Evening star. [volume] (Washington, D.C.) 1854-1972, 1926-02-10
INHERITANCE TAX
VOTE DUE TODAY
Senators Now Confident of
Passing Entire Tax Bill
by Saturday.

BY the Associated Press.
In agreement to vote today on the
proposed repeal Of the inherita nee
tax. the Senate entered it's second
week Of debate on the tax-reductiou
measure. confident of pa ssirg It by
Saturday.
Repeal of the inheritance lax, rec
commended by the finance committee
ana supported by both Republican
and Democratic leaders. mas consti-
tuted one OF the three mail lighting
points in the bill.
Leaders We're confident Of the same
success for this provision as accom-
panied their defense Of other con
troversial items of the bill reduction
Of The ma Ximum surtax rate 10 %
per cent and repeal Of the law allow
ing publication NJ amounts OF in
come tax payments.
As on the other two ma .icr hghts.
some members Of both parties are
opposed to the repeal of the in
heritance levy. But, following a de-
cision on this question, ma gers of
the bill expect the Senate to act
quickly on more than a score OF other
amendments pending.
Democrats Take Lead.
Democrats took the lead in the
levy. which the House bill would
tain. but with modified rates and
With a provision allowing credit
of 50 per cent for payments on state
inherita nee taxes. They argued that
the inheritance field should be left
entirely to States and insisted the
Federal tax originally was levied
purely as war measure. They also
contended that the provision allow
ing an so per cent credit constituted
coercion of States. since the States
would have TO increase their rates
to gain fun advantage OF the pro-
vision.
Opponents argued that If the Federal
Government retired from this field of
taxation now the States soon would
follow the lead Of Florida and Alabama
in lifting the tax. They denied ii was
d war tax. and pointed out II was Inn
posed in 1916 before this country went
to war.
acted on are some proposing repeal of
the admission and dues taxes, all au-
tomobile taxes and all stamp taxes
Passage of the bill this week will as
sure tax reduction by March Is. when
first income tax installments are due.
The bill now provides for savings OF
1919 900 900 in personal income taxes
alone with the reduction applicable on
incomes of 1925 on which taxes are
PAYABLE this year.
The vote on the Inheritance tax was
put over until today. after seven hours
Of debate yesterday. which revealed
considerable difference Of opinion on
the proposed repeal
The exchange between Senator Cou-
zens Republican, Michigan. and Chair
man Smoot. which occurred Monday
oil I'D uiolo Of
ment had an echo last night when
Senator Blease, Democrat, South Caro-
lima. insisted on objecting TO entering
into an agreement to vote today on
the inheritance tax.
Il don't want any other Senator
cheated from time in which to speak
as was Senator Couzens yesterday,
Senator Blease shouted.
Upon assurance OF Senator CouZens
that he approved Of the agreement.
however. Senator Biease withdrew his
objection.
Mellon Named Again.
brought into the Senate discussion
today. Senator Norris decla ring the
Secretary would be favored by re-
peal of the inherita nee tax.
Mr. Mellon" he said got his for
tune by the help of the protective
tariff and the law licensing the sale
Of intoxica ting liquor. Would it not
be fair. then. to give back portion
10 the people not 80 favored by those
laws or by money!"
Senator Norris declared the bill not
only provided repeal of the inner
itance tax, a proviso which he said
was opposed by the American Farm
Bureau Federation" but also would
allow a retroactive reduction in the
inherita nee rates.