Great Falls tribune. [volume] (Great Falls, Mont.) 1921-current, 1921-11-08
GOES To HOUSE
ON WEDNESDAY
PRESENT 7 PLAN
I'LL Ill AH
Measure Will Be Taken
Up by Conference
Committee Thursday.
Final Action in Upper
Body Comes at Early
Hour in the Morning.

washington, Nov. S.-tBy The ASSO-
ciated Press. THE much-r revised tax
revision bill finally was passed by the
senate at l :35 a. m. today after ses-
sion lasting more than 15 hours. 1t
still must run the gauntlet of the SEN
ate and house conferees before it
reaches the president. The vote was
3S to "A, three Republicans. LaFol-
lette. Moses and Norris, voting against
the bill and one Democrat, Broussard,
supporting it.
As now drawn. the bill is estimated
by treasury experts to yield approx
mately S3.25O, 100000 for the fiscal
year ending next June 80. or $500. 600 :
600 less than the existing law. If all
Of the changes proposed become effec-
tive, however, the measure ultimately
will reduce the nations tax bill by ap-
proximately $75O00O,O00.
Senate conferees on the bill were
named as follows: Penrose. McCumber
and Smoot, Republicans: Simmons and
Williams, Democrats. The bill is to
be reported to the house Wednesday
and Republican leaders plan ON Thurs
day to send it to conference.
Reject Bonus Amendments
During the day the senate rejected
the two remaining soldier bonus amend
ments and then proceeded to dispose
of the other amendments in rapid sue
cession.
The debate on the Simmons and Nc
Kellar amendments proposing to utilize
part Of the interest on the foreign debt
on finance adjusted compensation for
the service men consumed the first five
hours of the session Both proposals
were rejected by decisive votes. the
Simmons amendments. AZ to 20. and the
McKellar amendment. A to %. The
roll call on the Simmons amendment
included:
For: Ladd. North Dakota: LaFol-
lette. Wisconsin; Walsh. Montana.
Against: Lenroot, Wisconsin: Nc
Cumber North Dakota; Nelson, Mime
sofa; Norbeck, South Dakota, and
Myers, Montana.
Only two Republicans-LaFol toilette
and Norris-supported the Mcclellan
amendment, while two Democrats
King and Williams-voted against it.
Adopt Lenroot Change
Without roll call, the senate adopt
ed an amendment by Senator Lenroot.
Wisconsin, under which
the net gain made by a taxpayer on
the sales of stocks of corporations
would be taxed at the full income nor.
nal and surtax rates. 1t was agreed
that under the committee bill. only 64
per cent of such gain would have been
taxable because such sales would have
come under the provision dealing with
the taxation of gain from the DISPOSE
ton of capital assets.
Senator Lenroot declared that under
the original provision. "stock gam
blers in Wall street would have been
able to escape taxation on 20 per cent
Of their profits. He also contended
that stockholders receiving stock divi-
dends could convert their earnings into
cash and escape taxation on 90 per cent
Of the gain thus made.
Option for Corporations
Under an amendment by Senator |
Frefinghuysen, Republican, New Jersey, |
which was accepted, any trade or bust
ness owned By a partnership or in
1iyidual, which was organized within !
.our months after the passage of the |
AK bill as the corporation, might, at |
he option of the partnership or in !
lividual, pay the corporation tax on the !
let income received from January l,
1921, to the date Of such organization.
t was provided, however, that this
option would not be extended in the
.ase of any business which realized in
he taxable year, 1921, twenty per cent
,r more profits on the capital invested.
The senate adopted 35 to 81, an
amendment by Senator Walsh, Demo-
rat, Massachusetts,, providing for a
,raduated tax on transfers of property
" gift by every person. The rate
'anges from l per cent of the amount
" which the gifts exceed $4,000 and
10 not exceed O,OOO. to 25 per cent on
in excess of S1O,O0O000.
Reject Jones Proposal.
BY vote of 81 to %, the senate
elected an amendment by Senator
Iones, Democrat, New Mexico, propos-
ng to allow partnership and individuals
o elect whether they should pay taxes
n the net income from their business
{ the CORPORATION or individual income
ates.
On a tie vote, 80 to 80, the senate
elected an amendment by Senator
Kenyon. Republican, Iowa, proposing
tax equivalent to Is per cent of the
alue Of tax exempt securities as part
i estates. provided such securities
,ere issued six months after the pas
age Of the act.
Previously by vote of 33 to 35, the
crate rejected an amendment by Sem
tor LaFollette, Republican, Wisconsin,
hich would have imposed the same
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