Evening star., 1925-11-02
TAX SOUGHT AS AID
TO CURB BEER SALE
Levy of Cent a Gallon, Civ
ing U. S. Inspection Power,
Asked by Andrews.

Prohibition enforcement officials to-
Say sought the aid of the taxing
rower Of the Government as means
of checking what they described as
the tremendous flood of hiCh-powered
beer sweeping the country.
\ tax Of cent q gallon on cereal
beverages was asked nt the House
WAYS and means committee by Llncon
G. Andrews. Assistant Secretary OF
the Treasury in charge OF prohibition
enforcement. This would give power
Of inspection Of nearbeer distlilerleS.
My Andrews said high powered
beer" must he manufa ctured first in
the process Of making near-heer and
the tenptation was very great not to
cut down the alcoholic content. The
Assistant Secretary said prohibition
enforcement would he aided if the tax
of $50 proof gallon on pure alcohol
were cut in half and a tax of cent
gallon on denatured alcohol was
imposed
where is all this beer coming
from" asked Representative oldheld.
Democrat. Arkansas.
Chicago PENNSYLVANIA and New
York state" Mr.. Andrews replied.
81 have not heard So much complaint
from ST Louis and other Western
cities
Representative chindelo"m. Eepuh-
liCan. Illinois. said il new Ia Nes were
10 he considered those affected must
be heard.
Mr.. Andrews said also ne IA avored
the Government deaiinG directly in
the sale of sentimental wines and
medicinal whiskieS To consumers.
1t will cut out legalized traffic in
liquor for 4 profit" he argued.
1T would give the Government
some profit also remarked Repre-
sentative Garner. Democrat. Texas
He declared medicinal liquor sold for
$3.50 a pint in Washington and 81
a pint in Texas.
Supply Cut Down.
There are 2o000 600 fcallons of
whisky in warehouses today, the com
,,1irtee was told or 10 400 400 less tha n
y few years ago Fart of the loss was
attributed by Mr.. ndrews I" shrink
age and evaporation.
is this shrinking and evaporation
largely pilferinc? Representative
Hawlev. Republican. Of Oregon asked.
"rilferihg is minor factor in the
shrinkage." Mr.. Andrews replied.
Mr.. Andrews was called as the com
mittee went into discussion Of the
manner in which reduction Of tho al
-
In urging reduction in The aico-
hnl tax. nov amounting tn S4.lS a
wine gallon. representatives Of the
retail druggists and proprietary aSSo-
Citations have argued that its repeal
or reduction would hamper the boot
logger by cutting the profits Of his
business correspondinSly. Spokesman
for drug manufa cturers. however.
have opposed any cut in the tax. Ar
i 10.
easier by cutting the amount Of work
ing capital necessary.
Besides Assistan Mt Secretary andrews.
other witnesses on the committee list
today were Clinton Rohh Of Washing
ton. representing the United Medicine
Manufacturers of America and f.. B.
Reid Of Washington. appearing for
the Farm Bureau Federation.
Hearings Near End
Actual drafting Of the new. ia x1..r
duction hill will he begun Vedne sday V
in executive session by the committee ee
Public hearings Of those who have
been seeking relief from the burdens
of taxation. which have been in prog
ress two weeks. will he concluded to-
morrow.
The committee will sci itself 10 the
"a SIX Of reducing or eliminating items
70 effect saving Of Al least $500 900
600. and probably even more. 10 the
taxpayers.
Income tax payers will receive the
major share of the relief, Secretary
Mellon already having proposed re
duotion Of $40, 600 600 in these levies.
Most Of the remainder Of the avail
ahle surplus for reduction will apply
TO special taxes on various forms of
business and TO the inheritance tax.
Na
pared. and leaders Of both parties on
the committee have declared they want
To see a measure worked out in com
nittee on q non. pa rlisa n ha sis.