The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1922-02-15
Congress Now Sees Way to Pay
Adjusted Compensation.
Use Money Cut From the War
ship Appropriation.
ALL ARE MARKING time
Harding for Sales Levy to FL
nance Compensation.
Farmers Would Be Exempt in
Tax Proposed by SmOOt.

Washington, Feb. 15.-The naval
holiday" decreed by the armament
conference may offer congress a short
and easy way out of the soldiers bonus
muddIe, Republican leaders indicated
today.
They suggested that the big saving
expected to be effected in navy ap-
propriations as a result of limitation
of naval armament fixed by the con-
ference could be readily diverted for
paying of bonus.
The senate and house committees
charged with the framing of a soldiers
bonus bill continued to mark time to-
day in their consideration of the ques-
ton of how the necessary funds should
be raised in expectation of receiving
from President Harding a formal ex-
preston of his views in the matter.
Remembers G. o. p. Promises.
1t was believed the letter which 1t
had been announced at the White
House the president would send to
the chairman of the COMMITTEES for
this purpose would be transmitted to-
day.
The president. it was emphasized.
had not lost sight of promises made
by the Republicans in the 1920 pri-
maries but his attitude, it was added,
had to be that of finding sane and
those promises on the one hand. hav-
ing regard for restored sta ability on
the other"
President for a Sales Tax.
Meanwhile, pressure for a sales tax
as a means of financing the bonus was
exerted with renewed determination
between Senators Smoot of Utah.
Edge of New Jersey; Moses of New
Hampshire, and others in favor of it.
They were spurred to fresh activity
by the knowledge that the president
himself believed in a sales tax, altho
inclined to leave to the judgment of
congress whether one. should be in1-
posed.
Chairman Fordney, however, was
said to be among the house Republi-
can leaders who had frankly informed
the president that the combined oppo-
sition of the Democratic minority and
the agricultural bloc in the lower
chamber would be sufficient to insure
the defeat of sales tax there.
May Amend Bonus Bill.
Senator Smoot proposed to over
come the opposition of the ''agricul-
tural bloc suggesting again a manu-
facturers sales tax from which the
farmers would be exempt. 1t was
such a tax that he offered as an
amendment to the new revenue law
and despite it's defeat by a substantial
vote in +he senate, he said, he was
hopeful that it might succeed if Of
fered as an amendment to the bonus
bill.
Representative Hamilton Fish, Jr.,
of New York, spokesman for ex-serv-
ice men of the house, declared there
was no reason why the bonus could
not be provided for from the saving
of from $10O,000,O00 to $500, ,00O, 900
in naval retrenchments expected to
result from the naval holiday" de-
creed by the arms conference.
Service Men to Caucus.
There will be a caucus of house eX-
service men Thursday for the purpose
of renewing the fight for the bonus
bill in the lower chamber where, as
in the senat, a strong undercurrent of
opposition to it has set in as a result
of protests against the enactment of
any bonus at all.
John Thomas Taylor, chief execu-
tive agent of the American Legion
said:
1--WE feel absolutely satisfied that
the senate and house ways and means
committee will report out a soldiers
bonus bill that will be perfectly salts
factory to the business interests of the
country so far as the tax features are
concerned. There can be no question
as to the obligation of congress to pay
the bonus legislation this session, and
I have every confidence that this will
1 :,