The New York herald., 1921-02-10
URGES MORE TAX ON
LIQUOR In MEDICINE
Representative Good Also Fa-
vOrs Assessment on Passen-
ger Motor Cars.
AGAINST LEVY ON SALES
Enactment of Proposed Plan
Would Humiliate G. o. p,
He Declares.
AGAINST LEVY ON SALES
Special Despatch TO THE NEW YoHx HERALD.
New York Herald Bureau.
Washtnrfon ID. O. Feb. q.

Speo'df Despatch 10 THE NEW YogK HERALD.
New York Herald Bureau.
Washington. ID. c., Feb. Q.
Higher levies on liquor for medicinal
purposes and Federal tax on the
100000 passenger automobiles in the
country. to make up In part for the loss
in revenue through repeal Of the excess
profits tax, were recommended to the
House to-day by Representative Good
(1a). chairman OF the Appropriations
Committee.
Repeal OF the present tax on railroad
transportation was urged by Mr.. Good.
He also announced his opposition to the
general sales tax, saying If enacted by
the new Congress II would mean the
humiliation and defeat" of the Republi-
can party.
The tariff. in Mr.. Goods opinion. can
not be revised upward TO yield much
more than 100000 900, or about $780,
100000 more than at present. His
views on the revenue and tariff laws
were given in a statement showing that
the present Republican Congress has
reduced departmental estimates from
s4.701.000,0oo to s3.49S 100000. This
saving. and the reduction during the
current year, will make possible a.. re-
duction In taxation Mr.. Good said.
The tax on medicinal liuuor should be
increased to the rate OF s6.40 a gallon
In effect on whiskey before national
prohibition, because so much liquor
withdrawn for use as medicine Is for
bootlegglng purposes. he said. The pres
ent rate Is s2.20 a gallon.
fTn- of ~
year for customs duty we ought to re-
viee the tariff laws, but / doubt with
any reduction that will afford so called
protection and at the same time permit
us 10 exchange our goods for foreign
goods. we can receive more than $400,-
900. 900 In customs duty"
I'VE shall not need the revenues that
have been brought in by the excess
profits tax II We will cut down appro-
priations. We can save II we effect a
system OF economy and the financing OF
temporary loans. such as our certificates
OF Indebtedness, the war savings stamps
and the Victory loans. 1t ought to be
done by borrowing money rather than
by taxing the American people, as we
have done in the last two years. If the
Republican party is so foolish as to
place sales tax on the backs and
DeilleS OF the american people IL NOulu
go down TO a humiliating defeat, be-
cause the people will not stand, in my
opinion. that kind OF tax.
Last year we withdrew spirits from
bonded warehouses aggregating almost
s40.000.oo0. The spirits paid a tax of
only s2.20. They were withdrawn for
medicinal purposes and used for bever-
nge purposes. What Congress ought to
do. II seems 20 me, Is to place the tax
where II belongs. at $40 a gallon. and
thereby we can bring into the Treasury
about s50.o00,0oo TO 100000. 900, de-
pending on Withdrawals. We also have
comparatively light tax on tobacco,
cigars and cigarettes. II We place the
same tax on these luxuries that Great
Britain collects we would bring into the
Treasury instead OF less than $780,
100000. more than $500, 900, 900 a year.
So that by repeating the taxes on trans
portation We will fnd subjects that are
taxable from which we could get enough
TO make good any tax that we would re-
peal.
I'VE have In the United States more
than 100000 passenger carrying
vehicles. Every one OF them is n luxury.
and IL we placed upon a passenger car
rying vehicle a tax depending upon the
horse power we could easily collect
100000. 900 from that source. and then
let siOo.ooo.ooo go annually for good
roads"