The silver state. [volume] (Winnemucca, Nev.) 1909-1925, 1923-12-29
TAX BILL FOLLOWS
PLAN OF MELLON
Sweeping Changes viii be Made
Under New Proposals; Reduc-
tions to be Made in Sur
taxes; Bill introduced

WASHINGTON, Dec. 28-The
complete text of the new tax bill
was made today by Chairman
Green of the house ways and means
committee, which will meet again
as soon as congress reassembles on
January 8 to continue its study OF
the sweeping revisions proposed by
the administration.
In all its features the bill follows
the recommendations previously
made public by Secretary Mellon.
1t proposes several hundred amend
ments of the existing revenue law,
many Of a highly technical nature
and designed to put an end to tax
evasions, and many others dealing
with the changes advocated by Mr..
Mellon in income and other tax
schedules.
So far the bill has been the SUBJ
ject of only preliminary study by
the committee, which has made no
attempt to reach decisions as to
what if any changes it will make
before the measure is proposed to
the house.
One of the principal revisions
provided in the bill is q reduction
of surtax rates SO that the surtax
would begin at one per cent on net
incomes from $4,000 to $4,000,
with additional surtax to a maxi
mum of 25 per cent on incomes of
100000 or more. Under the pres
ent law, surtaxes begin at one per
cent on net incomes between $4,000
and $4,000, and scale upward to
maximum of so per cent on net
incomes exceeding 100000.
The new bill also provides that
the normal tax on incomes shall be
three per cent, where it now is
four per cent, and six per cent
where it now is eight per cent--a
reduction which the treasury esti-
mates will result in a loss of rev.
enue of $91, 100000 a year.
The bill proposes the outright re-
peal of the present taxes ON. tele-
grams, telephone and radio mes
sages, theater admissions and Of
certain other nuisance taxes, in
cluding the levies on silver plated
fiat silver ware, pencils and foun-
tain pens selling for not more than
81 and clocks and watches selling
for not more than IS.
The administrative features of
the bill include a provision for Great
ing board of tax appeals, COM
posed of not less than seven nor
more than 28 members, appointed
for 10 year terms at salaries of
$4,000 each by the secretary of
the treasury and without senate
confirmation. The board would
hear and determine cases involving
the assessment Of taxes, but both
the government and the taxpayer
would be privileged to appeal any
decision to the courts.
In dealing with delinquencies the
bill provides that where there is no
evidence of fraud, a penalty of only
interest at the rate of one per cent
month can be levied.
Specific provision is made that in
terest at the rate of five per cent
shall be paid by the government on
all refunds of taxes illegally col
lected. One of the provisions
placed in the bill by the treasury
in its efforts to stop tax lodging,
stipulates that where property is
placed in trust but the creator of
the trust retains power to with
draw it, the income from the prop
erty is taxed as belonging to the
creator. Another provision, which
it is estimated will increase rev.
enues $8,000,000, would place tax
payers of all states on the same
basis regardless of state community
tax laws. 1t stipulates that where
husband and wife have a joint in
terest in property acquired after
marriage the income from such
property is to be taxed to the one