Evening star., 1937-04-18
Federation
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On the estates Of decendents, on park
ing lot operators, on places of amuse-
ments and higher and more uniform
taxes on public utilities.
Suggests Amendments,
In the case of several bills to these
purposes the federation suggested
amendments.
opposition was voiced against the
proposed adoption of an automobile
weight tax, holding that such a levy
would not be so equitable as the
present personal property tax on own
ers of vehicles.
There was protest in general terms
also against the proposed diversion of
the gas tax revenues, taken from ve-
hlcle owners to pay general Govern
ment costs, as opposed to specific
highway improvements. The body de-
clared the gasoline tax should be no
greater than necessary to cover the
costs OF the Districts highway i'm
proVement program.
In this connection, Carruthers ex-
planned that the District would re-
ceive some 100000 annually from the
Federal Government under the bill
winch would give the District parity
with the States under the HAYDEN
Cartwright act for Federal aid to
roads. This would be the Districts
pro-rata share of the Federal road
aid monies and would substantially
increase the available District funds
Tor highway Improvements. The bill.
sponsored by Chairman King of the
Senate District Committee, has been
passed by the Senate.
Insurance Levy.
The federation approved in princinle
the bill proposed by Representative
Collins Of Mississippi, chairman of the
oiStrlce subcommittee of the House
Appropriations Committee, for placing
tax OF per cent on net premium
receipts on insurance companies. The
rate Is now is per cent on all but ma
flne business, which has a comnli.
Gated schedule, and fraternal and mu-
tual fire insurance companies. which
are not subject to the present priv
ilege tax.
However, the federation suggested
tnat tnere be tax Of 25 per cent on
net premiums, but urged that the
lie insurance companies be EXEMPTED
from this levy. This is not pro-
v1ded IN the bill now being considered
by the House District Committee
Inc federation voted down a nro.
posal to grant exemption also to the
mutual companies.
The proposed tax on insurance cono-
panies has been estimated to produce
some 100000 additional in revenue
Ihere was no protest by the fedora
tlon against the proposal to extend
the privilege tax to mutual fire in
surance companies or the fraternal in
surance concerns.
Stand on Tax ON Estates.
In agreeing to the proposal for
adoption Of tax on the estates Of
descendants, the federation suggested
that the levy be no higher than that
which would give the District the
credit up to 80 per cent of the lew
made by the United States, which is
the case with many Of the similar laws
OF the States. The bill to this effect.
which goes beyond the 80 per cent
limit, Is estimated to yield some $780,
600.
The federation approved the prin-
ctple OF tax on the theaters, as pro-
vided In the Collins bill, but suggested
that the field might be broadened to
include the vaudeville and legitimate
theaters and professional base ball It
held it would not be equitable If applied
only to the motion picture houses and
those Offering combination of movie
and stage shows. There was q sug-
gestion also that the fiat per cent
on gross receipts might prove a seri-
Gus burden on the operators of some
Of the theaters.
The federation indorsed ths sug-