The midland journal. (Rising Sun, Md.) 1885-1947, 1926-01-29
NEWS REVIEW OF
CURRENT EVENTS
Senate's Tax Bill Reduces
Revenues 1882, 661 ,OOO-
World Court Debate.
BY EDWARD W. PlckARp.

BY EDWARD w. PlCkARD.
G. ENATOR SMOOT, chairman of the
- senate finance committee, formally
reported to the senate the new tax bill
Wednesday and it probably will be
called up for debate and action within
a few days. The prospects for fairly
early passage Of the measure are good
and tax payers are advised to delay
filing their schedules until the Treas
ury department gives them notice.
Official treasury estimates furnished
the finance committee show that the
finance committee bill reduces reve-
nues by $25,50O,O0O more than the
house bill, the total loss under the
house measure. being $327.161, 900, as
against $685., 661 900 under the finance
committee bill.
The estimates show that in the cal
endar year 1926 the retroactive estate
tax provision will mean loss Of $2O,-
100000, the capital stock repeal will
mean loss of $6S,500.O0O. The cut
in cigar taxes will mean loss of
$4.000,000 more than under the house
bill, stamp tax repeats will cost 81
100000 more In revenue than the
house bill, and admission tax provi-
sions will reduce revenues by $5.O0O,-
600 more than the house bill.
Repeal of the federal estate tax as
recommended by the senate committee
is favored by administration Republic
cans. but will be fought on the floor
of the senate and even if passed there,
may not be accepted by the house.
which voted for continuance Of the es-
tate tax at reduced rates.
Senator Simmons OF North Carolina
announced he intended to offer
modified sinking fund provision on the
floor Of the senate under which he be-
lieves the entire public debt can be
wiped out in 26 years. He would pro-
vide that all foreign debt payments
should be applied toward the sinking
fund, but he would increase the basic
amount of the sinking fund from two
and half per cent of the domestic
portion of the debt in 1920 to three
and a half per cent.
THERE were fireworks in the SEN
4 ate last week over the World court
resolution. Proponents of the measure
sought quick action but Senator
Blease of South Carolina started a
filibuster Tuesday, talking for many
hours. Next day Hiram Johnson of
California and Jim Reel of Missouri
made spirited attacks on the resolu-
tion. Both sides were preparing for a
fight over cloture and there was a lot
of discussion of the question of set
ting definite date for taking vote.
Then Vice President Dawes took a
hand with characteristic vigor Speak
ing over the radio on revision Of Nthe
senate rules, he cited the methods Of
delay being used by opponents of the
World court, and succeeded in riling
Reed and Copeland, who said he had
unjustly placed the aforesaid opponents
on the defensive before the country.
Lenroot, Curtis, and other senators
said that as the debate had been going
on internationally since December II
last. it was about time cloture was
applied. The administration is anx-
ious to have this World court ques-
ton settled quickly so that the tax
bill can be passed, and probably most
of the people in the country would
like to see the upper house get down
to attending to important domestic
legislation.
TN. THE house committee on agri-
culture two proposals of legislation
for the relief of the farmer were con-
sidered seriously. One was the ex-
port bounty plan offered by c. Reinold
Noyes of ST Paul, and the other was
the export corporation plan devised
by Carl vrooman of Illinois several
years ago and passed by both houses
in 1921 but killed in conference. The
latter plan provides fer the creation
of farmers export financing corpora
lion. with an initial capital of $780,
Q00.c00 and the power to issue $780,
000000 in debentures. The capital
would be advanced by the government.
which eventually would he reimbursed
The corporation wnuld he authorized