The Washington times., 1931-12-09
POCKETS Of ALL
..TOFEEL PINCH
Of LEV|ES
Revised Income Exemptions
Due to Bring 100000
Back on Rolls

Continued From First POse)
Federal Government without
Undertaking some temporary
tax increases.
81 recommend that Congress
provide for an increase in tax
alton for a definite limited
period and upon the general
2plan-of the revenue act OF
H1924, with such changes as may
be appropriate in the light of
altered conditions. '
-, ."It is proposed that this in
= crease shall be definitely ter
minated two years from next
July.
To Realize s9O2, 100000
"This plan, it is eStirnated,
will realize 100000, 900 next
year and thus meet the con.
ditiOns Of balancing the budget
: for the fiscal year 1888, except
for the statutory debt retire
sment. It would balance the
budget, including debt retire
ment, in the fiscal year begin
ming July l, 1888. 1t would
provide about $500, 900, 900 for
the current year, leaving us
with the necessity of borrowing
An amount which will represent
q net increase in the public
debt Of about $3.50, 200, ,00O."
The plan of approximately re-
enacting the 1924 law, he said.
has the advantages that both the
Government and the public are
familiar with it. He continued:
"The public has paid such
taxes in the past and has found
them not intOlerable and has
found that they do not prevent
increased prosperity. By pro-
TViding a definite date for ter
animation of the temporary in
crease. it will allow taxpayers
to look forward to definite re-
lief.
.~ II further recommend that
Congress inquire into the eco
SnOlmic effect Of the provisions
of the present law relating to
capital gains and losses
" $3,942,754,614 Asked
Expenditures of $3,942,754 ,614
were. estimated as necessary to
operate the Government during
the next fiscal year. This repre-
sented increases of $104, ,535, 1854
By some departments, and de
Creases Of $156, ,807 ,584 by others
or q net Of $52,371 800 below last
years budget -
= It. was a gloomy picture oi
falling receipts that the Presi
dent laid before Congress.
For 1881, he reported the Gov
ernment's actual receipts fell short
Of the TreaSury'S estimates by
$5l6, 100000, while the actual ex
penditures increased $2O7 900, ,00C
over the estimates. The SHARP
drop in receipts was in the income
tax and customers divisions, while
the increased expenditures were
for drought relief, public work.
and veterans loans.
81. All Revenue Off
For the fiscal year ending june
80, 1882, he said. receipts originally
estimated at $3,956. .00o, 900 are
tow expected to fail of realization
because of the severity of the de
preston and will fall below the
estimates by $1.717,000, 900.
Every division of revenue ha!
fallen off, including foreign deb
payments of $247 200, 900, which
were postponed under the German
moratorium.
President Hoover said:
"The deficit for the fiscal year
1881 (which ended June 30, laSt)
is S902, 100000, and the esti-
mated deficits. for 1923, S2,123,.
100000, and 1888, $1,417, ,OOO, 900,
or total Of S4,442, 200, 900.
which, after deducting statutory
debt redemptiOnS and increased
cash in the Treasury, show for
these three fiscal years a total
probable net increase in the
national debt of $3,247, ,OOO, ,OOO."
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