Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1925-04-03

llenI that the minimum Of four and
nne- nan Is granted, that will mean
aoss IN revenue of only S175,OOO in
steau or over half a million. There
| - also road being discontinued in
| NeW Hampshire belonging to the
Maine Central which will save
around $4,000. so there will be a loss
u ABOUT $4,000 in revenue.
being asked by the railroad. I do not
see the pertinence today to the issue.
| ~ course conditions, as every mem
| per OF the House knows. have
changed a great deal. The cost of
| operating the railroad, labor condi-
ions, and the tax on the gross
SIMPLY keep fiat rate on the gross
OF nve and one-half percent with
an tne mounting costs and decreased
earning power. 1t not only is not
scientific but it is really unfair.
Mr.. FROST of Belfast: Mr.
Speaker and members of the House:
trst OF all, Mr.. Speaker, 1 wonder
II l should ask a question if it
would be in order? In the earIv
part of this session, as I remember
IL, a committee was appointed to re-
port to the Legislature of 1927. I
| wonder what became of that?
The SPEAKER: The Chair is
Under the impression that that order
was defeated. That is as the Chair
recollects it, but possibly some mem
Der may have the information.
Mr.. CURTIS of Brewer: will
state through the Chair. that that
was reported ought not to pass.
The SPEAKER: Reported ought
not to pass and the report was
subsequently accepted.
| Mr. nST.
word or two, j would like to speak
in opposition to the motion OF the
gentleman from Portland (Mr. Cum
mlngs) that this matter be indefin-
itely postponed.
1t seems that perhaps we are go
ing at this this morning from the
wrong angle. First of all the i'm
preston that comes into our minds
is that we are to lose a certain
/ amount of money which the State
has been getting in taxes from the
railroads. Naturally, economy has
been preached here so much that
we hesitate to line up with a pro-
position of that kind. On the other
hand, | think every one of us who
are manufacturers-and / think that
possibly we might include in this
every last man here in the Hous
are really dependent on the rail
roads. We could not do without
them. If the railroads should cease
to function today it would cripple
every industry in the State OF
Maine; there would be no possible
chance fo- us to do business.
Now if their plea is an honest one
and I think we hav a right to as
sumo that it is-personally I could
not imagine the type of men who
are managing our railroads attempt
ing to so manipulate their books
that they would have TO be balanced
in red ink when in reality their pro-
fits were large-I would not fee
, like accusing that class of men OF
doing a thing like that. If they are
honest in their bookkeeping, anC
their books ar, subject to auditing
if we doubt that they are doing il
correctly we could have them audit
ed, and 1t seems to me that the
amount of money involved is not
1 large enough so that we could hest
tate for a minute to grant the tenn
porary relief t at was recommended
by this committee on taxation. Per.
sonally I hope that the motion Of
the gentleman from Portland (Mr
Cummings will not prevail.
Mr.. CURTIS of Brewer: Mr.
Speaker, just one moment in an
swering a matter referred to by
Representative Cummings in which
he says the books could be so jug
gled that nothing would show in the
way of earnings. The expression
met railway operating income" has
a definite and technical meaning
under the law and means the mel
income after payments of operatins
expenses and taxes, including in the
computation thereof, debts anc
credits arising from equipment rents
and joint facility rents. There car
be no uncertainty about the amount
of such net income because the meth
cd Of accounting are prescribed and
supervised by the Interstate Com
merce Commission. AS to keeping
the books, as 1 understand it, that
set of books is set up by the Inter
state Commerce Commission and
they cannot change them one parti-
Gle.
The SPEAKER: Is the House
ready for the question? The ques-
ton is on the motion of the gentle
man from Portland, Mr.. Cummings
that this bill, an act relating to the
excise tax ON railroads be indefinite
ly postponed.
Mr.. PIPER OF Jacliman: Mr.
Speaker, / move that we have d.
vision.
A division being had,
Ten voting in the affirmative and
SO in the negative the motion to in
definitely postpone failed Of passage
Thereup, on motion by Mr.. Mar
tin of Augusta, the bill had Its
third reading and was passed to be
! opprOSSe1