Evening star., 1935-06-06
Advisers Study Problem.

| huNECiS otuuy AIODtChs
! An increase in inheritance taxes Is
being seriously considered, the Presi-
dents advisers on Capitol Hill agreed
as an amendment to the proposed
revenue bill extending the existing
excise and nuisance taxes which ex-
pire this month.
Secretary MOrgenthau, in testifying
recently before the Senate Finance
| Committee on the bonus, outlined a
| proposed plan for inheritance taxes
which ne said would raise from $780,
/ 100000 to $500. 5000 a year. The
tax on inheritances and gifts would
be based on the present income tax
/ rates.
MOrgenthan's proposal also included
gift taxes, but whether the Presidents
recommendation expected soon would
| include gifts was not generally known.
1t was said to be under consideration,
/ however
Meanwhile, Attorney General Cum
mingS, at a press conference, said
many plans. some of them exceed
/ ingly ingenious" were being studied as
a result of the invalidation of N. R. A.
codes.
Hits "ChiseIing Minority"
! Discussing several Of the proposals
i for continuing the purposes of N. R.
! A he said:
Our trouble always is with the
Chiseling minority II always is diff
/ cult in all legal work TO deal with
/ these small groups
"One hundred per cent agreement
in any country wide industry viii be
| difficult 10 obtain.
"A quantity of plans are coming to
/ the White House and the Department
of Justice. We are analvzing all of
them, A great many of them contain
interesting SUGGESTIONS"
Questioned as to whether the ad-
mniStration had made any selection
for a long time N. R A program.
he said the plans were in "a nebulous
state"
He said use Of the taxing power for
interstate commerce was "one of many
proposals"
A final decision apparently had not
been made as to whether anv further
f anu lilb4F lJtl lI4dll'IlA " "a
lSlatiOn will be sought Al this session.
Senator Robinson of Arkansas. the
Democratic leader, predicted there
would be none. but his statement was
qualified by an assertion that condI-
tiOns now unforeseeable might make
some further step necessary.
'UnqueStionablv the study Of the
problem will continue" he said.
Another development was an ex-
traOrdinary session Of the American
Federation Of Labor Council. called
as result Of N. R. As downfall Ex-
/ preSSlOns Of extreme concern over the
| scrapping Of the codes. with their COL
| lectlve bargaining provisions. had
come from the union leaders.
They planned strenuous effort TO
obtain passage Of labor legislation
now pending including the Wagner
labor relations bill. the 3O-hour week
bill and the Guffey- SNYDER hill to
regulate the bituminOus coal industry
with little n. r. A"
William Green. president of the
federation. already had indicated be-
lief there would be widespread strikes
/ II the unions programs were shelved
From Representative Smell. Repub-
llcan. of New York. minority leader
in the House. came criticism of the
Presidents stOp-gap plan. Declaring
! 1t was more IN the line of a COM
plete surrender than you would ex-
peCt from the present occupant of the
White House" he added
1t seems to me that II the n. r.
A. had so many redeeming features
as its supporters and propagandists
have told the American people it had
that 1t is certainly surprising to have
It abandoned without any effort what
soeyer at preserving those parts Of it
that are admitted to be of benefit TO
the people and probably could be
taken care of within the limits of
the Supreme Court decision"
Meanwhile. Donald r. Richberg's
career With the Government. as previ-
ously predicted. appeared to be draw
ing to close, Leaving the White
House last night, he said he did not
expect TO head the skeleton N. r. A.
The report that the White House
was considering taxes that would. if
levied. cut down large fortunes, came
as surprise TO most legislators. They
had heard no word of it prior to the
White House conference Tuesday on
what to do about N. r. A Certain
legislators said that in that conference
the President made remark to
Chairman Harrison OF the Senate
Finance Committee and Doughton Of
the House Ways and Means Commit
tee about a tax matter" he previously
had discussed with them.
Sharp ears caught that remark,
although the President did not elabor-
ate. Some Congress members who be-
gan asking questions after the meet
ing were informed that the inheritance
and gift tax idea was that to which
the President referred.