Great Falls tribune. [volume] (Great Falls, Mont.) 1921-current, 1921-08-16


repeals retroactive prevailed.
Total tax collections for this fisca.
wear under the bill as revised were est
mated by some majority members OF
the ways and means committee al
$3.50, ,O0O,O 600, as against approximately
$500. .OOO, 600 planned by committee Re
publicans. and the total tax yield at
about $500, 100000
As result of the changes made b.
the Republican conference, majority
committee members further amended
the bill before it's presentation in the
house so as to make the corporation
income tax II IL per cent after next
January 1, instead of Is per cent, as
originally planned, and the manufac-
turers' tax on cereal beverages cents
a gallon instead of u cents
Consider 1t Wednesday
Under plans adopted by the party
conference, the bill will be taken up in
the house Wednesday Two days will
be given over to general debate and
two days to consideration of amend
ments under the five minute rule, with
given preference.
Democratic members of the house
plan to hold caucus to decide upon
q course of action while the measure
is under consideration
The Republican conference lasted
several hours, with western members
leading the fight to reject the plan for
retroactive repeal of the excess profits
and higher income surtax rates. which
was agreed upon at the White House
tax conference last Tuesday. Repre-
sentative Frear of Wisconsin, a mem
Der of the ways and means committee.
was understood to have insisted that
the house pass on the effective date of
the repeals, but the conference finally
adopted 96 to 81, motion by Repre-
sentative Mann of Illinois. that the re-
peal date be next January 1.
Increase Cut in Halt.
These changes carried with them
delay until next January l. in the pro-
posed increase of per cent in cor
poration income taxes. No change in
this figure was made by the confer
ence, but the committee members de-
cided to cut it in half. as it was con-
tended that s per cent increase would
be unnecessary if the excess profits
and the surtaxes were imposed for
this taxable year.
The tax measure as presented in the
house is bill Ito reduce and equalize
taxation, to amend and simplify the
revenue act of 1918, and for other pur-
poses' Much of its 10000 odd words
is devoted to amendments of admins
trative and definitive sections Of the
present law. which were drafted By
treasury experts with a view to clar-
flying specific portions of the 1913 act
and meeting situations arising from de-
cisions of the supreme court.
Additional Revision.
Aside from the provisions of the levy
sections already referred to. the bill
proposes repeal of all the transporta-
ton taxes effective next January /;
increased exemptions to the heads of
families and married men having in
comes less than 5000: decrease in the
Ievies on candy, sporting goods, furs
and art and art works; the Substitu-
Ion of manufacturers taxes for the
So called nuisance and luxury levies
and other changes. details of which
have been given in previous Associated
Press dispatches.
Additional revisions include exemp-
lion from taxation of salaries of the
president OF the United States and the
Judges of the supreme and other feder-
al courts ard also amounts resulted by
AS compensation, family al
otments and allowances under proyi-
sions of the War Risk Insurance and
vocational rehabilitation acts.
Tax Foreign Business.
A change also is made in life in
;urance company taxation. the bill re-
luiring them to pay the normal corper-
ation tax III lieu of the levies on poll
cies when written and all other pres
mt taxes except the corporation stock
az and certain stamp taxes
Another important section OF the
lew bill outlines general plan to tax
American concerns doing practically all
Il their business in foreign countries
,nly on the income received from
American sources.
Personal service corporations would
'e brought specifically under the corr
,oration income tax by the bill and
PROVISION is made that il the partner
hip tax Of the 1918 act on individual
should be declared in |
aid, there shall, in addition to Au |
,ther taxes, be levied. collected
aid on the net income receive
ng the calendar years 1918, 19
$40, BY every personal serv]
,oraticn, tar equal to the
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