The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1922-02-17
congressman
RALLY AROUND
SALES TAX|DEA
Senators and House Members
Generally in Accord With
Harding Plan.

President Hardings letter advo-
eating a sales tax TO pay the SOL
der bonus was generally we'll re-
ceived in both houses of Congress.
Senator Smoot, leading advocate
of the sales tax, said it was too
soon to predict passage of the
bonus sales tax in the upper
branch. He said:
Il have always said that a sales
tax was a proper way to raise
money, so Of course, l am in favor
of the Presidents suggestion. AS
for the suggestion of delay, I do
not believe there are votes enough
to accomplish this. With the cleo
ton approaching, the majority of
the members OF Congress will want
the bonus measure passed. Nor
do l believe the cash payments
can be eliminated.
whether the sales tax will pass
the House l do not know. l have
been told that it cannot pass, but
! If it does not there will be no
bonus measure this session. I do
not know whether the sentiment
favorable or not at the present
| time. although I believe sentiment
in favor Of 1t has been rapidly
growing in both Houses.
Edge Now For Bonus.
Senator Edge of New Jersey, who
has been an opponent of the bonus,
announced that he would now vote
for it. He said:
ut is worth the price Of the
bonus to get the sales tax on the
a n mo NJ ~ fu
Ing revenue"
Senator Harreld, Of Oklahoma,
said:
THE President is right. It is
either sales tax or nothing, and
it seems to me that sales tax
Is the most equitable way to raise
the money for the bonus"
Senator Willis, of Ohio, said:
Il favor the Presidents plan,
but instead of calling 1t a sales
tax l would call it a bonus tax"
Democrats For 1t.
Two Democratic Senator's, Over.
man, of North Carolina, and Rams
dell, of Louisiana, announced that
they favored the bonus. Senator
Ransdell said:
II will stand by any plan to raise
the revenue which would least in
terfere with business. II after
careful consideration 1 find the
sales tax will not hurt business to
any great extent l will not oppose
that PLAN"
Senator Overman said:
II am opposed to the sales tax
as a means of raising the money
for the bonus. 1 am in favor of
raising the interest on the foreign
loans"
Republican House Leader Mondell
would make no comment.
There will be a bonus passed at
this session Of Congress" said Chair
man Fordney, Of the Ways and
Means Committee. He declined to
comment on the sales tax proposal
Says Bonus Will Pass.
Congressman Frear, in a letter TO
Chairman Volk, Of the House Sales
Tax Committee, who is making a
poll Of the House on the bonus bill
and sales tax, opposed the sales tax,
but said:
"A bonus bill will pass the House,
but IL an open discussion is had 1t
will contain a consumption tax"
Minority House Leader Garrett
and Congressman Garner of Texas.
ranking Democratic member OF the
Ways and Means Committee, issued
a joint statement. They said:
There is every reason to believe
that from the very beginning there
was a fixed purpose and distinct
understanding among the Re.
publican leaders that n situation
should he brought about whereby
the bonus would be paid with a
sales tax. The eightpoint plan of
taxation suggested by the Republican
members of the Ways and Means
Committee was evidently put forth
simply as feeler There has been
from the beginning n purpose upon
the part of the Republicans to en-.
graft the sales tax system upon the
country, so that there may be
gradual reduction Of the taxes from
wealth."