Norwich bulletin., 1922-02-17

Hardings advice today to congress.
 Chairman Fordney of the house ways and means committee and Chairman Mo Cumber of the senate finance committed said they did not think the bonus would be postponed. but were silent as to a sales tax.
 Leaders of the agricultural blocs were outspoken. however. against this tax and threatened to counter with a program which would include re-enactment of the excess profits and higher income sur taxes and an increase in inheritance and some other such taxes This plan also was favored by some democratic leaders. Proponents of a sales tax professed to be confident that because of the strong desire in both the house and senate to put through the bonus bill at this session, | a majority of the members could come to | | accept this levy rather than see the | bonus program defeated.
 Pending more careful consideration of | | the whole problem, and a possible fur ther reaction from the country, there seemed to be disposition on all sides to move slowly. The presidents letter, ad- dressed to Representative Fordney was read at joint meeting of republican members of the house and senate com mittee dealing with the bonus question. who agreed after some discussion to | leave the matter in the hands of the majority members of the house commit. | tee.
 It was announced that those members 1 would meet tomorrow but it was indi- cated that the tax question would not be taken up immediately. Officers of the
 American Legion will be called in first, | 1t was stated, to give their views as to Hr. Hardings suggestion that instead of I extending the cash payments over two1
 and one-half year. payments be deferred
 until "the day when We may safely un-
 dertake to pay at once in full"
 | Leaders generally, both republican ana
 democratic, said it was too early to un- | dertake any prediction as to whether if
 the issue finally came down to that. the
 bonus bill with a sales tax provision
 would be defeated. Some thought that
 many of those now opposed to a sales
 tax would accept 1t rather than vote
 against the bill, but asserted that it prob
 ably would be several days. at least. be-
 fore there would be specialization Of
 sentiment on which he would be safe tc
 base a forecast.
 In suggesting a general sales tax as
 the oDly commendabe plan of raising
 funds. Nr. Harding said he believed the American people would accept such levy for this purpose. adding that 1t would distribute the cost so that 1t would
 be borne by all of the people and would not contribute added difficulties to the
 problems of. readjustment.
 If congress would not adopt such a tax. the president wrote that 1t would be wise to let legislation go over until .nere was a situation which would Justify the large outlay" Calling attention that inc administration was "driving for large
 economies" pushing the disposition of
 surplus war property, and has other transactions under consideration (which ought to prove a great relief to the fed eral treasury" Mir. Harding added: . Tt is not consistent to enact legisia- ! ton in anticipation of these things. but
 II would be prudent plan to await the
 developments, and I can see in such q s postponement no lack of regard for the service men in whom all the American people are so genuinely interested" Republican leaders generally withheld e comment. but Representative Garret of Tennessee, the democratic leader in inc
 house. and Representative Garner of n Texas, ranking democrat on the house n ways and means committed issued a for h nal statement in which they asserted . that there has been from the beginning : a purpose upon the part of the republi-
 cans to engraft the sales tax system upon
 the country, 90 that there may be a .. gradual reduction of the taxes on | | wealth"
 k Representative Dickinson. republican. : Iowa, leader of the house agricultural : bloc. declared that republicans from inc
 western states would fight any effort on
 the part of party leaders to have adop, ed z rule under which bonus bill with a . sales tax provision could be nut through > the house without amendment and ina, F. with the aid of the democrats they ourh; n to be successful.
 With the bill open to amendments, he | Or.TG b-, S gram including levy on gifts. increased o inheritance levies and sur-taxes and re. l, enactment Of the excess profits tax d Representative Garner said the demo. t crats would join in the fight against the l. rule and also would propose amendments
 carrying increases of many present tax.
 es- including those on liquors.
 I- Senator Capper, republican, Kansas q j. leader of the senate agricultural bloc n stated that he had been against a sale, !. tax all along. and stiH am. either for 2 d bonus or any other measure" He ssid e he was not speaking for the bloc all
 though he was sure that many of ii,
 members were against a sales tax. V- would rather vote for an exces, le profits tax" he asserted, "and my peonl, y would much rather have me do +bs, if They believa as I believe that the sale, e. tax Is based on a wrong principle"
 Discussing the presidents letter in tb,
 senate, Senator Caraway. democrat Ar K kansas, declared that the sales tax wa, r. "a rich mans scheme to avoid in. bu- e. dens of government"
 J. They are go1 g to take money Oil, n of one pocket of the service man" he con k tinued. put 1t in his hand. and let hin
 put 1t in the other pocket Thev'n max,
 him pay for every uniform and gun h, 1e Lused in France"
 t-1 Former service mne, now members n W the house-about a score sn number-a C. meeting called soon after Mir Hardinr' is letter reached the capitol discussed t+
 question of writing a formal letter i,
 Senator McCumber urging that enact m ment of the bonus bin be not postponed m Opposition to any postpmenent of th .5 legislation also was expressed by Joh- a Thomas Taylor. vice chairman of in " national legislative committee of in of American Legion. In a formal state
 nent tonight he declared that the nee,
 for the passage of the bil was inmedt -t ate. and added:
 as The legion does not intend to b ns drawn into any discussion upon any pro of posed method for raising the revenue t
 meet this obligation As is general