The New York herald., 1921-09-18
INCOME TAX BILL
BLOW TO BUILDING
Realty Board Asks Amendment
of Measure Soon to Be Re-
ported to Senate.

The internal revenue income tax bill
which passed the House of Representa-
tives Saturday. August 90 contained
several provisions that would increase
existing burdens on real property and
make more difficult the work OF real
| estate men in inducing investors to be-
come interested In revival OF the build
by the Real Estate Board of New York.
"As the Real Estate Board has from
| time to time made clear continues the
statement, building of dwellings to the
| extent needed is practicable only in two
| ways. First, by the building of large
standardized multi-family houses erected
by strongly financed. efficiently managed
corporations or. second, by the build
| ing of one or two family houses by in
| divduals, who themselves will aid in
! the work, financed by building loan and
I savings associations.
'The proposed act increases the -aN
on all corporations engaged in building.
| owning or operating real estate and all
| corporations manufacturing or produc-
| ing building ma atcrials, and also taxes
the accumulated dividends of members
of building and loan associations.
There are nearly 100000 small COR
porations in the State of New York. a
large proportion of which have some
connection with the building industry or
the real estate business.
There are 100000 members of
building loan associations in the United
States and they made 100000 home pur-
chase loans last year. There ar. 275
of such associations In the State OF New
York with a membership Of 250.000.
Realizing the absolute necessity for
additional housing facilities in the cities
of the United States, the need of relief
fer real estate from the enormous bur-
dens of taxation and the serious char
acter of the Unemployment situation,
the Real Estate Board OF New York sent
a representative TO Washington on Au-
gust %. Through the efforts of Senator
Calder hearing was granted before a
subcommittee of the Senate Finance
Committee and the committees expert,
j. L. Walker
"A further hearing was granted on
September 4 when the boards repre-
sentative was accompanied by represen-
tatives from the real estate boards of
Boston. Washington and Philadelphia.
who by this time were also fully alive to
the gravity of the situation.
THE hearings developed this fact
That while the Senators from the East
ern States, where there are great cer-
tres of population. sympathiz fully
with the arguments presented by the
representatives of the real estate boards,
the controlling influence of the Senate.
known as the agricultural bloc. was not
interested
The Real Estate Board of New York
in its brief called attention to the re-
port of Senator Calders Committee on
Reconstruction that 100000 apart
ments were needed in the United States
and to the report of the Department of
Labor that more than 100000 people
were unemployed in the country. and
that housing and employment were more
important than finding revenue for
wasteful and extravagant government.
THE bill as finally determined on by
the Senate Finance Committee will be
reported to the Senate September 81,
and is even more injurious to the build
ing and housing interests than the House
bill
THE Real Estate Board of New York
is endeavoring to secure the cooperation
OF real estate and building interests
ments either on the floor of the Senate
or in the conference committee.