The Birmingham age-herald., 1921-11-17
B|G ISSUE OF TAX ], BILL ID COME UP
 IN HOUSE TODAY
lnsurgent Republicans and Democratic Minority Be- Heve They Can Keep
 High Rate In Bill
By Associated presa

Washington, November 16.-The big issue in the tax revision bill- the Senate amendment fixing the maximum surtax rate at 50 per cent -is to come to a vote tomorrow in the House.
 Spokesmen for the "insurgent" re- pubiicans and the democratic minority expressed confidence that they could muster the necessary votes to keep the high rate In the bill. While mak- ing no predict~ls. republican lead CTS generally were hopeful that ulti- Inately there would be a compromise as between the Senate rate and the House rate of S2 per cent. probably around 40 per cent.
 Chairman Campbell of the rules committee said tonight that the vote would be under rule limiting de- bate to two hours and insuring a de- cision on the straight out issue of &C., cepting the Senate amendment. This was requested by the leaders of the "insurgent" group, who said they did not want the issue confused with a motion first to instruct the conferees to agree on. maximum other than 50 per cent
 Should the proposition to accept the Senate amendment be voted down, the House then could agree on com promise figure or permit the con far n OaUnfiatinnG with the Senate managers without fur ther instructions.
 Senate Amendment
 After the House expresses itseif on the surtax amendment, the con ferees win proceed to dispose of the other high spots in the bill, which include the corporation income tax, the increased estate tax, the tax on gifts of property the levies on medi- cinal beer, wine and whisky; the re- peal of the $2,000 normal exemption to corporations except where the ! capital stock is $25,000 or less, the treatment of insurance companies other than life and the amendmeists defining capital gain and loss. At their sessions today the con ferees agrked to Senate amendments striking out original House pro- lvisions for the exemption from the income tax of income received by for eign traders and foreign trade. cor porations from sources outside the United States. It was the understand ing that conferees would accept the Senate provisions designed to place Americans doing business in the Phil ippines and Porto Rico on a par with foreigners in those insular posses sions so far as taxation IS concerned Tax on Parcel Post
 The managers also agreed on the Senate amendments repeating the tax on parcel post packages and on bonds of indemnity and surety. Another Senate amendment accepted provides that if corporations issue capital stock at value of less than slo0 a share the tax shall be one cent on each $20 of the actual value or frac- tion thereof. The present law im- posed a tax of five cents on each S1O0 of stock irrespective of the par value of shares issued.
 Other Senate amendments accepted included these re-enacted provisions of the existing Inv imposing taxes nt the present rates on capital stock Of corporations, brokers. proprietors o5 theatres, circuscs, bowling alleys billiard rooms. shooting galleries, rid- ing acade mics. persons operating or renting passenEer automobiles for hire, brewers, distfiIers and wholesale and retail liquor dealers, mnnufnc- turers of tobacco. cigars and cigar ettes, dealers In narcotics, employ ment of child labor. and license levfes on owners of yacht and other pleas ure craft.
 The House managers also accepted the Senate samendment striking out an original House provision which would have required a single return from families in the eight western and southern states having laws rec ognizing the martial community and dividing the community property equally between husband and wife.
 Agreement also was reached on the general administrative provisions of the bill. new features of which in- clude prohibition of unnecessary ex' animation of the books of tax payeps, the payment by the government of interest at the rate of one-half of one per cent a month on refunds made to tax payers, and the estab- lishment of tax simplification board, which i'll be charged with the simplification of the forms usel by the internal revenue bureau in collecting taxes.