The Tomahawk. [volume] (White Earth, Becker County, Minn.) 1903-192?, 1922-02-23

Washington, d. C.-Action by the
Ways and Means committee OF the
House to the effect that the soldiers
bonus sho uld be financed by sales
taxes confirms our impression that
previous announcements to the same
effect by the secretary Of the treasury
expressed the attitude Of the Harding
administration. ="
The Ways and Means committee is
the most important committee Of the
lower House and the faction in control
of the government makes sure that
this committee is controlled by Its
own men. s.a".- - '., - =, -.
There is good reason for believing
that the G. 0. P. machine is much
more interested in the establishment
of sales taxes or consumption taxes as
method of raising federal revenue,
than it is Of the bonus itself. In fact,
it is not interested in the bonus at all
except as means of removing the
bad impression created by it's agita'
ton against the measure, before the
1922 general elections.
According to the Ways and Means
committee the bonus should be
financed as follows: =
Tax of 1 cent a gallon on gasoline.
Automobile tax of rs cents per horse
power. :.. ;.g~& ~ . 9. y.
Stamp tax of / cent on each bank
check. = H.. .:.-..--..
Tax on real, estate transfers of
cents on each $40 involved. -.
A tax on theatre tickets in excess
Of rs cents.
New taxes on cigarettes, tobacco,
and legal documents.
The treasury experts estimate that
these taxes will yield about $50 mil
lion a. year and the plan is to levy
them for three years. -
If the bonus is put across by means
of these taxes instead of taxes on the
war profiteers' it will not be long be-
fore agitation is renewed for further
sales taxes to reduce taxation on mil
lionaire incomes, and to make up for
the deficit caused by the repeal Of the
excess profits tax. - t:.,.;.
Subsidies to American shipping COM
panies, our plans for an army Of mil
lion men, and other features Of gov
eminent for Big Business which will
greatly increase our federal expenses,
will make the present sales tax plan
merely an entering wedge. Large
business is not willing to finance any
more Of these operations than it can
avoid And the only way by which it
can avoid greater taxes is to repeal
taxes on itself and to increase taxes
on the general public. a.
Congressional and senate commit.
tees have been holding hearings on the
plan for reviving the government
grain corporation to stabilize the
prices Of several important farm prod.
ucts. In the senate committee, which
is further along with it's work, it is re-
ported that eight of the fourteen mem.
bers, five Democrats and two Repub'
/ licans, Senators Norris and Ladd, are
in favor of reporting the Ladd bill ia
vorably. S;r ~ # ~ IT, -
If this majority of the senate agri-
cultural committee continues to be IA
vorable, the matter would come up for
VOLC, anu oOAoCOA0 OAN SOA6A SO0AAAOAA
would be forced to take stand on
the matter and would probably have
to vote for It. :,.>' ,'.' -, , -
Hence the opponents of the price
sterilization plan are making their
principal fight now to prevent favor
able committee reports. / Il. -
Petitions and letters are pouring
into congressman urging the revival
of the grain corporation and business
men as well as farmers of the West
are beginning to look with favor on
the plan. If the Ladd-Sinclair bill can
be brought before congress there is
very good possibility Of favorable
action. ~ , y. 8 =, i a q ,5s. -
i Word has come from administration
sources that the president would veto
such an act but this may be designed
more to influence committee action
than to express unalterable determi-
nation. Hitherto the president has
signed practically every measure that
has been passed by congress and he
would hardly risk losing his congress
sional supporters in the coming con-
grsssional election by a veto of this
kind. 81 &. sfj T. :. s,,.. g.. !, H. 5