New-York tribune., 1921-11-19
Inheritance lax
Raise Rejected
By Conferees
imendEnealt to Revision
Measure Backed by the
agricultural Bloc and Re-
publican Leaders Lost

WASHINGTON. Nov. IS.--The SEN
n snendment proposing to increase
,se maximum inheritance tax rate
s-oua The present 25 per cent on estates
,,,aed at sio,ooo,ooo or more to so per
.s,1 on those Of $1oo, ,ooo, 900 or more
"a Knocked out Of the tax revision
iii to-day by House and Senate con-
ssrees. This amendment formed q
mt Of the compromise revision pro-
srxm brought forward by the Senate
srrieultural bloc and agreed to by Re-
ssbiican leaders.
This was the only one Of the remain
~ high spots in the bill on which the
-enferees came to an agreement to-
Av but the House managers. in con-
'oizaity with Instructions voted YES
.ssday By the House. accepted the SEN
sts income sartax maximum rate of 5o
aer cent. At the White House TODAY
4 ras said that President Harding was
~fraskly dissppointed~ by the House
setiaa on the surtax amendment and
lis disappointment was reflected in
ssher Administration and in some Con-
ressionsl circles.
Insurance Plan Accented
The House managers accepted to-day
he Senate plan of taxing Insurance.
.smpanies. This plan provides that life
Insurance companies shall paw an in
rope tax on its investment income at
Tie. rate yes to be fixed for CORPORA
.ioas. Mutual insurance companies
c,her than life will be taxed at the
sme rate on their income as com
vased under existing law, while all
sther insurance companies will nav the
csrporstion tax rate on their net in
come as shown in statements required d
% be furnished on standard state forms
70 state tax commissioners.
Other agreements reached by the
sonferees included:
Deletion of the La Toilette amend-
aent requiring taxpayers in making
their returns TO list the tax-free secur-
ties held by them.
adoption of compromise amend
nent exempting from taxation the first
500 Of income received by individuals
irsm investments in building and loan
associations, the exemption to run for
ire years from next January 1. The
House had proposed an exemption or
500 of such income. but the Senate
struck out the amendment.
acceptance OF the Senate amendment
:.rsing out an original House provi-
non allowing corporations TO deduct
ron their incomes gifts to charitable
organizations, provided the total did
lot exceed per cent of the net in
sarie OF the contributing corporation.
Taxes Paid for Stockholders
Acceptance of Senate amendment.
providing that where banks and cor
perasions pay taxes for their stock
holders they may deduct the amount
80 paid in making their income tax re-
iuras The stoclsh olders for whom taxes
Tsre so paid would not be permitted,
sOwever, TO make a similar deduction
q making their returns.
Acceptance OF q Senate amendmen.
szemp5ing from taxation the rental
Fssae OF dwellings furnished to a min
sEer of the gospel as part of his COM
psnsatiou.
Acceptance Of a Senate amendment
.yempting receipts received by individ-
aals from ship owners mutual protec-
ion and indemnity associations, not
srganized for profit.
Chairman Penrose, of the Senate
managers, said the cenferees expected
10 finish their work tomorrow, but
that the amended bill with the confer
encs report probably could not be made
ready for presentation to the House
aad Senate before Monday. Final ae-
lion on the report might be taken by
Wednesday evening, Senator Penrose
said, but he added that this now looked
doubtful