The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1921-07-27
FEDERAL TAX REVISION.

Congressman Frear of Wisconsin
has begun before the house ways and
means committee an attack on the
sales tax before it even was proposed.
1t is we'll that he has done SO. Am
pie time will be afforded friends OF
the plan to dispose of all the opposing
arguments and this they should be
able to do easily. All that is needed
to make the sales tax popular is that
it's principles and the manner of its
application be understood.
Opponents of various forms of exist
ing taxation are on hand asking for
removal of excess profits taxes, sur
taxes, nuisance taxes and others that
have been found Objectionable and
over burd If these be elimi-
mated something must take their
place, because the treasury will need
$4,0OO,OOO,Ooo to $5.OO0.O00,O0O an
nually for years to come.
The problem is: What shall be
substituted for them? Where will the
government get the revenue that the
remission of these taxes will cut off p?
The answer is simple. It is so SIM
pie that everybody can see it in a min
ute. as soon as it is shown to him. It
is so simple that it leaves the sex
perts" with nothing to do, no tangled
schedules to puzzle and confuse the
taxpayer and force him to call in lex
perts" to help him out. It is so sim
pie that no lawmaker can get any
credit for ingenuity and wonderful in
tellectual ability by helping to put it
on the statute books.
Because it is so simple, it needs to
have put behind it the voice and in
fluence of every one who believes IN
1t, lest it be brushed aside in favor Of
something that only experts can I'M
derstand.
This simple answer to the whole fed
eral tax problem is the general sales
OF all commodities. by whomsoever
made, to anybody, at any time.
Four years ago, when the first war
tax laws were being framed by con-
gress. 1t was pointed out that the sales
tax provided an inexhaustible source
of revenue, practically constant re-
CARELESS of general business condi-
tions. Among the early advocates OF
the sales tax were Jules s. Bache of
the banking house of J. S. Bache
& Company; Meyer D. Rothschild F;
Hugh Satterlee, solicitor to the COM
missioner of internal revenue; Otto H.
Kahn OF Kuhn, Loeb & Company, and
numerous other financiers and econ
omists.
Since then many other business men
and organizations have taken up the
sales tax idea until today, in one form
or another, It looms up as the one
adequate substitute for the shrinking
excess profits tax and the annoying
and unfair retail sales and stamp taxes
that has any considerable support
among American business men.
A great number of persons pay nc
income taxes today because their net
incomes above the cost of doing bust
ness do not amount to as much as
$4,000 a year; the total sales OF these
present non-taxpayers may well aver
age several times that sum, and al
would be required to report and pay
sales tax on their total annual sales.
| In an effort to shut cut discussion
of the sales tax. the ways and means
committee, it is announced. has decid-
ed that 1t shall not be considered
When did q congressional committed
become superior TO the needs and de
mands of the people of the Unitet
States? It can hardly hope to get BY
with this high handed procedure TO
any considerable length of time. Tn
people will find a way to make them
selves heard, IL not in congress. ther
at the polls.