The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1931-02-21
SENATE READY
FOR STUDY OF
AUTO FEE BILL
0iyerting More of Increased
Charges to General
Fund Proposed.

Having amended the house per-
sonal income tax to produce approx
imately s25Oo,0OO more revenue
than would have been raised by the
bill IS it came to the senate, the
upper branch of the general assem-
bly, today turned It's attention TO bills
10 divert increased automobile
license fees from road building to
the general fund.
The SoWhworth bills, increasing
the license fees so per cent and
turning almost S10,000,O00 annually
to property tax reduction instead of
the $780, 900 now going to the high
way commission, were to be consid-
cred at 1890 this morning as a spe-
cial order Of business.
The program threatened to fore
stall the desire of Lieutenant
Governor Edgar D. Bush TO take up
consideration of the house bill tax
ing corporate net incomes at 8 per
cent. Some proponents of the auto
license bills cherish hopes they will
supplant the income tax measures
while others regard them as supple
mentary.
Increasing opposition to the cor
porate income bill, spurred by big
lobby of business and manufactur-
ing interests. caused widespread
predictions the measure would be
sidetracked.
McNutt Amendments Out
Senate Democrats joined Re-
publicans Friday in eliminating
from the personal income bill the
house amendments drafted by Paul
v. McNutt, dean Of the Indiana
university law school, and rail-
roaded" into the bill under pres
sure of r. Earl Peters, Democratic
state chairman, and Representative
DELPHI L. McKesson, majority floor
leader in the house.
The senate amendments substi-
tuted deductions" for exemptions
and followed the recommendation
of the state tax survey committee
as they we're originally incorporated
in the house bill.
The new rates follow:
One per cent tax on the first $1,000 Of
net income. 2 per cent on the second
$1,000. per cent on the third to the
tenth $1,000 OF any part thereof. per
cent on all net income in excess OF Slo.-
900. The tax would be first levied and col
lected in 1892 on the income for the calen-
fy~
wear ending In 1881.
Tax Deductions Listed
Tax deductions to be allowed. in substi-
tuition for the exemptions are:
For an unmarried person. $40; married
persons. $40, with an additional deduction
Of 50 for each dependent.
The rates for payment OF income tax
as provided In the bill as It left the
house. we're:
one per cent on the first $1,000 Of
net income. per cent on the second
$1,000. per cent on the third $1,000.
4 per cent on the fourth $1,000. per
cent on the fifth $1,000 and per cent
on all over $4,000. The exemptions voted
nv the house were $500 for single per-
sons. $4,000 for married persons and s4oO
for each dependent.
Under the house plan the head Of
family with an income of $500
would pay no income tax. Under
the senate plan he would be taxed
$40 on the first $1,000, $40 on the
second $1,000 and $45 on the re-
manning $1,000, or total of $75,
from which he would be entitled to
deduction of $40, leaving the net
taxes of $55.
Charge by Weight
Increased motor license fees as
proposed in the Southworth bill
under consideration today:
Pleasure cars, 40 cents on each 100
pounds Of weight Of the vehicle. with a
minimum fee of Sc.
Tractors, motor trucks and delivery cars
Weighing UP to $500 pounds $40; from
asst to 5000 pounds. 60 cents per 100
pounds OF weight; from 9,051 to 1000
pounds, 81 per 100 pounds; 4,O5l to 5000
pounds. SIPS per 100 pounds: s.O51 to TO-
600 pounds, Sl.50 per 100 pounds; above
10,05l pounds, 50 per 100 pounds.
Trailer fees would range from 60 cents
per 100 pounds up to 1000 pounds to
$3.50 per 100 above s,051 pounds, with
semi-trailers being charged q fiat fee Of
s2S up to 1000 pounds, to So per 100
pounds above 4,05l pounds Motorcycles
would be charged a fiat rate Of S. and
$40 a year would be charged for each
seat in auto buses operated over the
public highways. and 81 a seat for buses
operated wholly within a city or town.