Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1924-02-21
Two Amendments
lContinued from Paue Onel

that it be voted on not before Mon
dav, indicating a desire to make sure
of a full part, presence WHICH might
not be possible on Saturday because
of week end absentees.
Although numerous amendments
were offered only those submitted
by the leaders received any substan-
tial support. The Democrats stood
almost solidly behind the major
amendments adopted which were
proposed by Representative Garner.
Mr. Green chided those on both sides,
not members OF the ways and means
committee which framed the bill,
who sought private amendments
which the committee had consider
ed impossible. He declared at one
point, in seeking to limit debate,
that you are making n joke of this
mea sure if you continue such ac-
tons"
The stock dividends amendment
proposed by Representative Garner
and adopted by Il tellers' vote, 1872
to 112, provides that stock received
either as stock dividend or as a
gift by the taxpayer should not be
termed capital assets. Capital assets
held by the taxpayer for profit or
investment for more than two years
is subject only to a tax of II IL
per cent.
During adoption OF the amend
ment Representative Raincy, Demo-
crat. Illinois, declared it would in
crease government revenue sufii-
GENTLY to permit a reduction of the
automobile excise taxes. Representa-
tive Mills. Republican, New York,
opposed it.
The amendment to the earned in
come section, also proposed by Mr..
Garner. was adopted on q tellers'
vote, 141 to 1874, record votes not be-
ing possible under the rules 1t pro-
vdes that earned incomes. allowed a
25 per cent reduction in tax by the
bill, shall include in addition to
wages. salaries and professional fees
and other compensation received for
personal services reasonable COM
pensation or allowance for personal
service where income is derived from
combined personal service and CAPT.
tai in prosecution by unincorpOrated
persons of agriculture or other bust
ness"
The amendment is designed to in
clude incomes of merchants and far
merS for purposes of this reduction,
Mr.. Garner said. Representative
Mills, New York, and Begg, Ohio,
Republicans. insisted the provision in
the bill declaring all incomes of S.
| coo earned for purposes of this re-
duction took care of the farmers,
whereas the amendment complicated
administration of the provision ito
an almost impossible degree" The
amendment then was amended on
| motion of Representative Tilson, Re-
| publican, Connecticut. to provide
, that only 20 per cent of such incomes
as the amendment included shall be
! eligible for the reduction. The bill
already restricted the amount of in
comes on which the 25 per cent re-
duction might be made to a maxi
| mum of $4,000.
The section on evasion of sirtaxes
by incorporation, which was amend
ed in committee for the original Mel
Ion bill draft to require the secre-
tary of the treasury to impose PEN
alties if unreasonable" profits are
| withheld from distribution, was read
over without question and auto
matically approved. The section in
the original Mellon draft required
that the secretary find first that a
corporation was evading the law be-
/ fore imposing the penalty.
About 73 of the 242 pages of the
Vi tIlt DIli Ildu Debn
gone through tonight. The estate
and excise taxes, on which it has
been announced contests will be
waged for amendments. are in the
latter part of the measure.
Representative Longworth today
fatty denied a rumor that Republi-
cans would seek to make the bill
impossible of final adoption by re-
pealing several of the exercise taxes
including all on automobiles which
return about S145,000000 annually.
He declared Republicans would
work to make the measure "as near
ly sound as possible" Some Republi-
cans were said to favor a move on
the ground that Democrats in re-
ducing the income rates had not pro-
vided means Of collecting sufficient
revenue.
Several of the Republican leaders
who conferred today with President
Coolidge said he did not express him
self on the bill as now framed. They
expressed their own hope. however,
they said, that it would be changed.
either by final action or the house
or in the senate. to modify the Demo-
cratic income rate schedules.
The provision for % per cent
reduction in all 1928 income taxes
payable this year is in the last sec
ton of the bill. Democrats have in
dictated they will attempt to make