Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1921-09-18
LOOK FOR REJECTION OF
UTAH MANS MEASURE
Proposal TO Tax Alcoholic
Liquors Withdrawn From
Bond Also Waits.
ACCEPTED IN PRINCIPAL, THOUGH
manufacturers Tnx Proposal Would
Give Employment to 5.Sn
Men, IL Ii Argued.
Thy Associated Press


WASHINGTON. Sept 1.-THE SEN
AT" Finance Committee failed today
TO reach nnal decisions on the Snoot
tax simrlihca,ion bill. cnbodyinE a
manufacturers sales lcvy, and on
Senator caidcr's proposal 10 impose
q tax Of $40 gallon on all alco-
hoiic liquors withdraw from bond
FOR other than manufacturing pur-
poses. The committee will meet again
Monday.
senator Shoots bill was said to
have been favornhly received by sew
'ral senators. who were represented
~ desiring "a less complicated tax
Law than. In their Judgment. would
result from enactment or the amend
ID House Bill. The consensus OF opin-
ION still seemed To be. however. that
tho comrnittcc would reject the SmoOt
measure.
Asserting that he would onc- the
bin in the Senate. the Utah Senator
said:
we VIII see wha, viii happen
there"
tutOists Favor Tax pr0posnl
The American Automobile Associn-
ton came out today in favor OF the
manufacturers tax proposal. an Of
fetal statement from chc association
headquarters doei-r.ns that such n
!. lax would ''riN' IA" business men
- thr c.uUtr! Just what they them
I.S'iN,s fc-l l.. needed 10 set In motion
''<hc wheels o. nG.stry that vii! give
cmploymcn; to more than 5000, 600
unw idle incn"
senator Caldcr's whisky amend
ucnt was discussed ~ tho commit
toe today ana. according TO the au-
Nor and Other members, was accept
- IN principle. Tho New York Sen
sfor said he had been asked To re-
draft tho amendment ana present, Il
again on Monday, as II vas feared
mat. a originally wordcd, it nigh,
hc construed TO tax Industrial alcohol
The proposed amendment goes fur
thor than tn. House provision. which
would tax 1T thc 500 rate only alco-
holic liquors diverted to beverage
purposes Senator calder would tax
liquors Withdrawal for medicinal pur-
poses as well.
Proposni 10 Ink Ucrr.
The Calder proposal 10 tax 2..5 per
cent beer WAS said to have been less
favOrably received. rs some commit
tccmcn were Of the opinion that IL
would be in conflict with the prohibi-
ton amendment to the constitution.
The Smoot and Calder proposals
were taken MP after the committee
finally had completed its revision OF
tho House bill. Last minute changes
included a new provision requiring
hotels TO pay tax OF 10 per cent on
the amount in excess OF 50 charged
20 transicnts for single rooms and
on the amount In excess Of IS charged
for double rooms.
The committee approved tho House
provision granting the Treasury au-
thority to issue $500, 100000 in
short-tcrm securities, instead OF 81
oc0,o0o.000. and rejected the plan
originating with the House Ways
and Means Committee to create "A
tax inyestigative commission to study
and report an possible means OF tax
ing the income from taX-eXempt
State and municipal securities.
Pay Interest on Refunds.
new proposal adopted would re-
Quirc the government to pay interest
ut the rate of one-half OF one per
cent. on taxes enormously paid and
refund to the Taxpayers.
Aside from these changes In the
1918 revenue act. the committee
agreed to half hundred others
many OF which were Incorporated
in the House bill. An official state
meat issued at Chairman Pcnroses
Office described forty-onc OF the more
important alterations proposed in the
existing law. ,rwcnty-siX of these
had to do with the excess profits. in
come surtaX rates. corporation in
come. transportation and other levy
sections and were described in de-
tail in Associated Press dispatches
las; night.
Tie committee statement showed
that il had been agreed TO accept
the House provision repeating the
policy taxes on life insurance and the
premium taxes OF other insurance
companies on next January !. and TO
impose a 10 per cent take upon the
Investment income of life insurance
companies from last January !. The
present policy OF income taxation IN
the case OF insurance other than lire
would lac continued.
Consider Administrative Sections.
I'm considering administrative sec
tons OF the House bill. the commit
+, toe restored the provisions of the
present law permitting manufacture
crs subject To taxes under Section
800. and doing both wholesale and
retail! business. to compute the tax
upon retail sales upon the basis of
their Wholesale selling prices.
Except tho provision authorizing
tho commissioner OF internal revenue,
with the approval OF tho secretary
of the trcaairy and the consent OF
the taxpa% - make final statement
OF tax cas- -
Adopted provision that IL the
personal service corporation pro-
Continued On Page 10. Col. ~ I,