The Tomahawk., 1921-06-30

but on meeting Henry George, the
famous philosopher of the single tax,
he decided to give his life to social re-
form. Being the first to champion
such things as the parcels post, de-
natured alcohol for industrial pur-
poses, oleomargarine legislation, bet
ter rural credits, etc., he was much
denounced as radical. Other men
forced to suspend opposition to such
measures, due to the work of such re-
formers as Hampton, monopolized the
credit for them in the public eye. But
Hampton was always willing to pay
the price of being prophet rather
than politician. 80"
All liberal farm organizations owe
him a great debt for the news of what
was going on at Washington of in
terest to them originated largely in
Hampton's clever and honest observa-
ton. While not connected with the
Farm Bureau federation he had done
much recently to force that organiza-
ton into a more enlightened farm
policy. 49,. ID
o..
Continued investigation of railroad
costs by the interstate commerce COM
mission reached the Atlantic Coast
Line railroad this week. Last week
the commission found the New York
Central paying six times as mueh 10
outside shops as the repair work con-
sidered would cost in company shops.
R. D. Hawkins, general superin-
tendent of motive power of the Allan
tic Coast Line, testified that repair
work was sent to the outside shops
because the railroad shops were not
large enough to take care of all the
work. He also declared that the COM
pany found trouble in getting men to
live at railroad shop towns.
This testimony was shown to be
what ordinary men call lying by the
fact that the road dismissed 10 per
cent of it's shop forces at the time 1T
sent the repair contracts out; also by
some correspondence. Hawkins had
written letter to Vice President Del
ano, November 10, 1920, stating that
repairs would cost less in company
shops but recommending the sending
of repairs to the Baldwin Locomotive
Works on the cost plus plan.
Hawkins told Delano that this might
appear inconsistent but justified it
with the statement that Baldwin's
needed the money. Officials of the
Atlantic Coast Line were using this
outside repair graft before the gov
eminent gave up control and govern
ment expenses were thus padded.
KELLER'S TAX BILLS j. =.
/ Congressman Oscar Keller, who was
sent there by the farmer-labor ALI
ance in Minnesota, has introduced
four important tax bills. His purpose
in general is to shift the tax burdens
from earned incomes to the unearned,
to use taxation to cut under monopoly
of natural resources, and to collect
heavy tax from large inheritances.
The first bill is to repeal all existing
transportation and sales taxes except
those on tobacco, distilled spirits, oleo-
margarine, habit-forming drugs and
the products of child labor. The bill
also repeats the excess profits tax and
the 10 per cent tax on corporation in
come, which are offset by the taxes in
other bills. II ):
The second bill provides for dis
tinction between earned and unearned
incomes. The earned income is defin-
ed as income from personal services or
from business personally conducted.
The third bill amends the inherit
ance tax law. Estates of from $50, 900
to $4,000 would pay 1 per cent tax,
those from $4,000 to $4,000 a 2 per
cent tax, $4,000 to $15O,OO0 q 4 per
cent tax; $15O,OOO to $3.50, 900 s per
cent tax. The graduation is continued
until at $100,0OO,000 the tax is 80 per
cent. " ~
The fourth provides for tax Of |
DER cent on land values in excess OF
$4,000 after exempting buildings and
other improvements, and in the case
of farms, cost of clearing, draining
and maintenance Of fertility. The No.
Ian bill, much like this, has been Wig
orously opposed by the Farm Bureau
federation and it has taken credit for
killing this "big business" plan.
Whereas the facts are that the
Nolan bill and this Keller bill are OPP
posed by big business because it would
pay about all of this tax. Farmers
hold less than one-eighth Of land
values of the country. About 90 per
cent of our farmers would be exempt
ed entirely under the Keller bill and
most of the other 2 per cent would
gain by paying a direct tax rather
than the indirect taxes they now pay.
"My four bills" says Keller, would
relieve producing business Of $1,7SO,-
600 900 annually and take a load at
least of five times as large off the; con-
Stunning public"
He also pointed out that about so
billion dollars worth of undeveloped
coal, iron ore; oil and timber lands
held for speculation do not pay a
penny Of federal taxes.