The Daytona daily news., 1922-02-16

rs 81 50 EVERY
hll ueeESTED;
ANoT FEASIBLE
r 1alus Tax Won't Pay the Bonus,
Then Il Should Be
Postponed.

WASHINGTON. Feb. 10
nbident Harding favors the i'm
uiticn Of a sales tax to pay a sol
sI bonus. The administra-
4tpas decision was made known
r. Coagress in a letter addressed
teioy to Representative ordney
M) Of Michigan. chairman Of
- House ways and means com
njltee.
= his letter the president told CON
49, that II the sales tax could not
~ 6nActed to finance cash payments
~ Vo1gEans Of the world war. that the
1oqup bill should he postponed
s1et me repeat, the president sd d
son4t | helieve American people will
61Coot The levy Of a general sales tax
0U&o4 the proposed bonus payment
u congress with not adopt such a
11[oij ID Would be wise to let the legis.
sof1o1 70 over until there is a situa.
which will Justify the large out
~ pfeside1t called attention to
~
~ ~ ,QQQ . s8eAFa fog st1es-r refiae
y - Fordney that such delay
- bonusl as will enable con
"a act IN prudence for the com
topd. will have no suggestion of
G Gn1l1f0lness or ingratitude.
q; nediAfe aba andonment Of the eight
l11qt special plan proposed by the
nd -
11ot bOnne payments was expected to
II (he frst result Of to-day announce
neat OF the administration policy
: VIII regard to the bonus.
E1orts may still be made To force
thrQugh . bond issue, a substitute fol
tie house tax program but admin $
4etto9 forces led by Senator Smooi
i sAsdf Utah, the original sponsor OF
]; ~ Aat9s tax. are expected 20 line uI
41qk forces to put through the pre- .
4aoea recommendations
e sufficient votes cannot he foune
4 - enact sales tax in connection wit!
Z the bonus bill it is probable that tll'
compensation measure VIII be shelSe
Indefinitely, but not without iari
aght BY its supporter in both houses
The text OF President Harding ) let
tsr follows;
My dear Mr. Fordney
In accordance with the promise /
yourself and your associates on Ia
senate and house committees. charge
with the responsibility If formnlatia
the proposed bonus legislation. has
carefully looked into the program {
taxation which has been suggested
In addition thereto have made i
Quiry into the feasibilis Of lsSUn
either short term treasury notea {
long term bonds to meet the ilnane
obligations which tae 81 opposed leg
lation will impose It - not pes q
to commend to you either Of the pllr
suggested
1T contiues to be my best iulgmai
that any compensation legislation e
scted at this time ought ia carry Y =
II the prov islon FOR raising the nee'l
revenues. and | tiad nH Hsef unable
suggest any ,onmendabie plan oia
IRAN that Of general sales tax @u'
tax will distribute the cost Ns !
varding the eX service men II SIR
Z manner that il Nll hc borne by {
the people whoa thes served IL
does not comm tie government
ciass Imposition II taxes o. the J
sumption of the burden repealed !
ms'utenance OF which can be justiti
or'v nv great Mar emergency
IT is fulls reaiized how grea; IS I
ofmculty which eonfron;s the G.
gress in solving this 4 m ult profile
am aware OF the strong sentiment
congress IN favor Of this adjust
compensation haze spoken apnr
meIy myself alWAss With the res
vatlon that the bestowai Stall
asoe when it may he done With,
svch injury 10 the country as s.
nehify the benefits 20 the eN serz
men themselves which THIS express
% gratitude is dies guel g nestow
II Is not an agreeable thing to 5
sest that action be stYoned ass
out t.ankiy | do not iaA myself
'ofanie IL The p.eeemeal payin
tCaa.iarp1 On l-rs rearl