The Washington times., 1922-02-20
F0ESDR0P
BATTLE0N
SALES TAX
PROPOSAL
Move for Adoption Will Be
Launched at Caucus
Tonight.
BY International News service.

by Ipternationni news service. -
Republican members of the House
Ways and Means Committee today
renewed their quest for funds to
pay a soldiers bonus. Chairman
'Fordney Of the committee repeated
his assurance that before the week
had ended the Legislation would be
ready for the House.
The Legislative and administra-
tive draft of the soldiers bonus
bill were ratified finally today by
the Republican members Of the
committee. The five-way plan,
which includes the cash payment,
was adopted. Some changes were
made in the legislation to make the
insurance feature more attractive,
with the hope that larger number
of beneficiaries would take this
plan of the bonus.
Fight Over Funds Raising.
The fight over ways of providing
payment of the bonus seems to have
narrowed down to q sales tax limited
in its provisions to the actual amount
of money necessary, and as to the
commodities to the tax, and the plan
of leaving the payment of the bonus
to the general Treasury receipts.
Consideration by a subcommittee
of the House Ways and Means
Committee OF the various proposals
to raise funds for the soldiers bonus
will begin tomorrow, II was an
nounced today by Representative
Fordney of Michigan, the committee
chairman.
The subcommittee will take up
the sales tax recommendations OF
President Harding, and will discuss
other suggestions, including direct
taxation. re-enactment Of the excess
profits tax and the payment of a
bonus through savings effected In
military and naval expenditures.
Opponents of the sales tax say thai
there are enough members Of the
Ways and Means Committee favoring
sales tax to write II into the legis-
lation. Several influential Repub.
lican leaders of the House. including
Mondell. are opposing any tax, and
urge that legislation be passed pro-
viding that the bonus shall be paid
out of revenue In the Treasury not
otherwise appropriated.
Mondell is making a race for the
not wish to defend a sales tax in his
campaign. with other members OF
the House, he claims that sufficient
moneys can be saved by cutting the
army and the navy and pairing other
approximations to make up the first
year payment Of the bonus. The
secondyear payment, which will be
larger. he would leave to the future
for consideration.
Sales Tax Gaining.
Preliminary polls of State delega
tions in the House, made under the
direction Of Republican leaders, dis
closed that sentiment Is swinging
rapidly in favor OF the bonus sales
tax.
Prominent Republicans said that Q
majority now seems assured for the
plan. The polls showed that gains
have been made, not only in the
South, which voted almost solidly
against the bonus two years ago.
but also in the North and in New
England.
The majority OF the members OF
the House, where the bonus sales
tax fight will begin, were on the
fence on the sales tax issue before
| the President came out for the sales
tax as the only feasibls method OF
financing the bonus. These members
are now lining up for the bonus sales
tax.
Delegations for Tax.
The Massachusetts delegation 10
almost solidly In favor Of the tax
Gains are shown in other States.
notably New York. New Jersey and
Illinois. Republican House leaders
also learned that many members
from Iiwa, Kansas, Missouri, and