The Birmingham age-herald., 1921-09-18
SENATE TAX BODY. FAILS ID AGREE ON. SHOOT SALES PLAN.
Also Question CaIder's Booze Revenue - Utah SoIon Says His Bill Will
 Go to Senate
By Associated Press

Washington September 17.-The Senate finance committee failed to- day to reach final decisions on the Shoot tax simplification bill en- bodying manufacturers sale lew. -and on Senator Calder's proposal to impose a tax of ss40 a gallon on all alcoholic liquors withdrawn from bond for other than manufacturing purposes. The committee will meet again Monday
 Senator Shoots bill was said to have been favorabiy received by several senators wno were represent ed as desiring less complicated tax law than in their judgment would result from enactment of the amend ed House bill The consensus of opinion still seemed to be. however, that the committee would reject the Shoot measure.
 the bill in the Senate, the Utah Sem ator said:
 We will see what will happen there" [,
 Auto Men Favor Sales Tax
 The American Automobile associa- ton came out today in favor of the manufacturers tax proposal, an of- ficial statement from the association Headquarters declaring that such q tax would give to the business men of the country just what they them- selves feel is needed to set in motion the wheels of industry that will give employment to more than 5,000, 900 now idle men,"
 Senator Calder's whisky amend ment was discussed by the committee today, and, according to author and other members was accepted in prin- ciple. The New York senator said he had been asked to redraft the amendment and present 1t again On Monday as it was feared that as originally worded it might be con- strued to tax industrial alcohol.
 The proposed amendment goes further that the House provision which would tax at the $40 rate only alcoholic liquors diverted to beverage purposes. Senator Calder would tax liquors withdrawn for medicinal purposes as well.
 The Calder proposal to tax ATS per cent beer was said to have been less favorably received as some com mitteemen were of the opinion that it would be in conflict with the pro- hibition amendment to the constitu- tion
 Plan Hotel Taxation
 The Shoot and Calder proposals were taken up after the committee had finally completed it's revision cf the House bill. Last minute changes included new provision requiring hotels to pay tax of 10 per cent on the amount in excess of s5 charged to transients for single rooms and on the amount in excess of $S charg- ed for double rooms.
 The committee approved the House provision granting the treasury au- thority to issue s7,50o, 900. 900 in short term securities instead of s7.000, ,000.- 900 and reject the plan originating with the House ways and means com mittee to create tax investigative commission to study and report on possible means of taxing the income from tax-exempt state and munich pal securities.
 A new proposal adopted would re- quire the government to pay interest at the rate of one-half one per cent on tax erroneously paid and refunded to the tax payers
 \ Aside from these changes in the 1918 revenue act. the committee agreed to half a hundred others. many of which were incorporated in the House bill. An official state ment issued at Chairman Penrose' s office described forty-one of the more important alterations proposed in the existing law. Twenty six Of these had to do with the excess prof it's. income surtax rates. corporation income, transportation and other levy sections and were described in de- tail in Associated Press dispatches last night.
 The committee statement showed that it had been agreed to accept the House provision repeating the policy taxes on life insurance and the pre- miurn taxes of other insurance com panies on next January l, and to im- pose a Is per cent tax upon the in- vestment income of life insurance
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