Evening star., 1927-11-14
SMOOT NOW bACKS|
$225,0DD,OlO CUT|
Senator Alters His Tax Slash
Ideas After Study of
U. S. Expenses.

SS1dtOr SInOOt OK OldN, WHO as
chairman of the finance committee
will have charge of the tax reduction
bill in the Senate this Winter, and
who has been personally advocating
a $300.000,000 tax cut, has come to
the conclusion that it would be safer
to confine the reduction to S225. .000. 900.
the maximum amount recently recon-.
mended by the Secretary of the
Treasury, and since approved by
President Coolidge.
The Utah Senator expressed himself
to this extent at the White House
today. following conference with
the President, held Immediately after
similar one between the President
and Representative Green, chairman
of the ways and means committee of
the Senate, who will direct the
destiny of the tax reduction bill in
that body.
Alters His Ideas.
Senator Smoot explained that his
ideas regarding how far Congress
could go in reducing the tax burden
have been somewhat altered since he
has learned of the existing sentiment
for huge appropriation for Missis-
sippi flood control, and rehabilitation
in the flood area. He Is convinced
that with the Government facing a
large outlay for flood purposes,
caution should be exercised in cutting
the taxes If deficit in the Treasury
next year is to be avoided.
From his recent observations he is
satisfied that sentiment for flood con-
troll funds has about crystallized be.
tween S6O.000,O00 and $7O.O00,OO0 for
the coming year. He admitted that
the appropriation for flood control
would be less than 10000, 900, but at
that, will be of size that will call
for retrenchmentS in other quarters.
He would not be surprised to see
S50.000,00 appropriated for flood con-
troll at the coming session.
The Utah Senator stated, however,
that he would prefer to see the size
of the tax reduction held in abeyance
until it is known definitely just how
much is going to be spent on flood
control.
Green Is Silent.
Representative Green, who has been
conducting hearings for more than
two weeks on the subject of tax re.
vision, declined after his conference
with the President to make any COM
ment. He said he would prefer to
have the President give out the news
of their conference.
Senator Smoot said that he had
heard considerable talk about an eff
fort to be made to bring about changes
in the present tariff law in the COM
ing session, but he doubted if any such
movement would get very far. He de.
clared with emphasis that a raid on
the tariff at this time would result
in panic in this country. He said
IN this connection that already there
IS q slight depression in business, at
least profits are generally consider
aDiy less than last year, and that if
the protection afforded by the present
tariff were reduced, business in this
country would suffer severely.
lie said that it was his opinion that
those who are advocating tariff re.
vision are Interested in foreign loans
and therefore would be happy to see
America flooded with foreign goods.
he doubted very much If there is any
real sentiment among farmers for
change in the tariff.
Senator Smoot expressed the belief
that some sound practical form of
farm relief legislation would be passed |
at the coming session of Congress. He |
did not want to prophesy as to the |
nature this legislation probably would |
take. but he did say he favored the |
administrations program for promot. |
Ing and assisting in the stabilization |
OF the marketing Of agriculture. He
said he would. be willing % vote for a |
bill that would call for advancing |
$3.50 900 900 for the purpose of assist
ing in the Improvement and extension |
OF warehouses and orderly marketing. |
Senator Smoot, when asked IL he |
had any knowledge of the reported |
removal Of an item in the District |
estimates for preliminary appropria-
tion for q municipal airport at Gravel
W Point. replied that he had no
of this
Senator Srnoot said he thought II |
would be inadvisable to attempt q |
further liberalization of the retire.
ment law as has been proposed. He |
declared he understood an effort |
would be made to have the maximum
annuity increased, but he felt sure It
wauId' meet with no success this year.
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