River Falls journal. [volume] (River Falls, Pierce County, Wis.) 1872-2019, 1921-02-24
Our Weekly Letter
From Washington
BY James A. Frear, Nj. c.

ceptance, the writer journeyed last
week to st. Augustine, Florida, to dis
cuss taxation matters with Senator
Harding. Some weeks ago Washing
ington papers stated that President
elect Harding favored general con-
sumption tax as means OF raising
revenue to take the place of the ex-
cess profits tax, providing that law
was repealed. An effort was made
last session to put through a sales
tax on the soldiers compensation bill,
but when submitted to the Repubh-
can caucus contest ensued and the
proposal was unceremoniously REJECT
ed. Another strong effort is now put
forth by influential proponents OF this
tax, and the writer in a recent speech
disclosed motives behind the move
ment. AS heretofore stated IN these
letters the effect of sales tax is to
mt an extra charge on every man,
woman and child, depending upon the
number of turnovers from the produc-
er to the consumer and to compel the
people to pay an extra tax on every
thing they eat, drink and wear. In
war time it may be permissible, but
in time of peace this attempt to shift
a tax from the corporations that have
been paying excess profits over on the
people is without parallel and indie
feasible.
Mr.. Harding discussed different
phases of the taxation problem and
asked for proposals to meet taxes pro-
viding the excess profits tax is repeal
ed. Suggestions were given by the
writer, based on the judgment OF tax
experts with whom / had previously
consulted President-elect Harding
said his mind was open on the subject
and he seemed much interested in the
Judgment of different authorities
quoted, including DR.. Thomas Adams,
we'll known in our state, and Mccoy
of the Treasury department, and also
in the action of large commercial
bodies that have taken strong posi-
ton against a consumption tax. 9th
ers were waiting their turn" at st
Augustine but Mr.. Harding said II
was the most important economic leg
islation now confronting US and the
interview lasted over an .lJsr, during
which he asked many questions and
seemed deeply interested. Other
matters were briefly 1iscussd, includ-
ing omnibus River and Harbor and
Public Building pork barrels, which |
can safely say will not be popular
with the new Administration. Assur-
ances can also be given that nation
al budget bill will be one of the first
measures enacted during the extra
session.
Looking back over eight years
of strenuous opposition to pork bar
rel bills and public waste and repeated
efforts to put a constructive budget
law on the statute books, the result
iustifies all the hard battles of the
past, and it is my prediction that q
comprehensive budget law will bring
about a permanent economic reform
saving hundreds of millions of dollars
annually to the taxpayers of the
country at time when taxation IS
certain to be heavy. The extra ses-
sion he said would be called early in
April and should be through by July.
The tariff bill before the Ways and
Means committee he also said ought
not to be a re-enactment Of Payne
Aldrich schedules as has been sug-
gested in some circles. but an effort
to reach fair understanding of diff
ferences in cost of production in our
own and other countries.
The next president looked brown
and rugged Notwithstanding his large
number of appointments. He is
pleasant and extremely interested in
nldLDeTS anu UeSlIeS W lIl1hS q PAOPSA
decision. AS he says, the field is
limitless, and he is only human, but
whatever his conclusions he is giving
personal study to problems now wait
ing. solution. The interview granted
without solicitation was an indication
of his desire to get all sides of the
taxation question soon to be brought
before Congress.
st. Augustine has the old Spanish
fort still standing on the water front,
and also the oldest house in America,
built, / believe, in 1547, and it GER
tainly looks it. The Ponce de Leon
spring of eternal youth tastes strong
~ of sulphur, reminding one of the
lower regions rather than of perpet-
ual paradise. All these places had
been visited on q former occasion
and the impression then formed OF
A.. onn ,,.slac 5ef on,,,,fy.,r from Wash