The daily banner. (Cambridge, Md.) 1897-2008, 1921-10-08
new TAxCHANCES
ARE DISCLOSED
G. 0. P. Leaders Make Public
Compromise Program
TO BOOST LEVY ON LIQUOR
Plan Increase to 81 Gallon on All
Spirits Distilled For Every Purpose.
Restore Capital Stock Tax.

Washington. Oct S.-AmrndmentS to
the pending tax revision bill agreed I"
by Rcruplici.n leaders in the senate
were made public formally lit advance
Of their consideration by majority
InsneberS nf the finance committee.
They would provide for:
\ maximum SurtaX of 80 per cent
on that part of Incomes in excess Of
5000. 600. in lieu of the committee plan
for 81 80 per cent maximum on the ex-
cess over $4,000.
Repeal of the express, freight, pas
|sengcr and Pullman transportation
taxes. cf>,riivc at the passage of the
Ill!
! An increase from 500 gallon to
81 Il gallon in the tax on distilled
spirits produced. imported or with
drawn from bond for use fur indus
trial. medicinal or other purposes.
Restoration of the capital stock tax
of 81 on each $1,000 of invested capital.
A graduated increase in the estate tax
rates to a maximum of 80 er cent on
the excess over $1OO,OO)O0O, in lieu of
the present maximum of - per cent
over S10,000,000.
Repeal of the eXcises on sport goods,
chewing gum, perfumes, essences, tooth
and mouth washes and paStes, denti-
frices, toilet powders and soap and
soap powders and other miscellaneous
taxes sufficient To make up cut of
So 100000 annually.
Elimination of the proposed tax Oh
hotel Accommodations.
m1seducti0n in the TIA on candy To 8
7Nr cent. with elimination Of the CON-
4nit.1 1e PROPOSAL f,H. n 10 per cent tax
on candy sell Ing al wholesale for more
53ll;ln 70 cents a pound.
The other excise provisions of The
ssratc h.ll woI:ld stald, including re-
-t.,,s;F Of the excess prours TAX next Jan
li.Ay /, fiat tax of - per cent on
corporation incomes and increased rx-
emptions for heads Of families and on
account Of dependents
While repeal of the $1,000 eXeltp-
.fioit allowed corporations is not in
cle,led in the program aus announced,
Ieadefs were fendeavoring to work 'nt
"a HfAu AthSil "Ou4NAN BActNNA VI
f---s=-zts>nI The Sanaezfis-s----s------
nloS-2the exeilr--- from large r.
porations. The suggestion meet ng
with the most favor was TO allow the
exemption in the case of corporations
having net incomes of less than S2O.iaD
ar $4,000.
Opposition to the proposed increase
in the surtaN rates developed amcng
aSroup of senators from eastern sT;Ilcs
and they were understood to be prel'.lr-
iEg 10 wage an active fight againsg Il
% per cent maximum There also vas
$on.e opposition among these senator's
to increase estate tax rates.
House leaders also declared against
Increasing the TurtaX rate beyond ''e
81 per cent maximum fixed in the liD
as it passed the house. Representative
MondelI, of Wyoming, the Republican
leader, and Chairman FordneN, Of ths
ways and means committee, expressed
themselves very frankly on this sub
ject before going into conference witE
Chairman Penrose, of the senate ii.
nance committee, to discuss the chang.
as as agreed to by the senate leaders
''The house" said Representative
Mondell determined upon 30 per
cent rate after full and careful con
sidaration in the committee, in confer
ence and on the floor. The vote was
overwhelming and l know of no rea
sern now for any change in the decision
The view of the house was that this
bill was to remove the extraordinary
emergency war taxes and after delib
crate consideration the house decided
a 81 per cent rate was a reasonable
peace-time tax"