The St. Mary banner., 1921-11-19
TAX REVISION BILL
PASSED BY SENATE
Excess Profits Tax and Trans
portation Taxes Are
Repealed.

Washington.-The much revised tax
revision bill finally was passed by the
senate Tuesday after session lasting
more than Is hours.
The debate on the Simmons and NC
Kellar amendments proposing to utll-
ize part of the interest on the for
eign debt to finance adjusted compen-
sation for the former service men con-
sumed the first five hours OF the ses-
sion Monday. Both proposals were re-
jected by decisive votes, the Simmons
amendment AZ to 20 and the Mckellar
amendment Al to 25.
Only two republicans, LaFollette
and Norris, supported the Mckeiier
amendment, while two democrats,
King and Williams, voted against 1t.
The vote was 3S to %, three republi-
cans, LaFollette, Moses and Norris,
voting against the bill, and one demo-
crat, Broussard, supporting 1t.
AS now drawn, the bill is estimated
by treasury experts to yield approx
mately s3,25O, 100000 for the fiscal
year ending next June 80, or s2O0,OOO,-
600 less than the existing law. If all
of the changes proposed become effect
i've, however, the measure ultimately
will reduce the nations tax bill ap-
proximately s750,0000O0.
Outstanding features of the tax re-
vision bill as passed by the senate pro-
vides for repeal of the excess profits
tax and all the transportation taxes on
next January l and a reduction OF the
surtaxes, all along the line with the
maximum rate reduced from IS per
cent to SO per cent.
Besides these changes the bill would
repeal taxes on: Parcel post packages.
Proprietary medicines, toilet soaps
and toilet soap powders, tooth pastes,
tooth and mouth washes, toilet pow
ders and petroleum jellies (stamp
taxes) Pianos and other musi-
cal instruments Umbrellas, parasols,
sun shades, picture frames and vari-
GUS articles of wearing apparel costing
in excess of certain amounts (sO-called
luxury taxes). Insurance premiums,
articles made Of fur, moving picture
films, ice cream, chewing gum; sport
ing goods, including billiard balls and
tables, pool tables and dice. Admis-
sions where the cost does not exceed
10 cents. Pleasure boats and canoes
costing less than $100. Thermos and
thermostatic bottles and jugs. Port
able electric fans. Bonds on indemn-
ity and surety (stamp taxes).
Taxes proposed to be reduced in
clude those on individual incomes Of
$4,000 or less through increased exem-
ptions Of $500 to heads of families and
5000 for each dependent. Candy from
per cent to 8 per cent. Works Of art
from 10 to per cent. Capital stock
issues having par value Of less than
$1O0 a share (stamp taxes). Cereal
beverages from Is per cent Of the
sale price to 2 cents a gallon. INFER
mented fruit juices from 10 per cent
Of the sale price to 2 cents gallon.
Carbonated beverages from 10 per
cent of the sale price to 2 cents a gal
lon plus cents gallon on syrups
used in their manufacture.
Taxes proposed to be increased In
clude those on: Corporation income
from 10 to Is per cent. Corporations
through the repeal Of the $4,000 nor.
NAL exemption on those having cap
ital stock in excess of $25,000. Estate
taxes where the total sum exceeds
| $1O,O0O,000. Medicinal beer, wine lex
cept champagne) and whisky. Alcohol
when diverted unlawfully for bever-
age purposes from 1920 a gallon to
$640 a gallon.
Taxes purported to be changed in
form include: Stamp levies on per-
fumes, essences, toilet waters, ex-
tracts, hair oils, ETC., to manufacturer
ers' levies at per cent. Retail taxes
on fountain drinks to manufacturers
levies of TX cents gallon on finish
ed fountain syrup for such drinks.
Retail luxury rates on carpets, rugs,
trunks, valises, travelling bags, suit
cases, hat boxes, fitted toilet cases,
purses, pocketbooks. shopping and
hand bags, portable lighting fixtures,
including lamps of all kinds and lamp
shades, and fans costing In excess of
q certain amount, to manufacturers
taxes Of 5 per cent.