The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1924-05-06
RATES SET
| BY MELLON
DISCARDED
Simmons Substitute Is
Adopted BY 43 To 40
Vote
SMOOT is READY
WITH COMPROMISE
Has Sliding Scale For Adj
justment OF Higher
Brackets /
SMALLER INCOMES
WOULD BE RELIEVED
Leaders Expect Final Action
On Revenue Bill By End
OF Week
SMALLER INCOMES
WOULD BE RELIEVED


WASHINGTON, May 5.-The much
discussed Mellon tax plan was laid to
rest today with the adoption by the
Senate of the entire democratic income
tax substitute.
The minority's schedule of surtax
| rates was approved, 43 to 40, while its
revision of normal rates was adopted
A to 81. The republican insurgents
joined the democrats in supporting the
entire program.
Hopes For Compromise
Chairman Smoot of the finance COM
mittee, said that when the bill came up
| on final passage he would propose q
compromise as was done in the House
after the democratic program first had
been approved there He is hopeful
that the Senate, too, will accept the
compromise.
The surtax rates written into the bill
| today provide for reduction of the
present maximum of 80 per cent to q
ma ximum of 40 per cent and for cor
responding revisions all along the line.
They are almost similar to those
adopted by the House.
| The normal rates accepted were 2 per
cent on the first $500 income; 4 per
cent on the first $4,000 income per
Ieent on all above $S,O 900. Thls COM
lpares with the present rates of 4 per
Icent on the first $4,000 and 8 per cent
above that amount,
Senate Moved Rapidly
In adopting the democratic substi-
flutes, which was Offered by Senator
Simmons, North Carolina, the Senate
moved rapidly. The first vote came in
| a little more than an hour after con-
sideration of the tax bill had been re-
sumed. The others followed in rapid
succession.
The first roll call was on the Sim
SONS substitute surtax rates and re-
suited as follows:
Seven republican insurgents joined
with 35 democrats and one farm-labor
Senator in supporting the substitute
for the Mellon rates. The democrats.
Bruce of Maryland, and Edwards Of
New Jersey, voted against it. The roll
call follows:
For democratic substitute:
Republieans:s Brookhart, Frazier,
Howell, johnson of California, Laid,
Norbeck and Norris-7.
Democrats: Adams. Ashurst, Brous-
sard, Caraway, Copeland, Dial, Dill,
Ferris, Fletcher, George, Harris, Har-
rison, Helm, Jones of New Mexico,
Kendrick, King, Mcclellan, Mayfield,
Nicely, Overman, Pittman, Randsdell,
Reed Of Missouri, Robinson, Sheppard
Shields, Simmons, Smith, Stanley
Stephens, Swanson, Underwood, Walsh
of Massachusetts,, Walsh Of Montana,
and Wheeler-35. AZ
Farmer-L Labor Johnson of Mime
sota-1.
Total 43.
Against the democratic substitute I:
Republicans: Ball, Borah, Brandegee,
Bursum, Cameron, Capper, Colt, Cum
maid, Tess, Gooding, Hale, Harreld,
Jones of Washington, Reyes, Lodge,
Mckinley, Mclean, McNary, Moses,
Oddie, Pepper, Phipps, Reed of Pen
nsylFania, hOrtridge, Smoot, Spencer,
Stanfield, Sterling, Wadsworth, War
rem, Watson of Indiana, Weller and
Willis-3S. R
Democrats: ruce and Edwards.
Total 40.
Thirteen senator's were absent. Ten
of them were paired as follows: Gerry.
for, with Elkins, against; Owen for
with Mccormick against; Trammell for
with Lenroot against Ralston for with
Greene against; LaFollette for with
Bayard against
Senators Glass, Couzens and Ship
Sbeau WeE0 auScht anu Wero WAlnvnt
pairs.
The Simmons plan thus having been
substituted for the Mellon surtax SEIZED
ule the vote came on the question OF
the Democratic or the Ilongworth COM
promise contained in the House bill
and the Senate affirmed its approval
of the minority rates by a vote of 43
to 40 with no change in the line up
of Senators.
The normal rate substitute then was
offered and there was brief discus
sion with Senator Smoot alone defend
ing the Mellon rates Of per cent on
incomes under $1,000 and 6 per cent
on those above that sum. The roll call
resulted as follows.
For the Simmons. normal tax:
Republicans: Brookhart, Capper,
Frazier, johnson of California, Ladd,
Norbeck and Morris.
Democrats: Adams. Ashurat, Brous-
sard, Caraway, Copeland, Dial, Dill
Ferris, Fletcher. George. Gerry, Har-
ris, Harrison. Helm, Jones of New
Mexico, Kendrick, King, Mcclellan.
Mayfield, Nicely, 0verman, Pittman,
Ransdell, Reed Of Missouri, Robinson,
Sheppard, Shields, Simmons, Smith.
Stanley, Stephens, Swanson, Welsh Of
Massachusetts,, Walsh of Montana,
Wheeler-35.
Farmer.LabOr: johnson. Minnesota.
Shipstead-2.
Against the Simmons normal rates
Republicans: Bell, Borah, Brande-
gee, Bursum, Colt, Cummins. Curtis,
Dale. Edge, Ernest, Fernald, Tess,
GoOdin, Hale, Harreld, Keys, Lodge,
Mckinley, Mclean. McNary, Moses,
0ddip Pennpr phinna Read az peDnsvl.