The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1933-01-26
800 Retailers Meet Here to
Voice Opposition to
Levy.
M'NUTT TO HEAR VIEWS
Ruin of Business Forecast
by ConfereeS If Bill Is
Approved.

First steps toward an aggressive
battle against enactment of a sales
tax by the Indiana legislature were
taken today by group of 300 re-
tail merchants, representing nearly
every section of the state, meeting
at the Lincoln.
They acted to form a permanent
state organization of retail mer-
| chants and named a committee to
call on Governor Paul V. McNutt
and present their views on the pro-
posed tax.
The proposed law was aSsailed by
speakers as lust another tax which
will not relieve any other form OF
taxes" and which will have to be
borne largely by the merchants,
hundreds Of whom already have
been forced out of business. They
charged it would increase unem-
ployment.
Would Cut Buying Power
1t was alleged that such a law
would reduce purchasing power,
create more political jobs, and result
IN greatly increased mail order busi-
ness which, being interstate, is not
taxable ny states.
Merchants living in cities within
driving distance of the state line
particularly were strenuous in OBJ
jectionS to the proposed measure.
which, they said, would result in
loss Of business from across the state
line, and would cause many shoppers
TO drive into other states to buy.
The sales tax Is an economic, not
a political, issue, and should be kept
out of politics, said j. Irving Late.
FIT. Wayne merchant, who gave the
principal address.
Economy Is Demanded
Late said certain strong groups
in the state are fighting for a sales
tax, strongest of which is the teach
erS' association, which favors it so
the schools will not have to cut eX-
penSes, but can go forward with an
expansion program in times like
/ these"
mo merchant wants to evade his
proper taxes" Latz said, land we're
not lobbying now, but, as business
men, we must insist that the gov
eminent cut expenses through econ
omy and add no new taxes.
We're not asking the government
to do anything we haven't had to
do in business.
"One-third of every dollar of in
come now goes to state or national
government, and history will show
that no nation can tax income more
than Is per cent and remain in ex-
| istence."
Joker Is Cited
Late declared the Joker" in the
sales tax is that it must be borne
by the merchant, as it can not be
passed on to the customer in lower
priced articles, adding that it great
ly will add to the ranks of mer-
chants already forced into bank
ruptcy
A federal sales tax, he explained,
is not as harmful as a state sales
tax, because it affects the whole
country, not any particular group.
Such tax, he asserted, would
mean an additional hardship on re-
tailers, because they would be forced
to go to the expense of setting up
and maintaining additional book
keeping records.
More than so per cent of the
average stores sales are below 81
and it is almost impossible to add
the tax to such Sales" he said.
Committee Is Selected
Committee named to call on Nc
Mutt includes Fred Wiebman, South
Bend, chairman; w. c. Mcbride,
Auburn; j. Irving Late, Fl. Wayne;
Ike Silverstein, Terre Haute; Ernest
H. Adkins, Columbus; Martin Stein
well, Seymour; E. E. Temperly and
Louis Wolf, both of indianapolis;
Alex Hirsch, Bloomington; w. w.
Welsh, Peru; Sidney Ort, Angola:
Ray DePrez, Shelbyville; j. E.
Watts, Muncie; King Lesson, FL
wood; William Hubbard, Scottsburg;
Art Seibold, Fl. Wayne; and Irving
! Bertermann, indianapolis.
/ The merchants were urged by
speakers personally to call on their
counties legislators while here and
express their views on the sales tax,
and to obtain cooperation of their
local newspapers in editorial cam
paigns.
Late cited figures to show that
governmental expenses have trebled
since 1912, adding that taxpayers
income probably is no greater today
than in 1912.
Mississippi Case Presented
He presented letters from mer-
chants organizations in Mississippi,
stating that the sales tax was mere
ly an additional tax, and that since
its passage many other taxes had
been increased and noen reduced.
The letters added that the sales
tax had proven detrimental to
business.
Merchants from several Indiana
cities forecast ruin Of the retailer"
if the sales TAX becomes a law.
The meeting was opened by Will
liam E. Balch, indianapolis Mer-
chants Association manager, who
presided Until Sidney Ort, Trisate
Retail Dry Goods Association presi-
dent. was elected chairman.