The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1928-05-22
KEEPING UP
With
THE NE WIS
BY LUDWELL DENNY

year to retain the title he cherishes
most-an economy Administration"
At least, the Senate, after three
weeks argument, has passed the ad-
ministration tax bill, and the House
is expected to get in line.
Tax reduction, as fixed by the
Senate Monday night, will amount
to less than $2O5, 100000. The DEM
ccrats and the United States
Chamber of Commerce demanded
a cut of about 100000. The
House bill, passed last winter, car
ried a cut of $289,000,000
The two forms of the bill nov
will be reconciled by conferees Of
the Senate and House, with Admin
istration leaders in the latter
promising to accept in substance
the Senate figure.
BY this anticipated victory, the
President salvageS his basic f1nan-
cial policy of a balanced budget
with enough income spared from
the stream of appropriations To
apply to rapid retirement of the
public debt.
In the main, the Ser ate bill is
considered defeat for Big Business
and a victory not only :'or Coolidge
| economy but also for toe progress
sives.
In addition to its demand for
! larger total reduction, the United
/ States Chamber of Commerce plead
for a reduction ir the tax rate on
/ corporation incomes from 1872 per
cent to IL per cent. The bill fixed
the corporation tax at 1872 per cent.
The first progressive fight was
won in Senate committee. The Ad-
ministration program called for abo-
lition of the inheritance tax. When
1t became clear, however, that the
progressive votes would be needed on
the floor to pass the tax bill against
Democratic OPPOSITION, the Senate
Finance Committee majority
dropped this provision as a sop to
4 the progreSsiveS.
Later, when an attempt was made
by an Administration leader on the
floor to eliminate the inheritance
tax. the move was easily defeated.
A second important progressive
victory came when the Administra-
ton was caught unprepared, and
an amendment was put through
with only bare quorum present,
providing for complete publicity lot
income tax returns.
nthov~
clude:
Downward revision of surtaxes on
individual incomes of from 100000
to 100000 a year.
Further exemptions on anuse-
ment admissions, except prize fights.
from rs cents to So
Repeal of. the 3 per cent auto
mobile excise tax. This action was
taken after automobile manufac-
turerS in the committee hearings
had promised to give. to the
purchasing public the entire benefit
of the saving.
In line with his economy pro-
gram, OF limiting tax reduction to
keep up revenues and restraining
appropriation outgo, the President
Is beginning to veto minor bills.
With some misgivings, and after
the measure had been revamped
several times to meet some of his
objections, he finally signed the
mississippi flood control bill which
is estimated to cost the Govern
ment from a third of a billion to
more than billion dollars.
He is believed to be giving
favorable consideration to the Mer-
| chant Marine bill, but is expected
to veto the $400,000000 loan fund
McNary-Haugen farm relief bill. He
also has ordered the Congressional
conferees on the Federal pay in
crease bill to stand by the House
appropriation bill of $4,000 900 a
year, and throw out the Senate in
crease, variously estimated at from
$20,000,000 to $25,0O0,O00.
n
XXTHILE Senator Jim Reed, a
w Democratic presidential can
didate, was holding up the tax
debate on the Senate floor to
attack Herbert Hoover's Republican
candidacy, part of the Senate CAM
paign fund investigating committee
was in Raleigh, N c., probing pri-
mary charges of the enemies of AL
Smith, leading Democratic candi-
date.
After denying that large amounts
of Smith money we're being spent
in that State, several of the Raleigh
witnesses challenged the good faith
OF the committee in the proceedings.
They demanded to know who had
supplied the committee with it's
false" reports, but the committee
would only say that the informer
was not. from that State. The COM
mittee was unable to find Smith ex-
penditures amounting to more than
$500.
In the Senate, Reeds attack on
Hoover followed the almost dailv
denunciations of Smith by Senator
Hef1in, who is popular with the Ku-
Klux Khan.
Reeds charges were the same as
CnoSe made against Hoover by the
anti-Hoover alliance or other can
didates in the Ohio and Indiana
primaries and elsewhere. He said
Hoover fixed food prices during the
war, and in so doing was guilty of
gross, indecent and almost crimi-
nal abuse of power" Hoover and
members of the war boards repeat
edly have denied these accusations.
Senator Blease of South Carolina
another Democrat, charged that
Hoover, by disseminating segrega-
ton of about sixty Negro workers in
the census bureau. promoted race
equality"
II hope the Republican party will
not disgrace itself by nominating
him for the presidency. even if he