Evening star., 1924-01-08
WILSON GIVES PLEDGE
TO HELP DEMOCRATS
Former President to Fight for
High Principles and Just
Action" He Tells Banquet.
HARRISON ASSAILS MELLON
Tax-Cut Plan Aids Big Business,
Senator Declares.

PITTSBURGH, Pa. January s.
Democratic leaders of western Penn
sylvania at their annual jackson day
dinner, here last night received mes
sage from former President Wilson
offering his services in a fight by
the democratic party for what he
termed "the establishment of high
principles and just action" in the ma
tion and heard the tax problem dis
cussed by Senator Harrison Of Mis-
sissippi and Joseph P. Tumulty, sec
retary to Mr.. Wilson while he was
President
tackled tho Mellon tax reduction plan
as a big business" bill designed to
aid the wealthy and declared the
democratic party would seek revi-
sions to relieve the poorer taxpayers.
Mr. Tumulty declared that demo-
problem less an iEsue in 1924 by CO.
operating in some enactment that
Will bring reduced taxation.
Calls Mellon "yVizard"
Secretary Mellon was praised per-
sonally by Senator Harrison as q
financial wizard" but the speaker
added that Mr.. Mellon was himself
oHt VI the 1dllOn SlN largest TAX
payers and "typifies big business"
Declaring that the Mellon plan did
not include the farmer and small
business man in it's provision to re-
duce taxes on earned incomes by %
per cent, the speaker criticized espe-
from a maximum Of so to % per cent
He said:
why all this propaganda upon the
part of certain vested interests to
Il l.
to 20 per cent Do the people not
know that the greater the reduction
In surtaxes on the larger incomes
the least likelihood there is for
elimination of other taxes, as we'll
as a larger reduction on normal
taxes and earned incomes?
Sees Selfish Motive.
"Those interests that seek to bene-
fit by the Mellon proposal on the
larger surtax reductions contend that
it will turn money into the channels
OF industry that now finds it's way
into taX-exempt securities. When the
excess profits tax was being imposed
upon the prosperous corporations in
this country the same interests then
said that neit were taken Off busi-
ness could go unembarrassed and ur-
hampered. With the excess profit =
tax off, they now employ the same
argument to still further reduce their
SurtaXes.
THE same interests that now seek
to reduce the surtaxes to % per cent
employing as their argument that II
will enable money to seek channels
of industry, have. in too many in
stances, already diverted all that they
thought they could wisely invest in tax
exempt securities, and these same inter
estS that today employ that argument
and who favor constitutional amend
ment prohibiting the issuance OF tax
exempt securities, because they know
it will add to the value of the tax Sc
cuTities they now own, Will oppose,
just as strenuously, any movement
that may arise in the Congress- that
seeks to tax inheritances the pro-
ceeds of which had been invested in
taX-eXempt securities.
Plans OF Democrats.
Big business was never more firm
ly intrenched than it is today, both
in the White House and in the Off 1ce
of Secretary OF the Treasury, and the
propaganda employed to put over this
unfair and inequitable Mellon plan
of taxation is the most subtle and
best organized in all the history of
the government.
The democratic party he con-
tinued. stands for tax reduction to
the lowest limit and in consideration
of the present tax bill will go just
as far as it is possible without af-
fccting the efficiency of the govern
ment. but it will not accept in total
tho Mellon suggestions. Without
thought Of playing politics it will
attend TO it's task in both branch es
CT Congress and in a non-partisan
manner accept those suggestions OF
the Secretary of the Treasury as may
appear fair and just and will seek
only to amend the proposals in the
interest of the man who earns an
income and the man who is least able
to bear the load of taxation