees would not
be as great as IS per cent.
Eastern senator's were ready to
wage war on the compromise
amendment to retain the corpora
tion capital stock tax, but spon-
sors of the new tax program were
confident this not only would be
put through the senate, but would
be retained in conference, as the
house bill did rot PROPOSE req
of this action of the existing law.
Democrats generally were eX-
pected to support the surtaX, es-
tate tax, capital stock tax, corpor-
alton exemption repeal and other
provisions of the compromise pro-
gram. Some leaders on that side
thought the minority would vote
almost solidly against the compro-
missed bill until provisions were
made for increased taxes on cor
porations and reduced taxes on in
dividuals having incomes of $l5,-
900 year or less.
Smoot Explains Proposal.
Before adopting the transporta-
tion tax repeal amendment, the
senate voted down an amendment
proposing that the repeal be ef-
fective ten days after the passage
of the bill. Disposal of these two
constituted practically
all progress made today on the bill
itself. Senator Smoot, republican.
Utah, used much of today explain
ing his proposal for mahufac-
turers sales tax, and to a political
row over the tax bill between SEN
ators Harrison, democrat. Missis-
sippi. and Watson. republican, In
diana.
Twitting the republicans on the
finance committee for accepting
the compromise program, Senator
Harrison said he had never known
the "old guard" in the senate to
be put to such rout and surrender
without giving battle. He said 1t
was singularly strange that Senator
Lodge, the republican leader, at |
tended the meeting of the agricul-
tural "bloc" and assisted sin sub
the finance committee"
Wall Street Interests.
Charging that certain promises"
were made to the "Wall street |
interests" by the republicans in the
last compaign. the Mississippi SEN
ator declared those interests came |
to Washington last May to have
the promises" fulfilled. referring
to the White House dinner of May |
25, attended by prominent eastern
bankers.
Senator Watson said that In the |
compromise plan the senate repup-
lcans had gone back practically
to the house bill; that the demo-
Gratis on the finance committee had
made no proposals for improving
the measure while it was before
the committee and that there was
evidence of filibuster by the DEM
ocrats against this and other meas
ures in an effort to force the tariff
bill over into next year as close to
election as possible.
Senator Watson said the repub-
licans had kept always in nina
"the one great thing we promised
in the last election-repeal or tne
excess profits tax and 1t was Tor
that thing that we made some con-