Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1921-08-15
OPPOSE REPEAL OF
EXCESS PROFITS TAX
Agricultural Group in Senate
Waits for Bill to Take
Final Shape.
FARMERS LEAD OPPOSITION
Protest Any Change Which Transfers
burden of Taxation From Those
Hest Able to Bear 1t TO tho Masses
of the People.
Dy }. Ercdcrici> Essar!.
Washington Correspondent of
The Times Dispatch.


tax. as unexpected as it may prove
to be formidable. has developed on
the part OF the great agricultural in
tcrcsts OF the country. These inter-
csts are now massing their forces for
AN assault upon the repeal iceisja-
tion. first, in the House and, failing
there, then in the Senate.
With both national parties pledged
uneuuivocaily To abandon TINS method
of taxation. and with the Republican
leadership now committed - a Hat
levy upon corporate earnings as II
substitute, it seems unlikely that the
agricultural 'bIocs" in the House and
Senate will be able to do more than
delay tn, repeal cgjslation.
National organizations OF farmers.
however. are bending every effort TO
align members of The House and Sen
ate against the repeal of CAccsS-
profits taxation and. with one or Two
exceptions, House members compos-
ing the agricultural group nave in
Dictated that they will fight the pro-
gram OF the Ways and Means Com
mittec. The agricultural bloc in the
Senate which has proven itself able
TO marked degree throughout this
session is said TO lean strongly To the
farmers view Of the question
Defend the Repcai.
The point raised in the name Of
the farmer against removing the ex-
cess profits tax is that 1t will lift the
tax burden from shoulders best able
To bear IL and will transfer the load
10 the great mass of the American
people.
Replying. the leaders responsible
for the drafting OF the new taxation
program defend the repeal upon the
basis that il will benefit the farmer
as well as the Industrial interests, in
giving business "a fair chance to re-
Nivc, TO employ more labor and to
Tower the cost OF producing those
commodities which farmers as well
as others consume.
Chairman Fordncy. of the Ways
and Means Committee, who has taken
seriously that farmer opposition, de-
cIarcd today that II the excess
profits tax does anything. il increa SEES
the cost OF an article 10 the con-
sumner. II retards production, and
farmers. as well as the rest Of us,
feel the result.
Repeal OF this tax" MIR. Fordncy
continued, will encourage capital, i,
Viii mean tie increased employment
Of labor. and IL Will lower the cos,
of production, all OF important bcnc-
NJ 10 the consumer. and the farmer
wili share that beneht We are do
ing as much for the farmer as for
anybody else"
Secretary OF the Treasury Mellon
adds what is perhaps Il more con-
Nincing argument in favor OF repeal,
action which business from end 10
'nd OF the country has demanded
The secretary informs the Ways and
Means Committee. after a thorough
study OF the whole tax situation. that
The present levy upon profits is
rapidly becoming unproductiNe of
revenue.
Nay Have Twcn,y-Fi,r Senators.
The AGRICULTURAL group in the Sen
ate. while waiting FOR the IAN bill
10 take final shape before dcciLin.
definitely upon Il policy OF opposition
TO The repeal. has Laid down the gen
eral propositi9n for which between
twenty and twenty Sc Senator'S may
he expected 10 stand. This proposi-
ton Is expressed by Senators KENYON.
OF Iowa, and Capper of Kansas. as
follows:
I'VE will oppose anything which
contcmplatcs transfer Of the bur.
den OF taxation from those best able
10 bear II 10 the masses of the
people"
j, is on THIS basis. they add tina,
representatives. OF agricultural CON
S'!tNenccs in both houses are inclined
10 oppose the repeal Of the excess.
p'ohts 'aN unless a substitute which
theE can approve j. found. The an.
n"unccinent, that tho administration
lax program VIII not impose new
taxes uron corporate earnings be.
y"nd a fiat levy on corporation in.
come does not seem 10 rcassure tn.
farmers.
the National Board OF Farm or.
CARNATIONS, with HEADQUARTERS IL
Washington. Is on record before ,hc
ways and Means Committee in on.
position 10 the repeal legislation
rms body lists a. its member or.
CARNATIONS the. Farmers Educo
tlonai and Co-Operative Union of
America, Farmers National Congress
National Agricultural Organization
Society, National Conference ON l,,r.
het!ns and Farm Credits. Florida
citrus Exchange. National DAIRY
Union. Pennsylvania Rural Progress.
Association. National Milk Producers
Association, Farmers Society %,
Equity, Federation Of Jewish Farm.
"rs of America. National Associate,
Tor Agriculture! Legislation. Au.ri.
can society Of Equity. In,ernationn
Farmers Association. PenusyIvaui;
stat" Grange. Farmers Equity Union
Wisconsin state Union. and III.
american Society of Equity
NATIONAL Grange Opposed.
In appearing before Tie ways AN,
Means Committee. Charles a. Ly,nar
OF the national board, told the com.
mittce that the National Granrc mo-
affiliated with the board. is also On
posed TO the repeal Of the excess
pro;ts tax.
Tho National Board OF Farm or
Plantations. II is learned, is scndin,