New-York tribune., 1922-02-21
Attitude Toward Proposal
Said 10 Grow Less Fa-
vorable as Congress
Fails 10 Fix Program
Bill Without Sales
lax Faces a Veto
Senator Shields Cheers
Opponents of Measure
by Nigorou. Letter to
Nashville Legion Post
By Carter Field

By Carter Field
WASHINGTON. Feb. 20.-Presi.
dent lIardine's opposition to the en-
actment of bonus bib at this time
has grown stronger since his mes
age of last week. While he hss
given no intimation Of another mes.
age in the near future, callers a
tho White House to-day got the in
preston that if Congress does not
stop squirnling and wriggling in the
next week or 50 the President MAJ
cali some of the leaders in and urge
that it be dropped for this session.
The President is declared 10 be
more than ever opposed to impos-
ing the drain OF The Treasury which
the bonus would mean at this time
He gave no intimation as to how far
he would be willing to 90 in order to
bring about postponement. but some
of his advisers were convinced to-
day that he would veto bonus bill
which provided either no plan for
raising the necessary revenue at all.
or else some plan other than the
sales tax.
The demand Of Hanford MacNider.
national commander Of tho American
Legion, that the bonus bill be passed
Immediately, and his charge that the
opposition originates with selfish in
terests' in the money centers, have not
essentially changed the situation
either at the White House or in Con
gress. President Harding is in sym
pathy With the desire to do whatever
is practicable for the veterans but i
constrained to consider the economic
situation OF the entire country. AS 81
matter Of fact. more protests against
he bonus are reaching the Whit9A
House than demands for it.
Favor Bonus if Practicable
s. III as Congress is concerned.
ia ajori.y IS ready any day 70 vote fo.
the bo'us provided it can find wag
to raise the money which viii TO.
arouse widespread public protest
Bonus advocates in the House and Sen
ate confess no discouragement over the
White House opposition. They insist
that bill viii be passed and very
speedily
The news of President Hardine's IN
crease in opposition did not percolate
generally. but the bonus opponents
were greatly encouraged by the addi
ton TO their ranks of Senator John
K Shields OF Tennessee Senator
Shields made public a letter he had
4 7
ficial back i'm Tennessee. in which he
came out fatfooted against the whole
bill for the time being on the ground
that the Treasury could not stand it
and that neither a new bond issue no.
new taxes TO raise the money were
practicable at this time.
Senator Cara way. of Arkansas, in a
speech in the Senate for the bonus to-
day. amused his colleagues by his RET
erence TO New ! Nork member Of the
House, representing. he said. one q
the richest districts in the state, az
pealing for old clothes for the service
men. It was thought his reference was
to Representative Hamilton Fish jr,
who, however, Is ore OF the leading ad-
vocates Of the bonus in the House.
Incline Toward Sales Tax
Republican members OF the Ways
and Means Committee seemed to DAY
inclined TO adopt the Presidents sug-
gestion about q sales tax. Their idea
was TO make the tax at the rate Of per
cent on manufacturers sales, exempt
ing farm products. livestock and mines
and mineral products. Il was estimated
that this would raise about S200,000 0oo
a year and they proposed to raise the
additional amount needed by further
economies in appropriation bills.
conference OF the Republican mem
bers OF the House would be held in the
next few days. il was stated. at which
this plan and any others which might
be suggested. would be discussed II
was emphasized that II would be
caucus" the difference being THAI
conference" cannot bind those partic;-
pating TO support whatever is the vii,
oil the MAJ jorlty.
Twenty-Five middle Western members
of the House, after meeting to-day.
started petition. which they urged ali
advocates OF the bonus to sign. Il
reads:
1--WE, the undersigned, hereby de.
clare as follows:
"First-We favor adjusted comper.
sation
Second We are opposed TO financ.
ing the same by sales or manufacture
ers' tax
"Third-We VIII oppose any rule for
the adjusted compensation that does
not permit separate vote on any sales
or manufacturers tax provision there
in."
Among those circulating the petition
are representatives Cramton, of Mich
igan; John NJ. Nelson, of Wisconsin;
Rhodes, of Missouri; Kopp, of Iowa:
Keller. Of Minnesota; Evans. of Ne
braska; Kelly, of Pennsylvania, and
Brooks, of Illinois.
Shields Reviews Situation
Senator Shields's letter was to Com
mander Philip Cole of Post No. OF the
American Legion, of Nashville, Tenn.
After referring to the staggering
burden of taxation under which tbs
American people are laboring, the let
ter said:
"The economic and financial condi-
ton of the business, industrial and
agricultural and labor interests are de-
moralized, depressed. and suffering 20
an extent never before surpassed in
the history OF our country. Mines.
mills and factories are idle Millions
Of acres Of grain and cotton planta-
-,