The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1921-03-18
TREASURY TURNS
TO TAX REVISION

BEEN STARTED. READY FOR
cONGRESS-EXPERTS HAVE
BEEN ENGAGED IN MAKING
THE SURVEY OF REVENUE
SOURCES
Washington, March 17.-Formu-
lation of a treasury policy on tax
revision has been started and prob
ably will be ready for submission to
congress when it convenes April II,
in extra session. Treasury experts
have been engaged for some days
in making a survey of revenue
sources and the extent to which each
may be tapped in bringing money
into the governments vaults.
It was indicated today that while
Secretary Mellon had not taken pub
lie stand with respect to the ques-
ton of whether revenue or tariff re-
vision should have precedence in
congress he is declared to have the
necessary data on the subject
ready for use should congressional
committee call. Mr.. Mellon said no
decision had been reached on a
question pertinent to the forms Of
new tax laws but internal revenue
experts were understood to be pre-
pairing to make recommendations on
some phases of the important prob
lem.
Former Secretary Houston's
views were that taxation measures
should be considered ahead of all
other legislation because of the ef-
feet on business Of, changed tax
laws. There has been no indication
of change in policy in that respect
because few of the officials connect
ed with the taxation side of the
treasury have been relieved.
Sales Tax Question
Among the questions into which
the experts have been delving is
that of a sales tax which has threat
ened several times to cause a
rumpus among members of congress
whose opinions differ very widely.
The treasury expects to have COM
plete statistics prepared soon show
ing the amount that can be expected
from such tax together with data
concerning it's effect on prices.
Changes in the rates ON larger in
comes and increases in exemptions
also are under consideration with
view of determining the aggregate
amount of revenue. There has been
an insistent demand for raising the
exemptions of the lower salaried
men and $1,000 for single persons.
Repeal of the excess profits tax
which has been particularly odious
to business appears to be assured.
Recommendations to that end were
made by Secretaries Glass and
Houston and Mr.. Melons attitude
is understood not to be different
although it had not been publicly
stated. This tax revenue officials as
sert, has been difficult of collection
and has acted as a brake on COM
merical development.
Higher Luxury Taxes
In addition to the sales tax, the
experts are investigating the reve-
nue. producing qualities of higher
luxury taxes. Most treasury Officials
who have studied the luxury taxes
believe that many of those now in
effect should be repealed, particu.
larly those similar to the soda foun-
tain drinks levies. The expense Of
collecting such taxes, it has been
said, has run out of all proportions
to the revenue received in the last
two years, while the public was
compelled at the same time to pay
the amounts prescribed by law.
One of the main points in the ef.
forts of the treasury experts now is
to avoid involved and technical taxa
ton methods. Higher officials in the
department hold the enforcement
and collection of taxes under intri-
cate laws is much more expensive to
the povernment and NOT as Drodlc-