Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1924-01-22
MELLON ASSA|LS
DEMOCRATS PLAN
Of TAX REDUCTION
Senator CouzenS Challenges
~
: Secretary Of Treasury to
:. Make Public His Invest
Hearings End

esA WASHINGTON. Jan. 20,-Secre-
tary Mellon fired broadside at the
Democratic tax reduction plan last
night a. the house ways and means
committee concluded its public hear
ings on tax revision md prepared
ITO start work Monday on new rate
.Echedules. The secretary branded
the plan advanced for the Democrats
by Representative Garner, Of Texas,
as substitute for his own program
%of tax reduction as political and
nothing else.''
s.g At the same time house Democrats
served notice that they would accept
mo compromise on their plan in the
committee, and would carry the fight
to, the floor, where Republicans have
admitted they are on the defensive
because of recent changes in house
rules.
Speaking of the proposals for high
Ter surtaxes and lower normal rates
than those carried in the treasury
bill, Mr.. Mellon said high surtaXes
are war taxes and such taxa
ton should cease" He charged that
continuation of the higher surtaxes
meant retention of high war living
eAcosts (which everyone pays" In a
comparison of Mr. Gamers program
with the treasury's plan, the secre-
tary said "his is "a makeshift; the
treasury plan is the result of ex.
perience and study
--.s~s Garner Schedule RSFESE
1.-THE Garner pan, - aIellon con-
i tintaed, seeks popularity by offering
20 small direct saving to most tax
payers; the treasury bill is fair to
all classes. His is not intended to
be effective on the economic side of
taxation; the treasury bill is designed
to free capital and to benefit not
only the individuals who pay taxes
direct, but every person in the coun-
try who must pay these taxes on
every purchase. 1t is the difference
between q political method of han
edling tax reduction and a business
method
. Meanwhileslines were being formed
in the senate which interested a re-
newed fight on the surtax rates of
the treasury secretary
MELLON NOT TO ENTER
l DEBATE WITH COUZENS
PHILADELPHIA, Jan. 20.-Sec-
rotary of the Treasury Mellon, who
arrived here Saturday to be the
guest of honor at dinner given by
1.-THE Manufacturers club, said he had
Nflo intention Of engaging in a public
debate with Senator Couzens on sub
jeet of taxation.
IT received letter today from
Senator Couzens," said Mr.. Mellon.
'sAs soon as I learn what his argu-
nients are L will reply and my let
ter will be published
While Senator Couzene, Repub-
'iican, Michigan, renewed his cam
sSpaign against Mr.. Melons surtax
rate proposals in another letter to
the secretary, Senator Glass, Demo
s,seiat, Virginia, and a former secre-
tary of the treasury, predicted that
congress would accept the principle
of the Mellon plan as to a maximum
Nsurtax rate of % per cent He de.
rSsrlared. however, cit was altogether
unreasonable to imagine that CON
gress should feel obliged to accept
"a treasury plan of taxation without
any change whatsoever"
Secretary Challenged
senator CouZenS challenged Mr.
Mellon to inform the country how
much he would benefit personally
from the reduction Of income sur
taxes which he has proposed In his
plan.
$50 long as you have entered into
tine record of my securities, Senator
Couzens wrote, will you tell us
what your securities are and how
much you own of each?"
The Michigan senator denied that
NIL Of his capital was in tax-exempt
securities, explaining he had mil
.hons Of dollars invested in build
sings, real estate and building OPP
.erations. He asked IL this were not
more productive than money in
vested in "distilleries and breweries -
Conclusion OF the hearings before
.the house ways and means commit
.tee was marked by an argument be-
tween committee members and Ed
win #. Gore, representing the
american Institute of Accountants,
relative to Mr.. Melons recommended
zion for a board of tax appeals. Ben
iamin c. Marsh. speaking for the
Peoples Reconstruction league,
urged retention of the present sur
tax rates in the higher brackets, in
Screased estate taxes, a progressive
tax on undistributed profits and re-
PEAL OF all the so-called nuisance
stakes