Evening star., 1932-03-21
FOOD AND CLOTHING
EXEMPTIONS URGED.
House Committee Considers
Program to Stop Fight
on Sales Tax.
CONTINUED From First Page.)

Il would mean a total reduction in rev.
enue of s145 100000.
IF such a plan can be adopted said
Mr.. Crisp, 1T will be necessary to raise
a similar amount of revenue from some
posal, prevail, will Immediately recon-
mend that the committee offer some
substitute to raise this revenue.
Mr.. Crisp said a tax of cents on
bank checks would bring in, it has been
estimated, $4,000, 600; tax of l cent a
gallon ON gasoline would bring in
$165, 100000 and the increase in postal
rates from to 3 cents would bring in
$685. 600. ,..- .....
"All of these proposed taxes are just
as much sales taxes as the manufac-
turers tax included in the BILL" said
Mr.. Cr. sp
: Representative La Guardia plans 70
have a meeting of opponents of the
manufacturers tax tonight to discuss
plans for holding their line in the drive
to defeat that tax At the meeting OF
the opponents of the oil tax today 20
States were represented and it was said
later by some OF the representatives
they expected to be able to defeat that
tax on the floor.
Mr. Crisp drew plans to get vote
II he can on the manufacturers sales
tax at tomorrow's session OF the House
although he admitted today that the
House in its present frame of mind was
not likely to grant unanimous consent
for eny proposal. Unanimous consent
to take up the manufacturers tax out
of order would be necessary.
Secretary Mills Letter.
Secretary Mills letter to Representa-
tive La Guardia about the La Guardia
tax plan was as follows:
Il take that in opposing the revenue
bill reported by the Ways and Means
Committee you do not disagree with
the desira bility-1 may say necessity
OF balancing the budget next year, Dit
you are not willing to accept the pro-
gram recommended by the committee.
1T is very pertinent, therefore to in
quire whether the program which you
advocate will raise adequate revenues
Approximately $1,100 900, 900 is needed
THE income tax, even If the action
taken by the House In the committee
of the whole is sustained, cannot be
expected to yield more than 1892, ,o0O.-
600. The estate and gift tax, about
$35, 900; corporation tax, at a IS per
cent rate. $2l 900 00O or a total from
these sources of $188 600, 900, leaving
S3ss.5e0, 900 Estimated.
THE program which you presented
TO the House, as reported in the Con-
gressional Record of March IL, will
yield an additional 1888 500, 900, accord
ing to our estimate, the schedule being
as follows:
Stamp tax on check drafts, under
rate Of / cent under 500 to 2 cents
above 5000, $4,000, ,000 safety deposit
boxes and vaults, 81 900, 600; stamp tax
on contracts, $40 900 900; stamp tax on
receipts, $4,000, 600 (these last two
amounts are blind guesses and there
are no means of making any estimate
as to what the yield would be. They
are probably very high) stock trans
fers and sales $40, 600 600; bond trans
fer tax, s1o,00000O; radios and phone.
graphs, $l5,0o0,000; radio advertising,
$4,000, 900; cosmetics and perfumes,
Sl2,000,000; automobiles, trucks and
accessories, $56,000,000 works Of art,
jewelry, etc, s13,500, 900; postal In
creases, Sl35, 900 900. 80 that on these
figures you are still about s530,0o0,000
short.
IT know that you will accept this
comment in the spirit in which 1t Is
made do feel that those who are
leading the fight to disrupt the COM
mittee program should have a program
of their own which will balance the
budget, ana unless your program in
cludes additional taxes sufficient to
produce this s530,o00,000 I think you
should hesitate long time before car
rying the fight much further"