The Caldwell tribune. [volume] (Caldwell, Idaho Territory [Idaho]) 1883-1928, 1923-01-30

A Constitutional Amendment
The vote in the lower house OF con
gress pass;-E the resolution providing
for the restriction Of further issues
of tax-excmpt securities was remark
ably free Of party color or bloc sup
port. the members evidently having
given the measure their approval be-
cause they believed it 10 be a wise
economic reform. Following the pas
sage by the house the "wise ones
about Washington predicted that the
resolution could not get through the
senate before the close OF the scs-
sion. In such an event both branch
es OF congress will likely fight out the
whole question again. But should
there eventually result a two-thirds
vote in the two branches the question
will then 20 to the states. and it will
take a favorable vote OF two-thirds
of the state legislatures to complete
the adoption Of the amendment.
The debate accentuated the fact that
the rich Of America are investing their
morey in tax-exempt securities, and
that in 1921 there was issued one bill
lion three hundred million dollars OF
this class of securities. More than
twenty billions Of dollars OF tax-ex-
emp securities are in existence in the
United States, and the lazy" rich find
that they are relieved Of all worry and
trouble by placing their money in
such investments, because they do not
even have TO bother about taxes. The
income-tax revenue lost by the gov
ernment at the present time is esii- ,
mated at S24O. 100000 a year. and it is i
growing steadily. +
Opponents OF the proposed measure a
have raised the old cry state rights" a
The vision OF opposition by counties, &
cities, towns and school districts that
have benefited by lodging taxes on c
their own bonds while they insisted on d
everyone else making full settlement C
with the tax collector has been indi- p
Gated as a threatening factor endan- c
gering the ultimate success OF the pro-
posed amendment.
President Harding and Secretary Of 7
Treasury Mellon have been ac- n
engaged in demanding favorable st
action from the House, and it is fair p
10 expect that the Administration will III
push the measure before the Senate. o'
Jay Birds in a Nest m
Representative Wingo of Arkansas. /
n an attack upon the new budget sys- he
en-, said that constitutional govern OF
men, will be good enough for him. th
md he thought it unfortunate that 81
members OF Congress should sit here nc
md like a bunch of young jay birds er
n a nest with their mouths open and
wallow any revenue or expenditure be
worm that the budget bureau condo de
cends to stick in our mouths" No an
me can accuse the Congressional sem pr
maker with being short on the cal
unch; nevertheless the facts are that iol
he present Congress has completed the
5 appropriation bills earlier and with mo
he least trouble known to anv Con me
ress. The budget system is said to to
ave saved millions Of dollars in the tio'
'st OF conducting the affairs Of the int
overnment. and it has developed an the
'onomic understanding of govern haI
ent business, strange in the days be- the
re Mr. Mingo and others were "jay the
in a nest and made hit or miss no,
preparation bills hat fairly and loud
Screeched of ineficiency. e~xtrava- 4
nee, and duplication Of activities. Lor
Muscle Shoals rein
With the expenditures to be auth was
Ized by the present Congress for pap
Shoals the appropriations Nill disa
Ich Is million dollars % since the Hu,
eipt OF Henry Ford's proposal to BY
e it all yer as a "wastage of war" ton
about FIVE million dollars. Evil arv