The Birmingham age-herald., 1923-09-02
OPPOSITION KILLS PLAN TO INCREASE TAX ON GASOLINE
Administration Instead Gets Behind Bill To Raise Cor
 poration Franchise Tax
STATE CAPITAL BUREAU 1
 THE AGF-HFxALD Montgomery, Ala. Sept.

the next quadrennium.
 Throughout the week It was talked that the budget commission had reached the conclusion that If ap- preparations were continued the state would face an annual deficit unless additional sources of revenue wera found Governor Brandon confirmed the reports in a personal message to the lawmakers Friday, during which he announced that the budget com mission had found the states deficit September 30 would be about $2,fOU,- 900, and that if the state were able to cover this deficit during the four years and care for the institutions 1t would be forced to collect more than 1000, ,000 in additional revenue.N
 The first effort to obtain the amount made during the week was through the imposition of an addi- tional gasoline tax of one cent gal ion, which would have increased the total tax to three cents. The ad- ministration proposal went to the house. but so general was the pro from this source the bill was aban- doned in the house committee on ways. means and appropriations. Proposes Franchise Tax.
 Assured that this proposal could not become law, the administration got behind the bill of Representative J. Lee Long of Butler, increasing the franchise tax on corporations from GO cents on each thousand dollars to s1 on each thousand dollars. This bill was introduced Tuesday. Few persons knew it had been proposed. It was given a favorable report by the committee Thursday and ap- peared on the house calendar Friday. The rules committee made 1t spe- cial, and it was passed during the short session.
 If the senate accepts the bill the state revenue will be increased be- tween s300,o00 and $50o,000 annually. Counties will not beneflt py ms tnls higher franchise tax. However, they will not lose the amount they have obtained from this source in the past. Mir Longs bill originally took from the counties all the franchise tax, but representatives of Jefferson, Mobile and Mont gomery counties combined in opposition to 1t and after the bill had been passed obtained a recon sideration of the vote and had the house adopt an amendme ent providing that the counties should continue to receive the same amount In the future.
 Even If this increase is made, the state will be forced to find S5oo,ooo or more dollars in additional revenue If the figures of the budget com mission are correct. Governor Bran -~ don told the legislature he was ae- termined that the state live within US income. lftItIOi ts IL SSN4tis' certain that proposals for additional revenue will be made next week.
 Little legislation of general inter est was considered by either house during the week, except the Long bill.
 Matters Considered.
 Important legislation handled in the senate follows:
 The bill giving counties the right to make appropriations for the ad- vertising of the states natural re- sources was defeated
 The bill of Senator Overton Nex- empting new cotton mills from taxa ton for a period of five years was defeated Senator R. H. Powell pr Macon immediately introduced anoth- CT bill providing for exemptions for five years from September 30, 1928
 The bill creating a bureau or in- surance in lieu of the state insurance department was passed and the ad- ministration of the workmen's com pensation bureau was placed in the insurance bureau. Under the Dill as amended the insurance superinteno- ent will receive S4.000 and the assist ant S3,000. The Jeter bill imposing restrictions on pool rooms and pil- lards hall was passed by the senate. If had already passed the mousse as amended and will require all pool and billiard halls to close their doors at Il p. m
 O O O
 Passes Franchise Tax.
 The house of representatives took the following action on important bills during the week.
 franchise tax on corporations from 30 cents to $1 on each Sl,OOO Do- / nestle corporations will be required to pay the franchise tax on their en- tire capital stock. while foreign cor porations will be required to pay on @l,n ap,nunt invested in operations in Alabama. .,
 Passed the bill imposing heavy H. censes on the operation of heavy motor trucks to pay their ad valorem taxes on this class of property at the time of obtaining licenses. The bill is intended to require owners of heavy trucks to compensate the state for portion Of the loss caused bv the cutting up of the highways and to force owners of motor cars to pay the ad valorem taxes which have escaped in the past.
 Passed the bill legalizing the sale tions of the state an old code section of gasoline on Sunday. In some sec prohibiting the dispensing of gas on Sunday had been involved and gas oline filling stations closed on Sunday.
 Would Exempt Veterans.
 Passed the bill of Representative w H. Holcombe of Mobile submit .
 
 which would exempt ex-service men who served in the World war from the payment of poll taxes for all time.
 Passed the bill of Representative Charles P. Odom of Lamar putting widows of Confederate soldiers on the same basis 6f Confederate sol- diers in the payment of pensions.
 Favorable report was made Tn the house on the agricultural code, against which bitter fight has been made for several weeks, and the bill will be considered next week. If ap- proved by the house, 1t is not prob able 1t will be held up in the senate as the senate committee on agricul- ture sat with the house committee during the consideration of the bill.
 Amendments were proposed to many sections of the code. The most important being the creating of board of agriculture of seven, five of whom must be actually engaged in farming and the others being the commissioner of agriculture and the director of the experiment station at Auburn.
 The lawmakers continued to pursue their original policy of holding only three sessions a week. When they left Montgomery for the week end Friday II legislative days. remained. The next sessions will be held Tues day afternoon. Therefore, it appears now that three sessions will be held next week. three the week of Septem- Der g, three the week of September r 16 and the last two sessions the week of September 23. This probably will bring final adjournment on the fif- tfeth legislative day. Thursday. Sep tember 27. .