Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-10-18
MINING STOCKS.
Washington Ticker
BY the Associated Press

CAou are watching Win unusually close
interest the condition of the stock mar
ket, which they consider may prove
an important influence iE their de-
termination Of the amount of their
proposal to lessen the existing levies.
The operations Of the market during
the rest of the calendar year, in the
opinion OF some Treasury experts, will
be q focal point in the computation
OF the tax reduction which may be
on prof1tS from the stock transactions
has proved substantial source of ia
come from Uncle Sans Government.
Omcials of the department pointed out
that not only do the gairS in stock
market transactions affect this levy on
profits, but they have a considerable
bearing upon the returns from indl-
vidual income taxes.
In the near future the Treasury, I'M
der its usual program before the be-
ginning of regular session of Con-
gresS, win take stock of its financial
outlook, and then it Is expected that
some definite program for the reduc-
ton of taxes can be- formulated.
The stock market situation, however,
in the view of some experts of the
department if any further recessions
occur, may materially revise the recon-
mendations which may be tranmitted to
Capitol Hill.
Recent expressions from high Treas
ury officials that tax reduction APP
peared likely, in view Of the present
financial position of the Government,
were based largely upon the increased
income tax receipts over last year, and
In that gain, 1t was pointed out, the
high profits from stock market actiVi-
ties during the Summer had formed
O major contribution in the form Of in
creaSing the Americans income. The
present position Of the Treasury, too,
Is favorable from the viewpoint Of in
come tax collections, as since last June
80, the end of the fiscal year. $685.
100000 has beer received, representing
an increase of $88,000,000 over the cor
responding period last year. At the
end of the fiscal year the collections
had aggregated $3.50 900 900, which
was an increase Of $157 100000 over
the previous fiscal period when the
tax reduction program was effected.
Meanwhile there has been some
speculation in Treasury circles as to
the outlook for q reduction in the taxes
on corporation net income from IL 70
10 per cent. A number Of leading busl-
ness mems organizations, including the
Chamber of Commerce OF the United
States, are known to support this de-
crease, but as yet no definite decision
has been reached by the department.
Secretary Mellon in the past has set
forth publicly position that he would
support such a proposal, as he does not
feel levy higher than 10 per cent is
Justly based. Whether he holds SINH
lar view at present has not been an
nounced, but some Treasury experts
claim the corporation tax has not been
so productive at the high figure Of reve-
nue. and might be more fruitful proper
tionally at the reduced percentage.
While the stock market is causing
some concern, Treasury officials take
somewhat optimistic view of industry
and business. 1t is felt that most Of
the important lines of production are
maintaining high level of activity and
there has been very little recession from
the prosperous condition which prevailed
last Summer. In those industries in
which there have been slight declines
the observers feel it has been a settling
and SOLDERING influence after the high
rate Of speed of the previous months
and not any depression trend.
The slow pace Of the Senate's consid-
Grafton Of tariff revision is causing
some concern in official circles IN
Washington which are connected with
the Nations business operations be-
cause of its influence Of uncertainty
upon the condition Of industry. In the
opinion of officials the delay in the
tariff laws passage has created some
unrest in business which has slowed up
industrial operations and especially re-
tarded the mapping out Of future pro-
grams.
During the past Summer the con-
gressional consideration Of the tariff
had favorable tendency upon foreign
trade in the belief Of Commerce De-
partment experts, stimulating the
American export trade and also caus-
ing foreign nations to increase their i'm
ports so as to market them before the
new duties were enacted into law. But
the recent developments in the Senate,
which indicate that the tariff bill will
not be passed by the end of the special
session, are believed by observers here
to have reacted somewhat harmfully
upon the situation Of business during
this Fall.
The largest factor Of uncertainty to
business In the course of the legislation
through Congress, the officials feel, has
been the marked differentiation on q
number of tariff questions and rates
between the Senate and House. This
disagreement has retarded business con-
Germs In the formulation Of their future
programs and projects, it Is believed
here, especially industries with a large
foreign trade and the importing firms
In this country.
Meanwhile, another cause Of uncer-
tainty connected with the tariff meas
ure has just arisen with the submission
by the Treasury Department to the
Senate finance committee of the tax
returns on capital stock and income of
between four and five hundred corpo-
rations. The decision of the committee
to have each Senator supplied with the
returns has opened the way for further
publicity in newspaper publication.
Generally the figures which make up
the basis for such tax returns are
business secrets" that could be utilized
advantageously by their competitors if
made public.
Treasury Department officials are
| probing into the question whether the
| figures could be made public legally
| through the Senate as the law prohibits
| the publication of such statistics by the
/ department. In the opinion of some
| Senators, the statistics do not fall in
the classification Of business secrets
and are already available in business
statistical publications.
The move of Senator George of
| Georgia, a Democratic member of the
| Senate finance committee, to place a
representative of the ultimate con-
sumner" on the Tariff Commissions staff
| Of expert advisers also Is regarded with
interest by Commerce Department. off,
| Gals. The consumers interests form a
| major objective of number of that
1 departments ventures, such as the ere
alton of better standards for industrial
products and studies of retail credit.
Senator George said that his plan,
which was an amendment to the tariff
bill, would take the Tariff Commission
definitely out Of politics.
Charging cans Of paint for shelf ac-
comodation in the same manner as a
4 hotel guest is charged is q novel method
of accounting which has been sug-