Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1924-03-21
SENATE COMMITTEE
FACES FIGHT ON
INCOME TAX RATES

Washington, March 20-Interest IN
the senate finance committees con-
sidcration of the revenue bill turned
again today to the approaching fight
on the income tax rates after the
committe had agreed to some further
treasury provisions on technical and
administrative details In the bin ap-
proved by tho house.
Democrats drew up some prospec-
tive rates today and submitted them
10 fiscal experts to determine their
probable revenue yield while Rerub-
leans continued apparently to hold
to a plan to stand by the Mellon
rates adopted by the house ways ana
means committee. but displaced by
the house for the Longworth com
promise. Meanwhile attention was
conferred on estimates as to the
probable amount OF revenue to the
required by the government next
year.
a report submitted TO the com
mittee by Under Secretary Winston
OF the treasury showed the treasury
in It's estimates as TO the probable
revenue which would be collected
next year and on which IL figured
the surplus available for tax reduc-
ton, has used the lower figures or
two different estimates
IL the maximum estimates had
been used it showed that 88,415. 900
more would be collected in the fiscal
year 1925 than under the figures ac-
cepted by the treasury. The treas
ury had figured on the basis OF the
Ir11aF -ntk "a. IL
900, 900 would be available in the fis-
cal year 1924 and 1895 900. 900 in the
following year the first in which the
new revenue law would apply.
The higher estimates on prospec-
tive receipts for the next two years
were prepared by Joseph Mccoy.
government actunry. the report
showed. Tho accepted estimates
were submitted by the commissioner
OF internal revenue. Mr.. McCoy's es-
Innate as to the probable collections
in customs were accepted for the fiS-
cal year 1925 and were SS2,000, 900
below the estimates of the director
of customs. whose estimates for
probable receipts in 1924 were used.
Tho table showed that the esti-
mates of Mr.. Mccoy and those of the
internal revenue bureau had con-
FORMED In past years.
Discussion of the report with Mr..
Winston was planned by the COM
nittec for n later date. The report
was submitted to the committee
without comment.
The revenue bill passed by the
house. II was estimated by the treas
ury. would result In n loss of si46,-
600 In the fiscal year 1925.
EpnrpSputa two Garner Of TpyaS
ranking Democrat on the house
ways and means committee. who
previously had asked the treasury
for tax ratio estimates declared to-
day that the report submitted to the
senate committee shows conclusiveIy
the secretary OF the treasury has
several sets of estimates and uses
those which will suit his argument"
THESE figures show" Mr.. Garner
continued, that IL the estimates of
Mr.. Mccoy who always before has
prepared the estimates, had been
used the actual probabl surplus in
the fiscal year 1925 would be 1861. -
600 600 instead of $685.. 900. 900. II
air. Mellon had used the maximum
estimates submitted to him. Mr. Nc
Coys for tax collections and the d.
rector of customs for customs col
lections. the surplus would amount
to S64S. 900. which would be lar
ser even than the treasury estimat-
ed would be cut off under my income
tax plan"
Senator Simmons OF North Caro-
lima. ranking Democrat on the SEN
ate finance committee. refused to-
day to ask the treasury for esti-
mates on tho proposed rate schedules
of the Democrats and placed the
work in the hands of the experts.