New-York tribune., 1921-11-02

ms was denied by Senator Penrose,
Of Pennsylvania, in charge of the bill,
who said 1t was not the time to bring
forward sales tax. He assured the
Senate that even il ali the items pro-
, posed Tor repeal went out of the bill
there would be q margin Of O,00O 900
between the government income and
outgo.
The sales tax discussion was ac-
copied az notice OF the fight that is to
! come when Senator Smoot brings up
4. his proposals Thursday. The Utah
Senator introduced to-day two mod
itied and alternative sales tax plans.
One proposes q | per cent levy on all
manufactured goods whore sales ex-
ceed $4,000 year, and the other
proposes general turnover tax Of
one-half Of per cent where the sales
exceed $4,000.
Bonus Fight Up To-day
Senator Smoot previously had of
fercd an amendment providing for q
general manufacturers sales tax of
per cent with certain exemptions,
this to be in lieu of all the miscellan-
eous taxes. His new plans would re-
place many of the miscellaneous ex-
cises and would provide for 10 per
cent tax on corporations in place Of the
Is per cent rate tentatively agreed
upon by the Senate.
The Senate confined its operations
to-day almost strictly to the subject
matter in the bill, renewal of the SOL
diers' bonus fight being deferred until
Reed, Democrat, Of Missouri, expects
to reply to a statement issued to-day
by Chairman Fordney. of the House
| Ways and Means Committee, who said
| the Reed amendment for The bonus
coming at ths time would "undoubt-
edly create suspicion in the minds of
the veterans Of the Senator's sin
cerity."
Three Per Cent Candy Tax
LUXURY and nuisance taxes stricken
from the bin to-day and tonight by
the Senate included those OH articles
| made of fur, toilet soaps and soap pow
ders, tooth and mouth washes, denti-
| frices, tooth paste, toilet powders and
petroleum oil, electric fans, thermos
and thermostatic bottles and photo
graphic apparatus and accessories.
Taxes retained included: Photo
graphic films and plates other than
moving picture films, S per cent; candy,
5 per cent for all kinds, in lieu of the
present rate of per cent; perfumes,
essences, extracts, toilet waters, cos
metics, hair oils, hair oil dressings,
restoratives, dyes, etc, per cent, In
shells and cartridges, hunting and
bowie knives, dirk knives, daggers,
cigar and cigarette holders and pipes,
humidors and smoking stands, hunting
and shooting garments and riding
habits, liverie3 and livery boots and
hats and automatic slot device weigh
ing machines, 10 per cent; yachts and
motorboats not designed for trade,
fishing or national defense, and pleas
ure boats and pleasure canoes, if sold
for more than 500, 10 per cent; auto
matte slot device vending machines,
per cent.
Substitute Taxes Adopted
Five per cent manufacturers taxes
on carpets, trunks, valises, purses,
portable lighting fixtures and fans sold
agreed to- These are to replace the
present taxes paid to the retailer by
! the consumer.
The Senate struck out committee
amendment for a per cent tax for
| the leasing or licensing of moving
picture films.
The Senate agreed to the House rate
Of 5 pen cent instead of 10 per cent
! on works of art.
The Jtwelry tax section with the
present rate Of per cent was agreed
| to. bnt with B. provision exemptinG
| surg ical instruments, eye glasses and
| spectacles.
One of the two rev taxes proposed by
( the Finance Committee, that on Office
furniture and fittings made Of imported
csbinet woods, was knocked out Of the
bill.
The other new tax proposed by the
committee~l0 pcr cent on charges fer
hotel rooms in excess OF SIS for orc per-
son and SO for two---was stricken out.
Senator'S Hehin. Democrat. Alabama,
and Townsend, Republican, Michigan,
/ led fight for repeal OF The per cent
tax on automobiles, but the committee
amendment was sustained