Plentywood herald. [volume] (Plentywood, Mont.) 1908-current, 1936-04-30
TAX BILL PROGRESS
WAGNER HOUSING BILL
TO ADJOURN IN JUNE
TWO MEASURES VITAL
A FOR AMERICA
ROOSEVELT ON WORK

SlDle 10 say exactly what II VIII con-
tain although the chances are that the
measure will be somewhat short of the
1872, 100000 requested by President
Roosevelt for three years. Inasmuch as
the President has insisted that new
appropriations, not included in the
earlier budget, must be backed by new
revenue, it is safe TO assume hat the
Chief Executive will insist upon legis-
lation to raise the full mount needed.
Probably the House will stick to its
own bill and the responsibility OF
meeting the full revenue payment will
be passed to the Senate.
Two weeks ago, the seven Repub-
lican members of the House Commit
tee on Ways and Means walked out OF
the deliberations and left to the eight
cen Democrats the task of writing the
measure. Hearings before the commit
tee included attacks on the proposed
tax on undivided corporations profits,
launched by manufacturers, bankers
and representatives Of the business
world, who insisted that it would be
unjust to thrifty corporations and dan
gerous to business stability.
So
On the other hand, Herman Oil
plant, general counsel of the Treas
ury, termed the levy the most i'm
portant tax reform since the adoption
Of the income tax law" Explaining his
reasoning, Nh. Oliphant said that mo-
ney needed by the Government could
come only from the income of the peo-
-Io x4,a ,n pp,V@,nI l{ caInrtnc
rents, interest and profits. Of these, he
said, rents have only begun to rise,
salaries are still low and interest is on
the decline. Profits, however, have in
creased an average Of forty per cent
He admitted hat corporations proba-
bly, would pay less taxes annually than
under existing rates because they
would naturally divide more Of their
profits, but pointed out that the Treas
ury would get a large increase in taxes
from stockholders who received the
increased dividends.
The Wagner Housing Bill comes up
for public discussion this week, with
little opposition indicated. The New
York senator has been active in pro-
noting legislation designed for social
welfare and is anxious to secure pas
sage of housing legislation at this ses-
sion. His bill has met with some APP
prevail among industrialists who like
the encouragement given to the realty
and private construction markets and
the substitution of the loan policy for
the subsidy plan in the housing field.
Ca,,4or Waopa,Se Kill aipac m focil-
itate the re-entry of private industry
into the housing field where it can OPP
crate proftably and to provide low
cost housing projects, with Federal
financial support, where private cap
ital cannot proftably engage. Under
his plan, local authorities would con
denim where necessary, construct and
perhaps operate slum-clearance prof.
ects through the aid of Federal money
at about three per cent interest Re-
modelling would be encouraged with
loans and grants. Mr.. Wagner hopes
that his measure will provide new and
remodeled dwellings where the small
income group can live clearly, COM
fortably and with dignity at a rate OF
SIS a room per month.
The second session of the Seventy
Fourth Congress is expected to adj
journ the first week in June. The pace
of legislation has not been remarkable.
Besides the regular annual a%ppropria-
ton bills, the Adjusted Compensation
Payment Act, passed v e the Presi-
dents veto in January, and the Soil
Conservation Act, passed in February,
are about the only measures worthy OF
particular note, although attention
should be called to the repeal Of var
ious acts wrecked by the overthrow OF
the AAA.
Before Congress are the two main
measures of the Presidents program
taxes and relief-and a number OF
routine measures. The tax suggestion
made by President Roosevelt on March
Bird has been the cause of many head
aches in Congress. 1t will hardly gel
to the Senate before next month and
may be among the last-minute matters
in June. The relief appropriation it.
ems, based on former practices of the
Administration, will not cause delay
although efforts are expected to nod
ify the lump sum appropriation. Lead
ers realize that much idle time is in
prospect and that sponsors OF various
pet measures may become FESTIVE ano
attempt to force action.
Allowing only differentials based or
differences in manufacturing costs
sale and delivery, the legislation would
prohibit price determinations IN favor
of large buyers who naturally insis
that this viii mean higher prices. An
other angle Of the pac. is based upor
the Supreme Courts ruling in the SUI
gar Institutes case, which seems to ban
agreements to limit quantity discount:
if such orders result in economic saw
ings in production. Whether constitu-
tional or not, the bill has wide supper
among those popularity termed the
little fellows"
While no date has been set for the
ter-American Conference at Bueno'
Aires in accordance with Presiden'
Roosevelt's recent suggestion that thu
nations of the Western Hemisphere
adopt measures looking toward the es.
t~ablishment of permanent peace, it il
probable that the governments will ge
together late in July or early in Aug
ust. Secretary Hull and representa-.
tives of the other nations have formed
a committee to outline a program. S.
far, favorable responses have been re.