The daily banner. (Cambridge, Md.) 1897-2008, 1922-02-20
HOPE IN VAIN FOR
|IHAYOUT OF BONUS
Soldiers Compensation is a
KnOtty Problem
FEAR SALES TAX METHODS
Seize Upon Reduction of ApproPria-
tions as Means of Raising Money to
Pay Veterans.

Washington, Feb. 20-The soldiers
| bonus situation continued to be SC
ne1ulOuS that Republican house lead
! crS were still unprepared to venture
even a guess as to what plan of tinanc-
ing ultimately may be agreed upon.
| Ii is understood to be their diSpO-
sit0n to let the question simmer ii
Willie longer i'll the hope that Senti-
mtmt would so shape itself as to facli-
| tate the task of those who will frame
| tie measure.
| Ii developed that beneath TIE sur
| face Of the storm which has ragged
around President Harding's suggestion
| that ;he bonus be financed by IL sales
| tax. there had been Il lot of quiet talk
| il support Of the proposal advanced by
nIc leaders last week that the le%iS-
| l"t.nn be made Il general charge
| against the treasury, with eXpeCtrG
>,t,tu&s through cuts in regular appro,
| i. .,atiom bills relied upon for the fl
| nanciliS of Il portion of the initial cost.
When first suggested by Representa-
| tive I0ndell, Of Wyoming, Republican
| house leader, this proposal seemed It
| ECct with considerable favor among
| the rank and file in the house, but thF
| idea became all but submerged by th.
l,;tre of talk that swept through cloaE
| rooms and corridors after the pres.
| cents letter to Chairman FOrdney, Ot
| III" ways and means committee, h;.,i
| Reached the capitol.
Irrespective of the bonus, there ap-
! pHrently was a determination in the
| house to reduce sharply the estimates
for both the navy and the army, and
| that possibly $2OQ,000.000 would be cut
oIt of the supply bills for those de
| partmCntS alone. Such Il sum, it was
said, would 60 a long way toward
| mCt ting the first years cost of the
| cash payments to the former service
| men.
Views of the majority members Of
the ways and means committee on this
| plan have not yet been publicly de-
veloped. Proponents of a sales tax
| however, are understood to be pre-
| pared TO force their fight in the conf
| IIiItee at the earliest opportunity.
Some opponents of the sales levy
| cOncede that there are sufficient votes
laalOn& the majority members OF the
| committee to report out such a tax
| but declare the question of eXpediency
| must enter into the final decision. The
| frs, consideration, they said, is the
| probable effect of such a tax on the
minds of the people generally, and
| the second the known effect that will
be produced among Republican mem
| DerS of the house.
If such tax is proposed to a party
| conference the opponents assert that
| they will renew the fight which was
Waged successfully in a similar con-
| ference in 1920 when the first bonus
bill was presented with a sales tax
attached. Failing to win In the caucus,
| they declare their fight would be car
ried to the floor of the house with the
| expectation of almost solid support
| from the Democrats.
1t is understood to be the hope of
| leaders of the agricultural bloc that
| the committee will report out Il bill
| Sili4'uI any SpSSIIII p1ONlSlOll 1oI Id1S-
| ing the funds, as the senate finance
| committee did last year.
| President Harding has said that he
| could not look with favor on a meas
ure that did not carry ways of financ-
| ing it, but it was understood to be the
thought of some of the supporters of
such bill that with large sum made
available through reductions in the es-
| timated cost of conducting the regular
government establishment situation
| would be created which would remove
executive objection.