Evening journal., 1921-03-21
School BILL
ISPASSED BY
STATE SENATE
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Continued from First Page.)
provisions OF the bill. These tar
provisions have been-explained by
Senator Alice as follows;
THE personal income tax and the
25 cents tax on real estate remains
the same as 1t was in the bill de-
feated by the House.
THE corporation tax provision is
similar 10 the one in the House bill
except we have excluded foreign
corporations from the income tax
provision. which will do away with
the objection made 10 the House bill
that II would put into effect a re-
taliatory tax laws against Delaware
corporations in other States
"A four per cent rate instead OF
the three per cent. rate in the House
bill on Delaware corporations based
ou the net profits OF business done
by such corporations in Delaware is
provided. There Is a provision that
II corporation does not care 70 en-
ter into the question OF ALLEGATION
OF income and is doing business in
and out OF the state, such corpora
tion may elect TO pay on its total
income. which Il has been argued
might make them divulge certain
trade secrets, can II Il so desires
elect In lieu Of the income tax, pay
25 cents per hundred dollars. on its
actual value Of capital stock invest
ed in Delaware. which means It's
capital, surplus and undivided
profits.
1T would also double our present
franchise tax on foreign corpora
tions doing business in Delaware,
which still leaves the tax that such
corporations would pay well under
that paid by them inthe larger in
dustrial States. All the franchise
tax would 30 TO the schools.
The Senate bin was prepared by
James II. Hughes and Robert g..
Houston. who also assisted in pre-
pairing the bill defeated In the House
last week. Should this bill pas the
Senate there seems slight chance OF
it getting through the House. which
may result in another deadlock and
efforts al compromise.
The reading OF the Senate school
bill was completed at 1.30 o'clock
and a recess taken for 30 minutes.
after which discussion OF the bill was
started.
Democrats i'm Conference.
At a caucus OF the Democratic
members this morning 10 is UNDER
stood there was no discussion OF the
proposed tax provisions TO the school
bill being prepared for that branch.
All OF the discussion was as 10 the
administrative features OF the bill.
The general sentiment seemed TO
favor some radical changes relative
20 what is termed as overhead" ex-
penses. There was sentiment en-
tirely TO eliminate county boards
and provide for a State Board OF
four members. two Republicans and
two Democrats, to be appointed by
the governor. TO have general charge
OF all schools.
Charles F. Curley. Of Wilmington,
who has been assisting in preparing
/ the democratic house members bill
Henry r. Isaac, chairman OF the
D ANtIlAWNIAAAE NAaNN AWAAAANAAANN anu II
/ r. Kenney. Attorney for the House
attended the Democratic caucus.
While the tax provisions Of the
/ House bill have not been entirely
agreed on. II is reported they will
not greatly differ from the tax provi-
sions now under consideration In the
| Senate bill except that il provides
/ for 90 instead OF 25 cents tax on each
/ 500 OF capital OF corporations in
vested in this state.
The House met at 1880 o'clock and
adjourned to 100 o'clock without
/ transacting any business
Legislators Don Goats.
Hot weather which welcomed
members Of the Legislature on their
arrival in Dover today for what will
/ likely be the last week OF the bi
ennial legislative session seemed en-
tirely appropriate considering Iwha
may happen before the week is over
because OF heated fights in prospect
over the proposed school bill and tll
Wilmington city charter, the two
most important propositions that am
Delaware Legislature ever has hai
TO deal with. There is no doubt bu
what there will be some hot ses