The Washington times., 1929-09-09
ON TAX
SECRECY
FIRST

After weeks of preliminary
skirmishing, the tariff war got
under way today in the Sen
ate, with a strong Democratic
Insurgent coalition fighting
enactment of the Administra-
tion's new $6O0,O00,O00 reve-
nue. bill.
The bill itself will be showed out
Of the spotlight in the opening clash
while the Democratic-insurgent CO.
alition seeks to secure publicity on
the income tax returns of corpora.
tions benefiting from the tariff.
When that question is decided, the
Senate win be the scene Of a con.
tinuous battle for three or four
months, first over administrative
/. features of the tariff and then over
the rates the Republican organiza-
ton fixed.
Fire From Two Sides
The Administration was under fire
from two sides as the battle started.
First, the coalition denounced the
administrative features and attacked
the rates. Secondly, a group OF
farm organizations demanded higher
duties on farm products, thus at
tacking the agricultural schedule,
which Republican leaders declared
was the highest in history.
fpa Sf q
sent every Senator demanded higher
duties on sugar, tobacco, cattle,
cheese, flaxseed white potatoes,
raw wool, hay, staple cotton and a
long list of vegetables. They spe-
officially demanded restoration of
the $2.4O duty on Cuban sugar
which the House approved but
which the Senate Republicans re-
iuced The farm appeal was made
in behalf of the National Grange,
the American Farm Bureau Fedora
ton and a number of wool. dairy,
livestock. cotton and vegetable co.
operatives.
The demand created a perplexing
situation in the Senate. The In
surgents from the Middle West
have Joined with Democrats in
attacking the new Republic rates
as too high. II they respond to
the appeal Of the farm organiza-
tions, the Insurgents will have
TO change their program to the ex-
tent of pleading for higher agri.
cultural rates. while opposing in.
creases in industrial rates.
Debate To Last Months
The bill undoubtedly will be de.
bated for months. Administration
leaders have hopes of enacting it
by December /, but Democratic
leaders have declared it cannot
pass before Christmas. which would
carry the tariff battle into the
next regular session OF Congress.
There were indications. however,
that the Senate would pass the
bill sometime in October, but there
were no indications as to when it
would approve the conference re-
port-the final step in enacting the
bill
The clash over income tax puo-
Hcity will come first because
Senator Simmons D.) Of North
Carolina, minority tariff leader, has
declared this information is neceg-
sary to the Democrats in their
fight against the bill, He proposed
q resolution directing the Senate
Finance Committee to call upon the
Secretary of the Treasury for a
statement of the profits, or losses
OF all corporations benefiting from
the tariff.
Administration leaders announced
they would oppose the resolution on
the ground that its adoption would
compel the Government to divulge
information obtained In confidence.
Reduce Hoover Power
With the tax publicity row out
OF the way, the Democrats will seek
rejection of the provision, giving
the President power to raise or
lower tariff rates upon recommenda.
tions from the Tariff Commission.
Then will follow a clash over valua-
tions, with the coalition trying to
defeat the Reed proposal to convert
all rates from a foreign to a
domestic valuation basis.
After that-possibly in two or
three weeks--the rates will he
reached and the major struggle over
the bill will follow. The opposition
has predicted that a majority of
the industrial increases will be
slashed; the administration spokes-
men have asserted the bill will be
passed in approximately It's present
form. The debates and votes OF
the next 10 weeks will tell the
story.