Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1924-04-30
GOOD PROGRESS BY
SENATE IN PHASES
OF revenue BILL

Washington, April 29-The senate
today gave approval to finance COM
mission amendments to the revenue
bill imposing a ten percent tax radio
set, reducing the automobile taxes,
repeating the capital STOCK tax and
restoring to the bill the tax on drafts.
checks and promissory notes.
All were adopted practically with
out debate or opposition in rapid or
der after more than two hours had
been spent in. discussion of minor
proposals. Further contests are eX-
pected, however, on the radio and
automobile rates.
Approval of those amendments left
only vital provisions of the bill to be
taken up. These include the income
tax rates, reduction on earned in
comes, corporation tax. estate and
gift taxes, publicity of returns and
the board of tax appeals. Proposals
to include incomes from tax-eXempt
securities also are to be disposed of.
In this connection, Senator SIM
mons, North Carolina, ranking Dem
ocrat on the finance committee. an
nounced tonight. the Democrats
would probably ask that appointments
other than the income tax rates be
considered tomorrow, pending COM
pletion of the proposed corporation
tax amendments.
A tentative draft of the corpora
ton tax amendment was agreed upon
today by Senators Simmons and
Jones, Democrat, New Mexico, and
placed before minority members of
the finance committee for approval.
1t will propose a normal tax. prob
ably lower than the pending fiat tax
of IA per cent. and additional taxes,
probably on a sliding scale, on undis-
tributed profits above the amounts
subject to the normal tax
Senator Simmons explained today it
was not the purpose of the Democrats
to increase this tax but 10 plug up
leaks through which, he said, regular
income taxes are being evaded.
Senator Dill, Democrat, Washington.
has introduced an amendment propos-
ing to eliminate from the bill the radio
tax approved today, and he declared
tonight a roll call vote would be asked
on this provision later. Likewise Sem
ator Walsh, Democrat, Massa cbusetts,
has introduced an amendment propos-
ing entire repeal of the tax OIL automo-
bile tires, parts and accessories, and
he said tonight fight would be made
for this when amendments of individ-
ual members are in order.
The reductions in automobile taxes
approved today are practically the
same as made by the House repeal
of the three per cent tax on auto
mobile trucks the chassis of wi ich
sell for less than $1,000 and the bod
les of which sell for less than 5000:
and cut in half of the five per cent
tax on automobile tires, parts and
accessories.
Elimination Of the capital stock
tax was in accordance with the ac-
ton taken yesterday in increasing
the corporation tax from IL 1-2 TO
IA per cent.
The tax of two cents a 800 on
drafts, checks ane promissory notes
was eliminated from the bill by a
close vote on the floor of the house.
It's restoration was recommended by
the finance committee.
Senator Mccormick. Republican,
Illinois, LIade IL known he had a
tentative schedule calling for an in
crease in the surtax rates from the
Mellon plan to about 81 per cent.
Hhis would be applicable, however,
only on incomes above 100000 or
$1,000 900 while the lower rates would
applyfon brackets in such a manner
as to be only a slight increase over
the proposed Mellon rates and lower
than proposed by Democrats in the
Simmons plan.
Actual voting on the income rates
Is not expected before Thursday.