The New York herald. [volume] (New York, N.Y.) 1920-1924, 1922-10-11
GOVERNMENT TOBE
RUN WITHIN INCOME
President Opposes Levying
Additional Taxes to Meet
Requirements.
TO SLASH 100000, 900
Budget Bureau VIII Keep
Expenses Inside of 49,
98,+56,871 Revenues.
CUT IN ARMY AND NAVY
Pork Barrel Bill to Be Elm
mated and Department
Personnel Reduced.

Special Dispatch to THE NEW York HERALD
New York Herald Bureau.
Washington. ID. g.. Oct. 10.
President Harding feels that the
finances OF the Government are in
such shape as to make unnecessary
the imposition of an additional tax to
meet the requirements of the next
fiscal year. The Administration will
keep estimates for expenditures with.
in the revenues. although this means
cut Of $500, 900, 900 below the outlay
required for the current fiscal year.
The present income and other taxes
will remain as they are while the Gov
eminent gets back on its feet inan-
cially. The program to be submitted
to Congress will be confined, so far as
financial legislation goes, TO the rou-
tine appropriation bills. carrying funds
for the forty-one departments and in
dependent agencies for the fiscal year
beginning July 1.
The assurance that additional taxes
Will not be required Is a result of the
compilation Of the estimates for appro-
pTldelOnS Dy tne budget bureau. w uhS
this work is not ended it is apparent
that the expenditures can be held within
the limit set by the President. S3.19s,-
456.s71 the amount of the anticipated
revenues
President Harding started in July to
/ insure the necessary $500. 100000 reduc-
ton and he called on every one OF the
departments and bureaus to submit fig
ures which were lower than those for
the current year. When these reached
the budget bureau they were far in
excess of the funds available, with the
result that cuts amounting to several
hundred million dollars were ordered.
Most of the money is to be saved in
the War and Navy Departments The
War Department during the current fis-
cal year has had allotted to it. exclusive
of the Panama Canal. a total Of $685.
506.520, while thu Navy Department has
| had s349. zoe. 900. Every one of the other
departments. except the Treasury. which
needed S132,356,9S6, received no more
| than $50, 100000.
In addition to the cuts in the army
and navy the budget bureau expects ia
eliminate all construction of public
buildings and the improvement of river,
and harbors.
The estimates are being compiled
organization of the Government depart
ments. the project with which Walter F
Brown at the head of a Congressiona
committee has been struggling for more
than a year. There is to be a curtail
1pent of personnel in some of the de
partments. but not OF an extensive char
acter None of the departments hal
voluntarily pointed the way to such &
reduction and such cuts in personnel a,
will be made are due to the orders Of
the budget bureau.
In estimating the receipts for tn,
coming fiscal year. Secretary Mellor
based his calculations on the custom.
duties derived from the Underwood Sim
mons tariff law which has just beer
superseded by the Fordney McCumbel
law. Under the Underwood law the Gus
toms returns would have been $3.50.
000 900 for The year but the Fordney
law will send them TO s400, 900. 900.
This will give the Treasury a slight
ADVANTAGE amounting to s50,000,00O be-
cause the figures have not been revised
in making up the estimates for appro-
priations. The total of S3,19S, 456. 81
was made up by estimating customs re-
ceipts at $3.50. 900. 900. Internal Revenue
receipts So so. 900. 600 and miscellaneous
receipts. as from the different depart
ments at $49S. 456.s71.
The Fordney- McCumber tariff law will
be more expensive to enforce than tn,
Underwood Simmons law since larger
stats will be required at the ports. Thu
difference, however. will amount to moth
ing like the 1000. 900 gained by add
tionai customs receipts. 1t Will mean {
slight revision in the Treasury figures.