Evening star., 1924-12-10
d. c. TAX MEASURE
MAY REVIVE FUED
Proposed Amendment to
Bank Bill Discussed by
Affected Groups.
BY CHAs. p. sHAEFFER.

solicitation 70 Congress by the Dis.
trlct Commissioners to expedite cer-
tain Legislative measures applicabls
to Washington, including amendment
TO District bank taxation revives a
situation which has been the subject
OF more or less discord in the local
banking fraternity for 20 years
The amendment referred to pro,
poses fiat tax of 5 per cent on gross
earnings less interest paid to deposi-
tors ny every bank doing business in
the District OF Columbia Under the
existing law, which has held since
1904, savings banks have been as.
sessed at the rate of per cent lces
interest paid. while national banks
ana trust companies have been COM
PEELED to pay rate Of 6 per cent on
gross without deductions
fight Of unofficial proportions on
the measure appears imminent in the
local banking fraternity. casual inter.
views with representative bankers
indicated this morning.
Discrimination Claimed.
National bankers and trust compaUy
o'ilclalS contend they have been dis.
crlhHlated against during the exist
ehce OF the present law. They poInt
OUT that savings institutions are ac.
tually IN better position and have mora
advantages of making money. and
should pay similar TAX Afrantiou
was called 10 the fact that savings
banks can carry on real estate transac.
tIonS, source of revenue 20 them de-
nled' also, they are not compelled Ia
! Keep percentage of daily balances
with the Federal Reserve ,7lenber ard
that the functions of savings institiI.
tlonS have paraIleled to such A degres
tiidI they are now worthy competitors
OF national banks and trust companies.
1t was also pointed out by a repre-
sentative of large national bank that
the present tax paid by it. per cent
on gross, amounts to d sum in excess
or that paid TO the Federal Govern.
ment.
on the other hand, savings fnstitu.
tons. as whole, do not look upnD
the amendment with anything suggest
ing favor. They feel that the law at
present. is to an extent unfair TO na-
tlonaI banks and trust companies, but
insist the per cent feature. less in
terest paid, is all they can afford.
Actual Figures Desired.
Acrimonious action will not be fol.
lowed by either of the two classes. ID
was clearly indicated. The savings in.
stitutions Will be called together.
upon passage of the bill. ii was said,
and be asked to submit actual figures
upon which to base their argument,
The question is too momentous 10 he
solved in any haphazard way. they
say, and their side of the matter viii
be presented in an intelligent man.
ner, substantiated by earning stats.
tics of the institutions involved
As far as is known. national banks
and trust companies will remain pas
sive in the matter While they say,
effort should be made ito enact this,
the most constructive piece of bank
legislation thus far proposed locally
no voluntary sponsor Of their cause
could be located this morning.
Bank Officers Reelected.
Directors of the Potomac Savings
Bank Will today re-eIect the follow
ing officers for the enusing yeari
President, Henry w Offutt: vice
president, Alphonse NJ Baer; vice
president and cashier. B. Agee Bowlesi
secretary, Emory H Bogley; attor-
ney, George W. Offutt; assistant CASH
iers, w. Edmund Freeman and c.
Wendell.
James c. Hoyle and Henry A Storm
We're yesterday added to the direc-
torate at the annual meeting of stock
| holders.
Today's Exchange Trading.
| Sales of 1,44O shares of National
| Mortgages and Investment, preferred
| stock. attended by a reCovemry TO the
years high, 912, featured trading or
| the local board this morning \ net
gain of IS of a point was recorded.