Evening star., 1936-02-08

necessity OF financing neD farm
program, issuing and cashing bonus
baby bonds and making provision
for undetermined relief needs.
Farm issue is nearest settlement.
1uith House and Senate considering
legislation for program OF crop con-
troll through soil conservation; new
tares are expected to replace in
validated processing leuies.
BY the Associated Press.
President Roosevelt was reported in
congressional circles today to be
awaiting next months income tax re-
turns before fin.lly deciding whether
to recommend any new taxes this ses-
sion beyond enough to finance the
farm program.
Congressional leaders generally be-
lieved there would be no tax legisla-
ton except the $500, O,000,O 900 program
to replace the invalidated farm
processing taxes. But they noted the
Chief Executive was not finally closing
the door to further levies.
Some Democratic leaders expressed
the opinion that If the returns next
month should live up to Treasury
estimates the Government could get
by without levying higher taxes now.
despite the enactment of the bonus
payment bill.
Although not wishing to be quoted
by name now, they said they felt the
President was merely holding the door
open in case the first quarterly returns
on last years improved business should
not prove so large as expected.
Relief Estimates Held Up.
Besides delaying the tax decision,
President Roosevelt is expected to
withhold. perhaps for several months,
his recommendation as to how much
relief money should be appropriated
for the next fiscal year.
Yesterday he announced forth
coming shifting of work-relief funds
to give the Works Progress Admins
tration an extra 5000. 100000 to
finance its job-giving until July /. =.
The President said the money would
be transferred from slower-moving
agencies which, like w. P. A., are
financed by the $4,000. 100000 relief
fund appropriated at the last session
of Congress.
With the outward trickle of gold
from the United States resuming after
a temporary halt, Democratic leaders
declared again there was no chance
Of imitation. When gold began to leave
on February 3. foreign exchange mar.
kets said the imitation drive in Con-
gress had influenced the development
Death Of Drives Predicted.
Various imitation groups seek to
pay for the bonus and the farm pro-
gram and to refinance farm mortgages
with new money rather than levy
new taxes or borrow. Democratic
leaders have predicted none Of these
drives will be successful.
The latest party leader to forecast
defeat for new currency advocates Is
Representative Boland of Pennsylva-
mia, Democratic whip, on the basis oil
a poll, he said the Frazier-Lemke bill
calling for farm mortgage refinancing
through issuance of up to $4,000, 600,
900 in new money would be crushed II
it ever reached vote.
A preliminary tabulation shows,
Boland said, that of 154 recorded
Democrats 70 will vote against the
legislation, SIS for it and 20 are doubt
full. Republicans, he said, will vote
almost Solidly against the bill.
Sees Large Opposition.
Final figures, he said. should dis
close a large proportion of opposition
votes.
Even giving the proponents an even
break On the 'doubtfuls,' which ex-
perience shows is very generous,
Boland said, there ought to be 55
to so more Democrats voting against
than for the bill"
He said the preliminary check does
not include New York. Only of the
% Democrats from that State is likely
to vote for the inflationary proposal,
he said.
Opposed by the administration
Speaker Byrns says it calls for FIAT
money-the bill can be forced to the
House floor If five more signatures are
obtained on q petition to take it from
the Rules Committee. The petition