The Lakeland evening telegram. (Lakeland, Fla.) 1911-1922, 1921-09-07

Washington. Sept Majority
members of the senate finance com.
mittee hoped to complete today pre-
lminary consideration of the house
tax bill and get under way the actual
drafting of Il new measure after hear
ing Secretary Mellon tomorrow. 1t
is understood that the treasury sec,
retary will suggest retroactive effect
of the excess profits tax for which
there is said to be Il growing senti
ment in the committee despite the aC
tion of Republicans voting to post
pone the effective date until next
Jan /
Treasury experts are assisting the
senate committee in its study of the
measure and have prepared for the
committees information tables show
ing the estimated amounts of rev.
enues to be derived from the various
sources under the house bill in the
calendar years of 1922 and 1923 as
compared with amounts that probably
would be realized under the present
law.
For 1922 the return under the house
bill is estimated at $500 100000 as
against $3,390,000 900 under the act
!. of 1918 while in 1923 the total would
be $2.6i4,370, 600 compared with So.
439 100000 under the existing state
In 1922 the corporation income and
excess profits tax is estimated al
$3.50, 100000. the same as under the
present law, but in 1923 this would be
reduced to $5G00 100000 through re
peal of the profits tax.
d Individual income tax returns would
faff~ off 700e0,000 to $3.50. 600, 900 in
1922 through increased exemptions to
4 heads OF families. while in 1923 the
total would be cut $150. 900, 600 to "a.
3 100000 as result OF repeal of the
higher income surtaX brackets. Col
lections of back taxes next year would
be $50, ,000,0 under the statement and
$340, 100000 in 1928
3 The house bin would cut miscel
j laneous taxes from $1340. .000.000 un-
der the present law to $3.50, 1900, 600 in
4 1922. The changes included:
i Repeal of the transportation taxes
4 1852 100000
4 Repeal of the insurance premium
taxes $19, 100000.
u Reduction in cereal beverage taxes
4 from $19.000.000 to $4,000, 900.
Reduction in the tax ON soft drinks,
4 fruit juices syrups, etc, from 1000 600
i to $12,000,000.
Reduction in the levy on sporting
a goods from $400Q,000 to $1,000.000.
Reduction in the tax on candy from
$22 100000 to $14,000,000
Reduction of the tax on fur articles
from $9200.000 to $4,000
Repeal of the tax on toilet soaps,
etc, $2,100,0 600.
Reduction in the tax on luXurieS
from ,$20, 900 to $5,000.000
Repeal of the levies on perfumery.
cosmetics proprietary medicines, etc.
$6,000,000.
Washington, Sept. There is a
growing sentiment in the senate fl
nance committee to make repeal of
the excess profits tax retroactive to
last Jan /. instead of effective next
Jan. /, as provided for in the house
revenue bill, Chairman Penrose said
today.
1t is understood that Secretary Mel
Ion will suggest retroactive repeal of
this tax when he appears before the
committee tomorrow to submit a writ
ten statement as to future govern
ment needs. Such repeal was provided
for in the tax bill as originally drawn
by the house ways and means COM
mittee, but Republican members OF
the house voted in conference to post
pone the date to Jan. l, 1922.
Members of the senate committee
are understood to take the position
that the Republican party made q
definite promise to repeal this tax i'm
mediately, and that this is settled
pledge in the public mind. The same
position was taken by most Republic
an members of the house committee
but western representatives led {
successful fight for retention of the
tax for this calendar year
Other matters considered today by
the committee included house pro
visions for taxing insurance com
panies; administrative provisions o
the income tax; repeal of the trans
portation taxes and an additional tai
of 81 20 a gallon on alcoholic liquors
withdrawn for non-beverage purposes
and diverted to beverage use. SO IA
as was known no formal decision wa
reached on any of these features.