Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1924-04-25
Jones, Democrat, De-
n0unces so Per Cent
Cut in Maximum
Surt ax-W ant 8
Greater Cut TIL a n
Proposed by Treas
ury-R e pu b l j.
can Leaders to Stand
By Secretary-Little
Interest in Debate

Washington, Apr. 24.-Openins
shots were fired today in the sen.
ate in the tax reduction fight with
the Mellon income tax rates being
given the most attention.
The intention Of Republican or.
ganization leaders to stand by the
treasury schedule was indicated in
the opening speech by Chairman
Smoot of the finance committee, who
vigorously defended the rates. Sem
ator Jones Of New Mexico, a DEM
ocratic member Of the committee,
retaliated with denunciation of the
proposed so percent cut in the max
imum surtax and a plea for greater
tax reduction even than proposed by
the treasury. Despite the enthusiasts
tic declarations of the two speakers.
less than q score of senators were
on the floor throughout their ad-
dresses. Twice a point of no quorum
was made to draw an audience but
shortly after the roll calls, most of
the senator's, tired by the long de-
bate of yesterday on the bonus bill,
had retired.
Chairman Smoot called for a
meeting of the senate one hour earli-
or than usual tomorrow and an
nounced reading of the bill for
amendments would be started i'm
mediately.
In reply to Mr.. Shoots defense
Of the Mellon rates which would cut
the maximum surtax from 80 per-
cent to % percent, Senator Jones
called attention that house Repub-
leans had "repudiated" this sched-
uled and n surtax plan calling for q
less reduction.
Mr.. Smoot pointed out that the
committee bill had gone the limit
in tax reduction and 80 far even
that q deficit of $5O.OOO.O0O would
occur on the basis of present esti-
mates. This, he predicted. however.
would be taken care OF by increased
returns which would result from the
stimulus of tax reduction on the ba-
sis of the Mellon rates.
Senator Jones insisted tax reduction
should have been order much sooner
and should go twice as far as contem-
plated under the committee bill. He
proposed that additional reduction be
taken care Of by use Of funds now ap-
piled to the national debt.
The nations debt was reduced Dy
more than $1,000, 100000 last year. he
pointed out. and argued that 1t could
we'll be taken care of on easier terms
and over longer period. Initiation
Of such q program. he said. would
make available more than, 5000. 900
for tax reduction next year instead OF
$500, oO0, 900 proposed IN the committee
bill.
The Democratic spokesman insisted
the reason why high surfaces were not
productive--an argument advanced by
Senator Smoot-was because OF eva
sions.
Senator Jones also attacked the tariff
law and the treasury estimates. declar-
ing that the latter in the last three
years had shown they were framed to
conform to the purpose for which they
were to be needed in promoting an ad-
ministration move"
Senator Simmons Of North Carolina,
ranking Democrat on the finance COM
mittee and author Of the substitute In
come tax schedule advanced by the
Democrats, supported the contentious
of Senator Jones. The Democratic
substitute income schedule calls for a
maximum surtax Of 40 per cent. APP
plicable to incomes Of 100000 ana
over.