Evening star., 1931-12-17
HOUSE APPROVES
ESTATE LEVY AND
GAS TAX INCREASE
Third of Capitals New Rev.
enue Measures Is Ready
for Senate.
NO OPPOSITION MADE
TO INHERITANCE BILL
Members Move Quickly After Put
ting Tax on Incomes Over
$1,000 Year Here.
BY WILL p. KENNEDY.


The House, without opposition or de-
bate, today passed the measures for an
estate tax in the District of Columbia
and increase in gasoline tax to 4 cents.
The estate tax bill was offered by
Representative FTear, Republican, Of
Wisconsin, as one of the four tax bills
TO carry out the recommendations Of
the special Mapes Committee on Fiscal
Relations, and the gasoline tax bill by
Representative Davis of Tennessee.
In his report Representative Frear
emphasized that this graduated estate
tax, running from l to IS per cent on
all estates up to and in excess of
S5.O0O,000 will yield from s750,o00 to
Sl,0O0,OO0 increase in revenue for the
District
Representative Frear said There is
no good reason why such a tax should
not be provided in the District, espe-
cially as the Federal Government per-
mits credit of all inheritance tax paid
in the State or which may be paid in
the District Government up to 80 per
cent of the Federal estate tax.
Minor Amendments Adopted.
Several minor amendments to the bill
were adopted without opposition. Repre-
sentative Stafford, Republican, of Wis
conSIn, offered an amendment to safe
guard against fraud in line of descent or
inheritance.
In reply to questions by Representa-
tive Stafford as to whether the rate in
tbs bill could be said to be "outTegeouS-
~ high for denizens of the District" p"
Chairman MapeS said that these rates
proposed for the District are really
lover than in most of the States,
Representative Frear amended the
taX rate so as to read over $5,000,-
600, Is per cent" He said that his
attention had been called that this
might be construed under the old Ian
gU2ga as tax on the entire estate.
TIE bill now goes to the Senate for
a On.
It is the expectation of the leaders to
ge. action also today on the bill to i'm
rcse motor vehicle weight tax which
it is claimed will yield an average of
about $l4 per car
VIII Increase Burden.
The bills are designed to increase the
tax burden on the residents of the D:s-
trict of Columbia upward of s4000o 600
to justify a proposed reduction of the
lump-sum contribution from the Fed
eral Government toward support of the
National Capital from $4,000, 900 to So
500, 600
In adopting the income tax measure
yesterday two amendments were ac-
ceDted, one making penalty of mot
10 exceed $500" for evasion, and the
o,her specifically providing that all
taxes be leviei for the year beginning
January /, 1852.
Five amendments which it was claim
ed by their advocates would make eX-
emptionS more nearly harmonic with
tho Federal income tax provisions, were
defeated.
An effort by Representative F. H.
1aGuardia of New York to make public
income tax returns was promptly voted
down after Chairman Mapes and Rep
reSentative Frear, the chief SpokeSmen
for the special committee, insisted that
such publication would defeat the bill.
The New York member stated it was his
purpose to use this provision as an
opening wedge to get a similar pro-
vision in the Federal income tax law.
Reorganization Proposed.
During debate on this measure Rep
Iesentative LaGuardia proposed a reor
ganiZation of the form OF government
in the District by giving a measure OF
self-government through a managerial
board, some of the members of which
would be elected and two appointed by
the President Congress would retain
control through supervision of appro-
priations, but would be relieved from
the burden of administrative and legis-
1ative detail.
Advocates of the income tax bill en-
phasized that it would yield from $780,
000 to Sl000000 in excess CT the
amount now received under the per-
sCnal property tax on intangiblcs which
would be repealed as of January l, 1898,
If the measure also passes the Senate
and is signed by the President
The new income tax law for the Dis
trict is in addition to the Federal in
come tax.
Frear Cites Newspapers.
Representative Frear was the first
spokesman for the committee and de-
voted considerable portion of his time
w o1ISCG 1GIGISIlCeS W puUllSlleIS VI
Washington newspapers, arguing that
they are in a favored position in tax
matters as compared with publishers in
other cities. Summarizing these argu-
ments, he said
Leaving cut of consideration the n ami
fola special advantages enjoyed by every
resident of Washington over that had
by residents Of ether cities. the taXpay-
erS Of this city enjoy the luxury of liv-
ing in a city of unequaled beauty of
surroundings the world over, where ap-
proximately $500 100000 is spent an
nually by the Federal Government, CIV
ing constant business and labor stability
unknown elsewhere in this or any other
country, and yet the Capital City pays
less taxes than any of the other cities,
all of which contribute literally to the
District support to make annual deficit.
1T is that contribution which now
makes an increased demand on Con-
gress for larger subsidy, or dole. In
ciuded in The Stars news, columns are
protests from Brightwood, Takoma Park,
Swampoodle and other admirers and
followers who so frequently and loudly
resolute to Congress without any con-
ception of the real facts, because they
only read The Washington Star
The average tax rate, adjusted as to
v2uationS and local rates CT % cities,
including Washington, Is stated as
S24.20 per thousand instead of $3.50
now paid by the District. On District
real estate of $l,182 2,463,345 a rate of
CONTINUED on Page 2, Column 81