Evening star., 1925-12-07

lOl HlltS DIS the income illCTeiStS up u
100000. SO, also, the amount of re-
duction to the taxpayer increases in
uniformity. II was impossible to re-
duce the rates in AL brackets and pre-
serve proper gradationS in the tax
That some We're benefited more than
others Is du" largely to the arbitrary
character Of the reductions made by
the acts Of 1921 ana 1924.
Publicity Clause to Go.
Referring TO the committees repeal
of the provision for publicity of in
come tax returns. the report declared
the Treasury Department had inform
ed the committee that mo useful pur
pose has been served by it.
Reduction Of the inheritance tax
rates from u maximum of 40 per cent
To 20 per cent and increase in the
edit to be allowed in Federal IN
f@ritance tax settlements of the
mount paid on State Inheritance
'Vies from - per cent TO so per cent
ventually Will reduce by one half the
resent Yield from this levy Of $780,
90, 900 annually, the report said.
The decrease III revenues from in
Aeritance taxes by virtue Of these re
.iSiOnS, however, viii be gradual II
said. with the loss next calendar year
being negligible and IN the following
wear amounting to about $4,000. 900.
The report points out that the States,
~ use of the credit provision, will be
able to make use of this tax without
additional cost to their citizens.
Referring to the repeal of most of
the excise and occupational taxes. in
cluding the so-called nuisance"
levies, Chairman Green explained,
these taxes are not equitable In their
application and produce but little
revenue"
The tax on cigars. which was re-
duced. was SO high as to depress the
business and reduce the revenue to
the Government" the report de
clared. The tax on jeweIry. also re-
pea1ed, was described as difficult to
collect and burdensome OF operation.
Repeal of the tax on automobile
trucks was voted because 1t was a tax
"solely on business. the report said.
and the levies on automobile tires
and parts, also repealed, We're declared
taxes on misfortune"
Rate on Cars Cut.
Repeal OF the passenger car tax
could not be considered, the report
said, "as II would make the total re-
duction carried by the bin altogether
too large" The rate was cut from 5
to 3 per cent. with provision allow
ing a refund 10 automobile dealers Of
the amount of difference between the
old and new taxes for the cars on hand
80 days after the bill becomes law,
the effective date OF the new automo-
bile tax.
The tax on alcohol, which would be
cut - per cent Il year hence and an
additional % per cent in two years,
was classified as ii levy which while
productive and essay To collect. consti-
tutes a burden upon the consumer to
whom II is in most cases shifted by
the TnSnufa
The bill proposes 10 retain the mem
bership Of the board Of tax appeals at
l6 and increase the salaries of mem
bers from $500 to $40 900 annually.
Supporting this action. the report
said there had been more than SAT-
appeals filed with the board since its
Orga MIA ton IS months ago. Present
salaries OF the board are less than
most members could obtain in private
practice and standards of the mem
hership require the increase, the re-
port said.
Mr.. Raiuey specifically proposed
three amendments. one to remove pro
vision for the increased personal ex-
emptions and to repeal all automobile
taxes: another TO retain the present
alcohol tax. and instead of the pro
posed cut. to repeal the levies on sales
on produce exchanges; and another
10 retain the present surtaX maximum
rate. and remove all levies on auto
mobiles. admissions and dues.
Mr.. Hull opposed also the proposal
To give members of the Board Of Tax
Appeals life membership and the pro
vision 10 exempt the spoken drama
from, Tla admission laVy t,7
removing admission taxes TO begin az
the lower prices. He expressed the
view that the total amount Of tax re
duCtiOn could have been $3.50 600 600.