New Britain herald., 1925-12-09
THINKS REVENUE
 BILL ALL RIGHT
Rep. Mills Thinks Important
 Change Would Be Error
EXPLAINS ITS PROVISIONS
New York Member ui Ways And Means Committee Considers Meas ure, As Whole, Best Framed In Past Decade,

Washington, Dec. [E) Amend ment of the revenue bill "in an im- portant particular will be nothing short of national calamity" Rep resentative Mills, of New York, a re- publican member of the ways and means committee, which framed the ! $325, 100000 tax reduction measure, today told the house.
 While not agreeing with every provision of the bill, Mir. Mills de- tended at some length it's income tax rate schedules which he described as the best drafted by the committee In the last 10 years.
 Maximum Surtax Rate Discussing the proposed cut in the maximum surtax rate from 40 to 20 per cent, the New York representa- tive declared he believed "any at tempt to impose higher rate will inevitably breed the kind of evasion | that has characterized the adminis- tration of our postwar statues; while any lower rate will cause an unnecessary loss In revenue" ! MT. Mills answered criticism that ! the bill did not benefit taxpayers with incomes between $20,0O0 and $70,000 as mucn as others with the assertion that this is due "to the ar bitrariness of the cuts made in 1921 and 1924 and the necessity of now | I,tN Dl-iN ,l t,,Ctt mentS.'
 Explains Reductions
 "The revenue act of 1021," he said reduced the 1918 tax of the $S,000 man by 66.7 per cent. The | 1924 act reduced it further to q point S7l2 per cent below the 1918 tax. For the $6,O00 man these per Centages were, respectively, 36 per cent, and 77.9 per cent for the $10,- 900 man: 37S and 75 per cent for the Sz0,0o0 man; SIG and G1.3 per cent, as compared with 6.3 and SIS per cent for the $50, 900 man; 14 and 35.5 per cent for the S100.000 man; 1 Az and 35.1 per cent for the $200,- 100, or in other words, the 1921 and i l 924 acts granted to men with tax able incomes of S10,O00 or less over twice as much reduction, and to the men with taxable incomes of S20,- ! 00Q or less almost twice IS much re- duction as was given to the incomes in the high brackets.
 Backs Mellon's Argument
 Mir. Mills on the other hand. de- tended the argument of Secretary Mellon that the inheritance tax field should be turned over entirely to the states and the federal tax repealed.
 "The states need the money" he said, ito rclive In some measure the lcolossal burden of state and local taxes; while the federal government loesn't. In the course of the last few years the latter has taken over the cream of tho taxes and has left ths former to struggle along as best as they can with the skinned milk"
 Present methods of procedure in the taking of appeals by either the taxpayer or the government in the rulings were described by MT. MillS as illogical and unjustified."
 "The bill provides" he explained, that upon notice of a deficiency the taxpayer, if he does not agree, has only the course open to him 10 peti- tion the board of tax appeals for a review of the decision of the com missioner. and then if dissatisfied with the decision of the board, an appeal will go to the United States district court of appeals, and from there by writ of ccrtiorari 10 the su- preme court. Conversely, like limita- tiOns apply to the commissioner, The amendmcnt represents, in my judge mont, genuine improvement in pro- cedure, and will, think, meet with your unqualified approval"