Evening star., 1924-01-07

Two per cent, $4,000 to $4,000.
Three per cent, $4,000 to $4,000. :
Four per cent, $500 to 100000.
Five per cent, $4,000 to $4,000.
Six per cent, $22, 900 to $4,000.
Seven per cent, $4,000 to s26;00e.
Eight per cent. $26, 900 to $2S.O0o.
| Nine per cent, $28,0o0 to $4,000.
Ten per cent, $4,000 to $4,000.
Eleven per cent. $4,000 to $4,000.
Thirteen per cent, $4,000 to S3S, 900.
| Fourteen per cent, s3S,0oo to $40.-
Fifteen per cent, $4,000 to $4,000.
Sixteen per cent. $4,000 to $4,000.
Seventeen per cent, $4,000 to S46.-
900.
Eighteen per cent. $4,000 to s4s.-
600.
Nineteen per cent, $4,000 to $780,
| 600.
Twenty per cent, $4,000 to s5e,-
| 900. ---..,---- .--,---------.-
| 600. e ''' '' "' - S
Twenty-Five per cent. $4,000 to
| $56.00o.
Twenty-thrce per cent, $4,000 to
/ $4,000
Twenty-four per cent, s0S,oeo to
$4,000.
Twenty-Five per cent, $4,000 to
$4,000.
$4,000
Twenty-seven per cent, $4,000 to
| $4,000.
Twenty-eight per cent. $4,000 to
Twenty-nine per cent, $4,000 TO
| SOS, 900.
Thirty per cent, s65, 900 to $1,000.
Thirty-one per cent. s6s.o00 to $685.
Thirty-two per cent, s6S.ooO to s.O,-
! 600.
Thirty-three per cent. s7o.oco to
$4,000.
Thirty-four per cent. $4,000 to s74.-
900. .
Thirty-five per cent, $4,000 to $751;
| 900.
Thirty-stx per cent, SIC. 900 TO SIS. 900.
Thirty-seven per cent $4,000 to
| $4,000.
Thirty-eight per cent. $4,000 to
| $4,000.
Thirty-nine per cent, $4,000 to sS4.-
600.
Forty per cent. $4,000 to sss.ooo. ,
Forty-oner per cent. $4,000 to $685.
Forty-two per cent. sss.ooo to $780,
900.
Forty-three per cent. $4,000 to
Forty-four per cent, $4,000 and
| above.
81 Mellon Proposes.
| In the Mellon bill the surtax would
begin at 1 per cent on net incomes
from $4,000 to $4,000 and increase
! progressively 1 per cent for each
$4,000 up to $4,000; then an addi-
! tional l per cent for the next $4,000,
| and then, beginning at $40,060,-1 per
cent for each $4,000 to q maximum
| of 20 per cent on 100000 or more.
Under existing law su-taxes begin
m ir,H hAxx
| $4,000 and $4,000 and increase to a
maximum OF 80 per cent on incomes
| exceeding $4,000
The difficulty Of the Treasury or
any person liking just and scien-
| tito scale Of surtax rates is obvious, :"
! Mr.. Garner said, 'in view OF the fact
| that the larger portion Of Income
bub5ect to these rates Is derived from
corporate profits. especially after the
proposed reduction Of rates on earned
! incomes goes into effect This is
| true because during recent years. or
| At least prior to 1922, corporation
owners have been retaining In their
corporations more than 60 per cont
| trlbuttng less than an average OF 40
per cent, or paying surtaxes thereon
For the years 1919. 1920. and 1921.
the aggregate corporate profits after
other taxes. except the income tax
proper, were nineteen billion dollars
| while only s7.sSa, 100000 was dis
| trlbuted as dividends and paid sur
! taxes. 1t Is apparent, therefore. that
| greatly affected by the extent to
| which the corporate profits are dis
| trtbuted or retained in the corpora
| t;on and should be increased or de-
creased accordingly. The proper
grees.
Rates Held Nominal.
I'VE are obliged to keep in mind
| also that surtax rates are to q. con-
siderable extent nominal rather than
! actual. For example, an income OF
| 100000 is subjected to 4s per. cent
| total tax paid Is S30,07G, or so per
cent of the income instead Of the pre-
| scribed 48 per cent. The proposed
| 331s per cent reduction on income de-
| tinguished from property or capital
invested will only tend to equalize
| the amount Of taxes paid on earned
and unearned income. respectively, as
gsstsn1 tasna fFG the Of nSH5us sicsa
emptiens he s@ts to $4,000 and 'a, 5000. e re-
/ spectively, Will result only In tax
losses OF between SAC, 100000 and $780,
/ 100000, but Will relieve between
| 100000 and 100000 individuals who
1
taxes on account. of deductions al
| lowed, and will also relieve 1,646, ,o0C
| laborers and small farmers and mer-
| chants whose tax Is less than 81:
| lilies now in the $1,000 40 $4,000
bracket, and will at the same time re.
lieve the Treasury of a tremendous
| burden and expense where but a
small amount Of tax is involved.
! Fault OF Tarin.
| with the understanding that tariff
! tax reduction measures should be
| kept separate from and should in no.
wise affect the consideration of In
| .ternal tax reduction legislation, we
| are unalterably Of the opinion tina,
! substantial and immediate relief
| should be had from several phases OF
| existing outrageous tari2 tax ex.
! tortions The present astonishingly
!, high tariff taxes constitute the out
! standing factor in the existing high
| cost OF living.
These monstrous high rates con-
| even higher than the income sur
| taxes on individuals. 1t would MOI
| only be absurd, therefore, but II
| would be downright dishonest for al
| Official to pretend to support genera
| tax relief and to limit the same tc
| phase of taxation to the exclusion
| OF tariff taxes bearing SO heavily
! upon our 10000. 600 population.
| IA special tariff measure carrying
Substantial reductions on most articles
| the farmer must buy would give sew
| eral hundred million dollars relief to
! Agriculture. A number Of other spe-
| cial tariff measures cutting down the
more aggravated high rates In the
1 existing law SO as to contribute gen
| orally to the reduction in the high
| cost OF living and the lowering Of ex-
/ istinE artificial and profiteering prices
| In many essential lines should uu-
| doubtediy be considered during the
present session. OF Congress-"
Tho. Mellon tax bill Will be :consid-