Evening star., 1926-12-05
BY WILLIAM ULLMAN.
IKE its predecessors for the past
eight years, the forthcoming
session of Congress Is going to
hear from An1erina,S frar,non

IKE it's predecessors for the past
eight years, the forthcoming
session of Congress is going to
IL hear from Americas tremen-
dous motoring interests.
The subject is unchanged 1t is
taxes.
Operating through three powerful
agencies, the 10000, 600 motor car
owners of the United States will
reiterate insistently their demand for
the repeal Of the 3 per cent war
excise tax on automobiles, the last
of the wartime levies affecting a large
public group which remains a part of
the Nations revenue law.
This tax. says the spokesmen for
the agencies which represent the
motorist. the manufacturer and the
retailer, Is unnecessary and diScrimi-
natory."
The agencies through which the
motorist will voice his appeal for re-
lief are the National Automobile
Chamber Of Commerce. representing
the car manufacturers; the National
Automobile Dealers Associa ton, rep
resenting the retailers and the Ameri-
lean Automobile Association, repre-
Senting the consumer.
Four Reasons Offered
Four reasons why the excise tax
should he repealed are succinctly Of
fered by a spokesman for the first
organization. They are:
First. as a matter of justice TO car
owners.
Second. because it is a fax that has
been removed already from every
other manufactured article save one
pistols.
Third, because it Is a tax upon in
dividual transportation.
Fourth, because as q peace-ti time
principle of taxation, ii is unsOund.
The argument that the excise tax
is IA form Of class legislation is ad-
Nanced in favor of the first cause
enumerated. BackerS of repeal of the
tax take sharp issue with those who
maintain that the money is utilized
Tor the special benefit of the automo-
bile owner.
They regard the effort to link the
imposition of this levy with the Fed
eral aid highway system as a fragrant
confusion of ideas and principles.
Federal aid. it is maintained, is "a ma
tional policy inauguarated prior TO
the assessment of the excise tax
and in the interest of the whole Ma
tion. At the time of its enactment
and for years afterward there was no
thought that it would confer ad-
vantage upon a particular class, 1t Is
held. Why there should be a sud
den switch to this sentiment is in
explainable. proponents of the tax re-
peal declare.
Expenditures Below Receipts.
In further answer TO this point, it
is held that even if the motorist were
receiving special benefits from the
Federal aid roads, he already has
more than paid for the initial con-
struction which will be completed in
1890.
Here are the figures offered in sub
sanitation of this point:
Taxes paid by car owners up to
June 80, l926-$l 100. 1928.
Total of Federal aid expenditures
up to June 80 of this year-$499,-
zoe, ,535.
Total Federal aid authorized up to
June 80. 1929-$S40 900, 900.
Thus, the motorist at present has
a balance of@s600 900 900 to his credit
IN the Treasury. When the initial
construction under the Federal aid
system is completed he will have a
margin OF more than 100000 600.
There is the statistical reply to the
contention that the Governments con-
fribution to road building has injured
10 the especial advantage of the
motorist. Even if II has. which pro
ponents of the remaining tax repeal
will not concede. the motorists bill
is paid more than in full
Another argument advanced by the
repeal advocates is that no possible
tax reduction would he SO far reach
ing in its effect. While they have
further statistics to prove that act
ually greater number Of persons
would be reached by the elimination
of this levy. agencies behind the elimi-
nation fight point out that potentially