The times-news. [volume] (Hendersonville, N.C.) 1927-current, 1933-04-10
REVUE BILL
COMES BEFORE
HOUSE TODAY
Rough Shedding Ahead Oh
Coin Raising Measure
For This State
CONSIDERATION TO
REQUIRE SOME DAYS
By J. c. BASKERVILLE
The Timcs-Ncws bureau
Sir Walter Hotel

me llmeS-NGWS bNIBUU
Sir Walter Hotel
RALEIGH. April 10. - Hard
shedding is in prospect for the
revenue bill. with its provision
calling for a 3 per cent general
sales tax, when the house takes
it up as special order at ; O'Clock
Monday afternoon. The bill was
reported to the house Saturday
morning by Representative X. A.
Doughton. chairman Of the houS"
finance committee. 1t is not be-
licvcd that the house can possibly
finish consideration Of this bill be-
fore Thursday or Friday at the
earliest. and Speaker Norris Of tho
house today said that he did not
believe the house would complete
consideration of the bill as a COM
mittcC Of the whole before Thurs
day. SO there is little possibility
that the senate will get the bill
before Monday. April II.
The section providing for a "
pcr cent general sales tax is OK
pccted to prove the most contro-
vcrsial section in the bill and
much opposition to this section IS
expected from house members OPP
posed to any form of sales tax.
But other sections are also going
to have much opposition. In ad-
dition to opposing any form OF
sales tax, it is certain that Repre-
sentative Tam C.. Bowie of Ashe
county and members of his bloc
will make an effort to materially
increase the franchise taxes on
power companies and possibly
other utility companies and al5o
put an additional tax upon soft
drinks and theatre admissions.
There is a possibility that Bowie
NAV support the plan of Repre-
sentative w. C. Ewing Of Cunt
bcrland county, to put tax of =
mills on all the electric energy
generated or sold in the state.
Bowie and his followers maintain
that if the measures they adv"'
cate arc incorporated into t h.
revenue bill, enough new revenue
can be obtained to balance the
budget without recourse to the .
per cent general sales tax.
It is also apparent that a great
many in the house arc convinced
that much larger proportion ct
the property tax reduction given
as the result of the removal of al!
property taxes for school pur-
poses. should be rccapturcd from
the larger corporations than Is
povided for in the bill as reported
by the finance committee. ms
bill provides for increases In the
corporation franchise and income
taxes sufficient to recapture about
100000. or less than half as
much as was proposed to recap
turc in the revenue bill prepared
by the advisory budget commits
sion. Representative r. Gregg
Cherry of CASTOR county. how
ever has already said that he
thinks franchise and corporation
income taxes should be Increased
sufficiently 70 recapturc at least
So, 100000 of the $S,600,O00 in
property taxes that will be re-
moved. He points out that the
general assembly is removing both
the $3,80O,000 obtained from the
Is cents state tax for schools and
an additional $4,800,000 so far
levied for the support of the eX-
tended school term. making a to-
tai of S8,6OO,000 in property
taxes that will be removed.
There is also much difference
Of opinion in the house with re-
gard to the type of sales tax to
be adopted. For a majority of the
members seem to be convinced
that regardless of what is done
with regard to these othet pro-
posals, some kind of sales tax
will still he necessary. But a good
many arc still Of the opinion that
a luxury tax rather than a gem
eral sales tax should be adopted.
As a result, it is expected that the
luxury sales tax plan which Rep
! reSentatiye Harriss Newman OF
New Hanover is expected to OF
fer as 4 substitute for the general
| sales tax provision in the revenue
bill, will get a good deal of sup
port and that discussion of 1t will
take up considerable time, even If
it is not finally adopted. This so
called luxury tax plan. it is re-
ported. not only puts a tax on
soft drinks, cigarettes, soft drinks
and candy, but likewise imposes a
tax on consumers of gas and cleo
tricity and upon users OF tele-
phones.
The prevailing opinion here,
however, is that the proponents OF
the 8 per cent general sales tax
outnumber those favoring the lux
ury sales tax and that eventually
the house will adopt the latter
| plan, though not without a bitter
fight on the part of the luxury
tax hackers. The fact that the
senate seems to be decidedly in
favor of the general sales tax
plan iSaalso going to have some
effect in the house. it is believed.