Evening star., 1936-03-15

ttOn for Teltet are MAJOR CoHtro-
persial matters still facing present
session OF Congress.
Former issue reUolUes around
presidential proposal for corporate
tar reform, NTH graduated leUy
on undiStributed profits to take
place Of present tdreS on ercesS
profits, capital stock and corporate
income Similar proposal UdS re-
jected during tDar years.
Sum to be sought for relief not
yet repealed; President Roosevelt
noted omission in budget message
in January Part OF S4,SS0, 600, 900
appropriated last year believed still
available.
By the Associated Press.
The knotty problem of writing
S792 100000 tax bill for President
Roosevelt virtually has scuttled con-
gressional hopes for May adjourn
ment.
Word to this effect circulated on
Capitol Hill yesterday even as the ad-
minstration's relief program for the
next fiscal year-another potential
source Of delay-began to take form
with the President preparing his
recommendations for submission to
Congress before heading for South
ern fishing grounds Thursday.
Even Speaker Byrns conceded yes
terday that adjournment by May
looked less promising than it did be-
fore a House Ways and Means Sub
committee ran into difficulties over the
tax program. But he added that he
was not yet ready to revise the goal
fixed earlier.
I'm trying to spur them on" he
said.
Martin Predicts June 1.
June ! was the date which Repre-
sentative Martin of Massachusetts, as
sistant House minority leader, con-
sidered likely for winding up congress
sional business.
Both Democrats and Republicans On
the Ways and Means Committee pri-
vately expressed the thought that he
might be right.
The tax bill probably will require
another 10 days in subcommittee, re-
publican, Of Minnesota, "and open
hearings by the full committee will
take at least two weeks. Then it will
take some time to draft bill in final
form and probably four days will be
needed on the House floor The Sen
ate probably will want to take its time
on taxes.
so I can't see any adjournment
before June !. There are absolutely
no grounds for saying we will get
out of here by May l."
Thompson Says Late May.
Another committeeman. Represent
ative Thompson, Democrat, of Illinois,
edded:
1T looks to me like late in May at
the earliest. Even if We get through
with the tax bill in the House in
hurry. the La Follettes and Couzenses
in the Senate will want to do lot
to it. They always have before"
One major hurdle on the tax
legislation was behind, with the sub
committee in tentative agreement on
q schedule for graduated tax on
undistributed corporation earnings.
Chairman Samuel B. Hill, Democrat,
Of Washington said numerous addition
al problems remained to be threshed
out. The most important, he ex-
planned, is how to prevent foreign
owners Of stock in American corpora
tions from escaping income taxes on
dividends.
Relief Figures in Dark.
Advance indications were entirely
lacking as to what figure President
Roosevelt might decide to seek for
relief. Some congressional quarters
said they doubted it would exceed
$500 100000.
A fourth White House conference on
care Of the needy Friday night brought
hints there might be still another
before the President informs Congress
Of cash requirements for the next hs-
cal year.
Aside from regular appropriation
bills, taxes and relief we're the only
must" items on the congressional
slate.
Calling up the War Department
appropriation bill tomorrow, the Sen
ate expects to dispose of it promptly
and then turn, perhaps. to a measure
by Senator Capper. Republican. of
Kansas to revise the packers and
stockyards law.
Minor Legislation Tomorrow.
Minor legislation is scheduled in
the House tomorrow and Tuesday.
wednesday is being held open for
action on bill to prevent State and
local taxation of bank stocks owned
by the Reconstruction Finance Corp.
A similar measure recently was de-
feated. Thursday and Friday have
been set aside for consideration of
the Pettengil long and short haul"
measure to revise railroad rate-making
practices.
Beset by troubles in the courts.
Senate lobby investigators arranged to
resume their inquiry.
Some possibility that open hearings
might be started on the tax legislation
late this week was seen by Chairman
Doughton, Democrat, of North Caro-
lima, of the full Ways and Means Com
mittee. He suggested time might be
saved If the subcommittee would file
report on its exploratory studies
rather than tentative bill as the
basis for hearings.
Anybody that has a right to be
heard will get a chance" Doughton
promised.
Decision Expected During Week.
The subcommittee was expected
during the week to reach a decision
on how to treat foreign stockholders
and dig into the question of a wind
fall" tax to recapture unpaid, or un-
refunded, A. A. A. processing taxes.
The administration has suggested a
90 per cent tax on income derived by
professors from the returning, or
Withholding of the processing taxes.
President Roosevelt proposed, by the
windfall .evy and new and broader