The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1921-11-19
HOUSE
TAKES Up
TAX BILL
Senate Amendment
Fixing Maximum
Surtax Rate at Fifty
Per Cent, Big Issue
of Discussion, Will
Come to Vote

Washington. Nov. 16.-The big
issue in the tax revision bill-the
senate amendment fixing the maxi
nrum surtax rate at so per cent
is to come to vote tomorrow in
the house.
Spokesman for the Finsurgent'
Republicans and the Democratic
minority expressed confidence that
they could muster the necessary
votes to keep the high rate in the
bill. While making no predictions,
Republican leaders generally were
hopeful that ultimately there would
be a compromise as between the
senate rate and tie house rate Of
80 per cent. probably around AZ
per cent.
Chairman Campbell Of the rules
committee said tonight the vote
would be under rule limiting de-
bate to two hours and insuring
decision on the straightout issue of
accepting the senate amendment.
Should the proposition to accept
the senate amendments be voted
down. the house then could agree
on a compromise figure or permit
the confcrees to resume negotla-
tions with the senate managers
without further questions.
After the house has expressed it
self on the surtaX amendment. the
conferces will proceed to dispose Of
the other high spots" in the bill.
which include the corporation in
come tax, the increased estate tax.
the tax on gifts Of property, the
levies on medicinal beer. wine and
whiskny, the repeal Of the $4,000
normal exemption to corporations
exccot where the capital stock is
$4,000 or less. the treatment of in
surance companies other than life
ana the amendments defining capi-
tai gain and loss.
At their sessions today the con-
ferees agreed to senate amend
ments striking out original house
provisions for the exemption from
the income tax of income received
by foreign traders and foreign
trade corporations from sources
outside the United States. 1t was
the understanding that the con-
fcrecs would accept the senate pro-
visions designed to place Amerl-
"
pines and Porto Rico on a par with
foreigners in those insular posses
sions so far as taxation is concern
ed.
The managers also agreed on the
senate amendments repeating the
tax on parcel post packages and on
bonds of indemnity and surety. An
other senate amendment accepted
provides that if corporations issue
capital stock at value of less than
800 a share the tax shall be one
cent on each $50 Of the actual val
ue or fraction thereof The pres
ent law imposes a tax Of five cents
on each 500 Of stock irrespective
of the par value Of the shares is
sued.
Other senate amendments ac-
cepted include those respecting pro-
visions of the existing law imposing
tax at the present rates on:
Capital stock Of corporations:
brokers. proprietors of theaters,
circuses, bowling alleys. billiard
rooms. shooting galleries. riding
academies. persons operating Or
renting pas cnger automobiles for
bire, brewers. distillers and whole
sale and retail liquor dealers.
Manufacturers Of tobacco. cigars
and cigarettes.
Dealers in narcotics.
on the employment Of child Ia
License levies on owners of
yachts and other pleasure craft.
The house managers also accept
ed the senate amendment striking
out an original house provision
which would have required single
return from families in the eight
VIC n and southern states having
laws recognizing the marital ccm-
munity and dividing the community
property equally between husband
and wife.
Agreement also was reached on
tn" general administrative provis-
ions of the bill. new features Of
which includ" prohibition of
necessary examinations Of tho
books of tax payers; the payment
by tn" government on interest at
the rate of one-half of per cent
Il month on refunds made to tax
payers. and the establishment Of a
tax simpltication board. which viii
b" charged with the Simplification
of the forms used by the Internal
revenue" bureau in collecting taxes
Better Movie Films.
Nr;. Phillip Spned viii lecture a