Great Falls tribune., 1921-02-21
new TAX LAW
4
To Be framed !
HA 0eA "
ii II
~
UAZnW re-
Il
At EARLY DATE
Congressman Working
on Retrenchment and
Also Ways and Means.
Reduction Doesn' t Take
Soldier Bonus Leeis-
lation Into Estimate.
BY Harden colfax.
The Tribune.

BY Harden coIfax. !.
Copyright 1921 by the Tribune.
Washington, Feb. 2O-Taxes, too
are coming down. Not in the rate, for
that will hardly drop this year, but IN
the total levy by congress on the Am
erican people. The high cost of govern
ment, having reached it's peak, IL fol-
lowing the trend of the times and 10
! due for drop comparable with the
| drop in commodity values and wages.
we hope to cut cost Of governments
q million dollars day. is the way
Representative Green, of lows. sums
It up. Mr.. Green, ranking Republicaa
member of the ways and means com.
mittee, the committee which originator
the tax laws, by virtue of MIR. Ford.
ney's absence from Washington, is the
committees acting chairman. His com.
mittee expects to frame a new tax Law
soon after the new administration
comes into power.
Not Estimating Bonus.
In his estimate of the proposed re.
ductlon OF the cost of government, Mr..
Green it did not figure on the passaxc
of proposed soldier bonus leeislation.
It such legislation is enacted, the plan
changes. 1t is not possible to pay 4
two billion dollar bonus and reduce
the governments revenues at the same
time. Nor is he contemplating tho
passage of any other law calling for
an unusual expenditure.
In round figures, government il
costing the American people at the
present time ten million dollars q dayf
a year it costs roughly thirteen million
dollars day. These figures include
!he sums utilized to reduce the float.
ing debt. During the fiscal year beEins
ning July next, to which the new tar
law IS expected to apply, it is hoped
20 oring the cost down to approxiA
mately nine million dollars 4 day.
Eight Millions On Debts.
" that sum it il estimated. abouA
eight million dollars will be spent in
paying debts of past wars-insurance.
PENSIONS. interest on United States
bonds. etc-for the army and navy Is
safeguard the country In the future,
Inc other million dollars q day. n
'ound figures. is estimated to BE- thu
'ost OF the civil establishment.
The economic crisis from which v>
ire ~ emerging has hit the United Statee
MS year along with the private citi-
en. Because business has suffered.
revenues derived from ~
ONE and excess profits taxes s1,ff.--
90. 1t IS estimated that the govern.
a@snt @ will collect this year half Of A.
lihon dollars less in income tsres
han 1t collected last year. The excess.
roiits tax, it is estimated. VIII Weld
Il hundred million dollars less.
Three New Plans.
The economic crisis, in these two
ems alone. therefore, will reflect .
llIlon. one hundred million dollar,
But the excess profits tar wh;ch
estimated to yield million and =
larter dollars. seems to be slated tsi
by the cards. In its place there viii
ave to be found some other wav a.
Using revenue. These plans have
zen presented to the WAYS and mesns.
'mmittee.
IA general sale tax.
"A tax on undistributed earninrs
corporations.
Some form of upward revision
corporation taxation.
'oon after the present session of eon,
ess ends the committee will meet and
nslder the situation. Possibly seyeras
'nfhs will lapse before q new plan
taxation is evolved. A new tariff
ln IS also to De framed. 1t was orig
my !nougnt the higher tariff would
this figure has lately ben vhittisd
wn to two hundred milions ar 4hsrs-
outs At present the tariff brinSs
g. o the treasury about three hundred.
llon dollars q year.
Idea Of Commlttee.
The idea generally prevalent In thA
nmittee seems to be to make mn hs
ne other form Of taxation. ths
ney, now being derived from The
'ration OF the excess profits tsv
count on the tariff for 800 mill;ons
re annually than it il now produc.
to figure on income taxes Weld.
five hundred million dollars lesa
last year and to cut the governs
ats expenses BY the difference be.
en- the tariff increases and the IN.
le decreases-three hundred million
ars. Roughly that means 1 million
ars day.
Disarmament. Of course, would bs
antiy reflected In the nations tar
because the money now being
nt for the army and navy 3 ons
the items neccessitatine ianmedfafe
nt1on. The interest On goyernment
IS and certificates j. another bie
--and that. OF course cannox =
That item alone Ii moro than ~
re net cost Of running he eovea1.
t prior to the war.
ne thing seems % b 0ee3ae1f,
re viii b no increase = - fnrs
on individual incomea.
;HBlSHoP pAUoRI0TV
0All6 ron NAHoAel.