Evening star., 1936-04-05
TAX BILLS SNAGS
DELAY ADJ0URN|NG
Democrat Leader Believes
Congress Will Stay Until
June 5.
BACKGROUND

TOR early uuJOuTHHteNt. oU' P~"
snoe of the bonus and the Supreme
Court inpulidation of the A. A. A..
NTH its processing tuIeS collected
for q specific purpose, led President
Roosevelt to ask nearly $500, 100000
In ne,r tures, and a revenue bill al
yoys causes longer debate than
almost any other type OF legislation.
The current measure is especially
liable to attack for its establishing
q ne,p method OF leuying corpora
tions - taring their undivided
profits.
BY the Associated Press.
Congressional plans to clear major
legislation from the path OF the tax
bill went awry yesterday and brought
from a Democrat high n the party
command a prediction that Congress
would not adjourn before June 3.
The s7e9 100000 revenue program
ran into what may be the last OF
attacks from business at House hear
ings during the day, with leaders, VINO
are in charge of it, asserting the bill
WOulQ De IGduy 1OI SOAioAASAo"AoAA oHA
the floor a week from Tuesday.
But House chieftains were puzzllng
over what legislation they might be
able to clear away in the interim.
The naval appropriation bill was
scheduled to come up this week but
1t was shadowed with prospects OF
indefinite delay by the illness OF
chairman Cary Of the Naval Appro-
priations Subcommittee.
Appropriation Committee aides said
Il probably would be at least two weeks
before hearings could be completed on
the forthcoming deficiency appropria-
ton, which is to include the new ST.
5oO,OOo,Oo0 relief fund sought by the
President.
A prominent administration leader,
who preferred to speak privately, said
It looked as if it would be "impos-
sible for Congress to get away before
June 5"-just four days before the
Republican National Convention starts
in Cleveland.
Chairman Doughton said the House
WAYS and Means Committee would
stay in session until midnight Monday
If we have to- to conclude hearings
on the tax bill.
Political Fight Looms.
Prospects of political scrap de-
veloped when Representative Tread
way, Republican, of Massachusetts,,
ranking minority member of the COM
mittee, insisted that Herman Oliphant
Treasury general counsel. and Daniel
Bell, acting budget director, be re-
Quested to appear tomorrow.
Treadway conceded. however, that
committee Democrats "are going to
push the program through practi-
cally unchanged.
The only important revision con-
sidered likely my most committee
members of some arrangement for
special treatment of corporations that
must use definite portions of income
to retire debts.
Business itself seemed to share q
belief that the S799.000,000 revenue
plan of the Ways and Means Com
mittee would go through the House
virtually unchanged from its present
form.
In a statement questioning the ad-
visibility of giving up proved cor
porate tax system" for one that would
be uncertain in yield and compli-
Gated in administration" the Cham
ber of Commerce of the United States
asserted in its weekly business review
that some business spokesman may
wait to testify before the Senate
Finance Committee.
Program Would Raise S591, 900 900.
The Ways and Means COMMITTEES
program calls for producing S591 ,000.'
900 additional Federal income from &
corporation tax graduated according tc
percentages of income held in reserves
$l00,000,000 from a "windfall' tax II
recapture a portion of unpaid or re.
funded A. A. A. processing taxes, $83,
100000 from temporary retention O.
excess profits and capital stock taxes
and s25 100000 from a tax on cor.
poration dividends to foreign stock
holders.
The Chamber of Commerce said thu
question troubling many business mer
was why the administration insists
on discarding tried and proved cor.
porate tax system and substituting ir
Its place system that, at best. woulc
be uncertain In yield and complicated
In administration.
Although the President described
his revenue program as "simplified,
the chamber observed that Congress.
was finding an amazingly large mum.
Der OF difficulties in trying to draft the
Roosevelt suggestions into legislation