The New York herald., 1922-01-24

gasoline tax. by 2 cent stamp tax and
by an increase in postal rates. The
Treasury favors all three measures and
recommended them last summer as a
means Of additional revenue to offset
abolishing excess profits taxes. reduction
in surtaxes and transportation taxes.
All three provisions. however. were
turned down by Congress
The Treasury figures show that gas
oline tax Of 9 cents gallon would raise
$50. 900, 900 year. an increase TO
cents postage would raise S15.o0o.0oo. on
the present basis OF business and a tax
on bank checks would raise S45.00o.0O0
a year. with a possible s6o.00.o00 to
sec, 600, 900 additional by increased rates
on other negotiable instruments.
Yielding to the request OF the ex-ser-
vice men, headed by Representatives
johnson Is. d. and Fish IN. ~,
call has been issued by House leaders
for conference on Thursday evening,
when the bonus will be discussed.
The ex-service men are disgruntled
over the delay on the bill and are dis
posed to get back of the measure now
pending in the House Ways and Means
tee will take up the bonus tomorrow
morning. The first problem to be SET
tied is the means to raise the money.
Needs Funds for First Year.
Senator McCumber's bonus state
ment was made during discussion OF the
foreign debt refunding bill Replying 10
Senator Simmons Is. c., Senator Me
Cumber said he favored some speaai
legislation to provide the revenue needed
to pay the first instalments OF the bonus
bill because OF the uncertainty OF the
time the funds would be available from
the foreign debt. He said about ssoo'-
O0O. 900 probably would be sufficient TO
meet that purpose for the first year,
after which the bonus could be met from
interest and sale of the foreign bonus.
The Chairman of the Senate Finance
Committee favors a sales tax plan re-
stricted to some 100 important items as
the means of raising the funds for the
bonus until the money is available from
the foreign debt.
A controversy developed over the
provisions of the funding bill. Several
Democrats took exception to some OF
the provisions, but after Senator NC
Cumber explained in detail the intent
and purpose of the provisions under at
tack most Of the opposition was with
drawn. Both Senators King (Utah)
and McKellar (Tenn.) withdrew their
objections and indicated that they would
support the measure.
Senator Hitchcock (Neb.) protested
against the plan to establish a commit
tee TO fund the debt and lock after Its
collection.
Senator McCumber explained there was
no law now by which the deferred in
terest could be converted into negotiable
bonds. which Is contemplated In the
funding bill under consideration.
When prodded for the failure OF the
Administration to force payment OF in
terest on money lent TO European ma
tions during the war. Senator McCum-
Der said:
1--WE do not wish to drive any OF the
nations into bankruptcy. We either
fought in the war for humanity's sake
or we had no reason in the war. You
must remember Great Britain and
France had three years OF hell before
we got in. and those nations suffered
untold horrors For Gods sake let us
not play the part of Shylock. We want
every dollar of interest and principal
due and we will get It IL we display the
same kind of generosity and good fel-
that our allies expect OF u.s."
The bill was carried over until to-
morrow, when It will be brought before
the Senate again for discussion.