Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1921-08-22
TAX BURDEN OF
COUNTRY is CUT
BY $81S,OOO,OOO
Only Three Democrats Vote
for Administration Bill to
Revise Revenues.
LUXURY TAX REPEALED
Special to Indiana Daily Times
and Philadelphia Public Ledger.

spaofaI TO Indiana Daily Times
and Philadelphia Public Ledger
WASHINGTON, Aug. with only
nine Republicans dissenting, the House
Saturday passed the Fordney revenue re-
vision bin with further amendments in
creasing the total estimated deduction in
the tax burden Of the country to SS1S.-
100000. A Democratic motion to recon-
nit the bill to the WAYS and Means Com
mittee and 10 strike cut the repeal Of the
higher surtaxes was defeated go 10 1863
and the bill with amendments adopted
ga to 125
Just as the hour for final consideration
of the measure arrived. Representative
Cochran OF New York. rising TO a
Question of the highest privilege" forced
vote on a resolution condemnins Presi-
dent Harding for addressing the Senate
TO the exclusion Of the House on July
~ on the soldier bonus bill The resO-
luton, contending this act OF the Presi-
dent was to the House ian uncOnstitu-
tionsI violation OF its rights. an illegal
invasion of its privileges and an unwar
rantable injury to its dignity was laid
on the table by a vote of 2SS 10 10f.
The adoption Of the revenue revision
bill marking the second great stride in
carrying out the fiscal program for which
Congress was called into special session
was signalized by partiSanship, Only
three Democrats voted for the bill. They
were Representatives Lazaro Of Louisiana.
Dupre Of Louisiana and Campbell Of
Pennsylvania.
NINE REPUBLICANS
AGAINST BILL.
The nine Republicans voting against
the bill were: Representatives Beck Of
Wisconsin; Clague Of Minnesota: Keller
OF Minnesota; IampOrt Of Wisconsin
Nicholson OF Illinois: Nelson Of Wiscon-
sin; Sinclair OF North Dakota; VOigt Of
Wisconsin and Woodruff Of Michigan.
Confronted by the favorable recon-
mendations Of President Wilson and the
past three Democratic Secretaries Of the
Treasury. the minority lodged a fight
against the repeal OF the excess profits
taxes.
In their effort 70 crystalline opposition
TO the measure on the grounds it would
relieve the rich and not the poor Of their
taxes they centered their opposition TO
teh bill on the repeal Of the higher sur
taxes. estimated to be paid by about
1900 persons
They were partially successful in this
effort as illustrated by the fact only one
Democrat Ntttu d-aihSt luF Ah"tlrH ~
y recommit the bill to the committee and
10 strike out the repeal Of the higher sur
taxes eud fifty Republicans voted for It..
Among the important amendments
adopted Just before the time for voting
on the bill arrived were provisions e1-
empting from the sporting goods tax oil
per cent. skates, skis. tObOggans, base
balls, bssketbails. footballs and other
equipment used in those sports and
changing the method Of taxing insurance
companies. Under the latter insurance
companies are exempted from all taxes
including the premium tax and subjected
to a 1212 per cent fat FAX on the income
on their investments. The amendment 10
create tax investigative commission TO
study the question Of tax exempt secur-
tiles was not considered.
As reported TO the House the bill re
duced the tax burden S190,0OOOOO, &C
cording to Representative Fordney OF
Michigan, chairman of the Ways AMI
Means Committee. Amendments TO the
bill on the floor Of the House have In
creased this sum by S2S.OO0O0O Mr.. Ford
ney said, making the total SSlS,OOO,OO0
HANG IN SENATE
COMMITTEE 4 MONTH.
The bill now goes to the Senate where
Il is not expected to come out OF the
senate nance AOMMlLlee 4vL a. tIHSl
another month.
In its major propositions II calls TOT
the repeal Of the excess profits tax and
higher surfaces effective Jan. I. 1922
and the substitution OF an increase OF
pa per cent in the fat corporation tax
the repeal Of the transportation tax and
Of lesser taxes. These latter charges were
summarized by Mr.. FOrdney in a state
ment 10 the House as follows:
1.-THE proprietary stamp tax has been
repealed. the soda fountain tax has been
repealed and the complicated system Of
- taxation imposed by section 9O+ $50
called luxury taxes has been wiped from
the statute books. Section 904 provided
for the payment Of taxes on articles Of
wearing apparel and certain other articles
when sold at a price in excess Of GER
tain figure. Ii has been difficult for the
retailer TO properly compute the tax and
it has been quite impossible for the Gov
ernment to even approximately check VI
the tax returns. The retail sales tax on
tewelry has been retained at ) per cent
and the tax on works Of art, formerly
10 per cent, has been reduced to ) pei
cent.
CUT TAX On
SPORTING GOODS.
The manufacturers tax has been re
tanned at per cent on automoblle Trucks
at per cent on other automobile and
motorcycles and 2 ; per cent tax has beer
retained Oh automobile parts. The pei
cent tax on musical instruments alsC
has been retained. The 10 per cent tai
on sporting goods has been reduced e
per cent, and in addition the tax or
baseball and football supplies and equip
ment and the tax on skates. snOwshoe:
and skis have been repealed.
This bill repeals section 80 OF TIT
revenue act Of 1918. In that section {
tax OF cents was imposed on each S1O'
pf the amount for which a life is insured
That section also levied a tax on fire
marine and similar insurance.-equivalen
10 1 per cent OF the premium charge
These insurance taxes are removed b!
this bill. Insurance companies are ex
-. empted from the capital stock taxe
which are made subject to a tax OF 12Ia
per cent on net income. and the bill il