Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1924-01-29
REPUBLICANS FACE
TEST Of STRATEGY
IN TAXATION FIGHT
Action at Present Stage Of
Proceedings Likely to De-
termine Fate of Revision
Measure, Says Lawrence
BY DAVID LAWRENCE
Ucased Wire Service to The Journal
(EnnCriUbf 1904

tCOpyflSnt, l3Z4tJ
WASHINGTON, Jan. 26.-After a
week of cajoling the Republicans
have not yet succeeded in convincing
their Democratic brethren that tax
revision should be non-partisan.
1t goes against the grain for the
Democrats to yield to the importuni-
ties of the Republicans, for they re.
member how the Republicans turned
d cold shoulder to the recommends
tons Of a Democratic president sub
sequent to 1918, when the control of
both houses of congress passed from
his hands
The Democrats also feel that this
is their year. They want to do moth
ing that will help the Republican ad.
ministration stay in power. In other
words if they do support tax bill
they want it to be so obviously a
Democratic measure that the credit
will come to them rather than to
their opponents.
AT the present moment, however.
the proposals emanating from the
Democratic side. if put into opera
ton, would hardly keep the issue out
of the campaign, for the critics of
the Democratic bill insist that in
many respects it doesn't change the
effect of the present law at all, and
that there would still be a clamor
for revision if it were passed.
The whole fight really centers
around the surtax rates. The
changes already agreed to in the
house ways and. means committee
have not been bones of contention.
Both parties have wanted to get rid
of the So-called nuisance" taxes on
theater admissions, telegraph and
telephone messages, etc. Indeed, it is
not unlikely that there will be
further agreement on other parts of
the bill. SO that the surtax rates will
be left to the last.
The Democratic proposal of "A per
cent maximum on surtax rates is be-
Ing tenaciously supported by them
because of q belief that the insur-
gent Republicans will not consent to
reduction. SO long as the Demo-
Gratis play ball with the insurgent
Republicans, the combination can
control the house. The talk OF COM
promise emarating from the Repub-
ican leaders is largely an anticipa-
ton of what the coalition could and
would do. But the compromise thus
early in the game IS weakness on
the part Of any leadership, whether
it be Republican or Democratic. The
usual course Is to fight to the last
ditch and finally permit the house
to vote it's will. The senate may
tn IN change the whole bill, in fact
the last tax measure was rewritten
almost entirely when it reached the
senate and virtually all of the provi-
sions inserted by the senate were I'LL
timately accepted by the house when
the bill came back to that body for
action after it had been approved
by the conference committee appoint
ed by both houses to iron out diff
ferences between the upper and
lower branches of the national legis.
lature.
The tax bill nov under considera-
ton will be a much different meas
ure when It finally comes out of con-
ference: Yet on the strategy of the
Republican leaders at this stage of
the proceedings rests their eventual
strength in getting the house to ap.
prove an amended senate bill. The
administration leaders have already
l.
gone on the assumption that they
must compromise because their OPP
ponents appear to have the votes.
They have not dared to make the
fight for lower surtax rates because
they are afraid they will be accused
OF protecting the wealthy. AS mat
ter Of fact very few on the Repub-
licaa side have the courage to stand
by the president and secretary OF
the treasury, who declare that the
burden will be borne by the poor
man if the surtaX rates do not be-
come more productive of revenue.
The test of Republican leadership
Is at land, but even the most ardent
champions of the Coolidge admins
tration are inclined to admit that the
house leaders have already fumbled
the ball and will lose it altogether
if they do not pull themselves to-
gether and make an effort at least
to gather in a favorable public opin-
ion on the surtaX question. The pro-
ponents of a high surtaX are strong
because the question has not been
understood by the general public.
The Republican leaders in the house
have not strengthened the situation
by their readiness to compromise.
And the Democrats, observing the
weakness in the Republican camp,
are prepared to drive still further
till they put through. if possible,
tax bill ali their own.