The Washington herald., 1921-11-02
PENROSE PREDICTS
SENATE WILL PASS
TAX BILL TONIGHT
Levies on Fur Articles,
Toilet Soaps, and Pow
ders Eliminated. ~

Passage Of the tax bill in the
Senate today or tomorrow at the
latest was predicted last night
| by Senator Penrose, of Pennsyl-
vania. chairman Of the Senate
Finance Committee. The Senate
alta session last night acted upon
most of the miscellaneous taxes.
II Is the expectation that con-
stderation of the bill in committee
OF the whole will be completed
early today. after which amend
ments by individual Senators. in
GLIDING Senator Shoots sales tax
propositions and Senator Reeds
soldier bonus amendment, will be
In : order. Notwithstanding Sena-
tor PenrOse's belief that the bill
can be passed tonight. the i'm
preston prevails that the discus
sion over the sales tax, the SOL
diers' bonus and other questions
on which separate votes will be
demanded in the Senate proper.
will be prolonged over tomorrow
and probably until even later in
the week.
Sales Tax Amendments.
Senator Smoot offered two new
sales tax amendments yesterday.
One of them provides for a tax
or one per cent on sales by manu-
faeturers and producers. while the
other proposes a general turnover
tax, of one-half of one per cent
The amendment previously offered
by Senator SmoOt provided for
per vent manufacturers and
producers' sales tax.
The latest Smoot manufacturers'
and producers sales tax amend
ment provides for the exemption OF
all agricultural products. In the
case Of other commodities there is
an annual exemption of $4,000.
The Smoot amendments all pro-
vide for the retention of the tax
on corporation earnings at the
present fiat rate of 10 per cent,
and the repeal Of the excess profits
tax, and miscellaneous taxes.
Miscellaneous taxes which were
eliminated by vote of the Senate
included those on articles made
Of fur, toilet soaps and powders.
tooth and mouth washes, tooth
pastes, portable electric fans.
thermos bottles and office furni-
ture- Action in most cases was
in accordance with recommended
lions of Republican members of
the Finance Committee.
Democrats Fight Elimination.
Democrats made a fight against
the elimination of the tax on
articles made Of fur declaring the
furs are luxuries and should be
taxed. The tax was eliminated
by a vote of Al to 25. Under the
present law the tax Is 10 per
cent The House cut II to per
cent, and the Senate Finance Com
mittee originally put IT back at
10 per cent and later decided to
do away with II entirely. Sena-
tor Spencer. of Missouri, in whose
State the principal fur market OF
the country is located, was in
sistent that the tax should be re-
peaIed
The Senate accepted the recon-
msndation of the Republican mem
bers of the Finance Committee for
elimination of proposed per
cent tax on toilet soap and toilet
soap powders without n roll call.
In. the case Of the elimination OF
tax Of 4 per cent on tooth and
mouth washes. dentifrices. tooth
pastes, toilet powders other THAI
soap powders the Senate debated
the question at length.
The tax on portable electric fans
eliminated. is 5 per cent.
Lift once Furniture Tax.
The per cent tax on office fur
niture made of mahogany or other
imported woods was eliminated
over the protest OF members of
the Finance Committee.
Manufacturers excise taxes ap-
proved by the Senate included the
following:
Photographic films and plates. 5
yer cent
Candy. , per cent.
Firearms, shells and cartridges,
\ except those sold for use of Fed
eraI or State governments, 10 PER
eent.
Hunting and bowie knives. 10
per cent.
Dirk knives. daggers sword
canes, stilettos and brass or me-
tailic knuckles. 100 per cent.
{ gar or cigarette holders and
pipes. composed wholly or in par:
az meerschaum or amber, humidors
and smoking stands. 10 per cent.
automatic slot device vending
machines, per cent. and automatic
per cent
hats, 10 per cent.
Hunting and shootin.; garments,
ard riding habits. 10 per cent.
Yachts and motOrbOats and pleas
ure boats and pleasure canoes, If
sold for more than 500. 10 per
cent.