The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1921-09-15
TEN WORKMEN LOSE LIVES IN FIRE At PHILADELPHIA
SENATE FINANCE COMMITTEES TO
REJECT MANY HOUSE PROPOSALS
Does Not Agree With House on
Transportation Taxes as
Fixed by That Body.
fRx rha Assooiated Preasl

WAS6lNATIONt sept. IL. - many
house proposals for tax changes were
rejected or sharply modified today by
the senate finance committee. PlSoba-
lbly the most far reaching decision of
the committee was that to restore all
transportation taxes, but with those
on freight, passenger and Pullman ac-
lcommodations in force only for 1922
land at half the present rates. The
lhouse bill provided for repeal of all
of these levies on next January l.
While agreeing to the house plan to
repeal stamp taxes on perfumes, cos
lmetics, toilet preparations and pripri-
etary medicines. the committee voted
to impose a manufacturers tax of 4
per cent on toilet articles and 2 per
cent on proprietary medicines and to
restore the per cent tax on. toilet
soaps and powders which the house
bill proposed to repeal.
Five per cent reductions in the tax
es on fur articles, motor boats and
yachts, portable electric fans and
works of arts agreed upon by the
house disapproved by the committee
which voted to continue the present
rate OF 10 per cent in each case.
The section OF the house bin reduc-
ling the tax on candy from 5 per cent
to per cent was amended to provide
that candy sold at wholesale for more
than 40 cents pound should bear a
tax Of 10 per cent.
In accepting the house reduction
from 10 per cent to per cent in the
tax on sporting goods, the committee
/ decided to make taxable skates, snow
i'-.iss-ss Assas-s >taa@~nRna and baseball
and football and basket yD9af equip
ment, which were eliminated by the
house.
Under q new section added to the
lhouse bill. the committee proposed
that the tax on chewing gum be re-
duced from per cent to per cent.
The house measure made no change
in this levy.
The house provision repeating all of
the so-called luxury taxes was ac-
cepted but the committee deferred aca
tion on the proposal to impose a man.
ufacturer's tax on a number of articles
on which a retail tax is now imposed.
Sections OF the house bin accepted
without change included those relat-
ing to taxes on cereal beverages and
soft drinks; repeating the tax on eye
glasses and spectacles; eliminating
the license levies on yachts and motor
boats of not more than five tons or
not over 32 feet in length. and impos-
ing a tax of 10 per cent on camera
lenses. The beverage tax changes were
accepted, however, subject to possible
amendment after further information
on this subject has been furnished by
treasury experts.
While the senate committee was re-
vising the house measure. representa-
tives Of manufacturing interests in
conference here decided to support and
work for tax revision program sub
stantially the same as that which Sen
ator Smoot of Utah. an republica
member OF the finance committee, has
announced he viii offer as a substi-
tute for the pending measure.
The main features of the program
are:
Enactment OF new general man
ufacturers' tax.
Retention Of present income taxes
on individuals. with. revision of sur
taxes.
Retention OF the present income tax
of 10 per cent on corporations.
Retention OF existing taxes on to-
bacco, narcotics, oleomargarine and
retention of existing inheritance taxes
Spokesman for the manufacturers
explained that the proposed manufac-
turers' tax was not a general sales
tax, inasmuch as it would be levied.
assessed, collected and paid upon ev-
cry commodity manufactured, pro-
duced or imported when sold, leased or
licensed for consumption or use with
out further process of manufacture"
The rate OF the proposed manufac-
turers' tax was not agreed upon. but
it was stated that discussion revolved
around maximum OF per cent.
Action of the senate committee to-
day in voting to recommend restora-
ton of the transportation taxes and
changes IN other proposed excise lew
les was taken despite assurances from
Secretary Mellon and Director of the
Budget Dawes that the $3.50. zoe, 600 re-
duction in government expenditures
agreed upon at the white house cons
ference last month would be effected.
Senators said they wanted a wider
margin between government income
and outgo than would be provided If
the house changes in the present law
had been accepted.
Revised estimates as to the savings
promised by the several departments
for this fiscal year were submitted to
the committee by Director Dawes, the
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