Evening star., 1937-07-04
Revised District Revenue Bill
Moves on Toward Enactment.

THE Senate District Committee
has had its most difficult task
OF the present session OF Congress
in the omnibus revenue bill which
was reported to the Senate on Fri
day in a very revised form. AS
usual. the citizens were accorded
a most courteous hearing with a
good attendance OF the committee
men and an overflowing attendance
OF citizens and District ofrciak.
The largest groups represented
were the Federation OF Citizens
Associations and the Washington
Board OF Trade. The Committee
on Fiscal Relations Of the fedora
ton represented that body and
the Municipal Finance Committee
represented the board. The Mer-
chants and Manufacturers Asso-
ciation was represented by counsel.
Numerous other groups also were
represented.
Considera bic time was given early
in the hearing to explanations by
Representatives Kennedy of Mary
land and Nichols of Oklahoma.
members Of the subcommittee
which framed the bill These gen.
tlemen urged the passage OF the
bill as reported to the House
Members OF the Senate committee
appeared much interested In learn
ing the reasons which impelled the
House to reject the income tax pro-
vision reported by its committee.
Senator Copeland OF New York
took particular pains to bring out
the fact that the real necessity for
the additional revenue Is that Con-
greSs has reneged in the bearing Of
its share Of the expenses OF the
support Of the National Capital
by not appropriating the 40 per
cent required by existing law.
Proponents and opponents Of
nearly every form Of taxation
mentioned aired their views, with
the greatest opposition developing
against increasing the real estate
tax. imposing chain store tax
and a gross receipts tax on the
privilege of doing business. A
consumers selective sales tax was
advocated by many as q simple
form OF taxation which would
reach temporary and periodical
residents who would otherwise
largely escape taxation. The Con-
sumers' Council, through its chair
man, contended against the sales
tax that it would be unfair and
oppressive to the poor and went
back to ancient Egypt to prove
Its case.
Striking similarity marked the
attitude OF the Federation of Citi-
zens' Associations and the Board
OF Trade. Both groups regarded
the situation as one created purely
through the failure OF the United
States to observe the rule OF fiscal
equity, but further recognized that
nevertheless additional revenue
must be raised through new
sources or the Commissioners
would be required to levy \ heavy
increase in the rate on real estate
and tangible personal property.
The revised bill framed by the
Senate District Committee is
radical departure from the form
passed by the House. Several items,
against which opposition developed,
have been omitted. The rate on
real estate and tangible personal
property Is to remain at $3.50. but
an additional 81 is to be added on
the land.
This will make the rate on land
$3.50 per 500 Of assessed value,
while the rate on improvements
will continue at $3.50. This idea
was suggested at the hearing by a
single taxer" and has had no con-
sideration by any Of the civic
groups. A sales tax with exemp-
tions on food and clothing is also
carried in the bill.
The Tydings bill amending the
national antitrust laws is carried
as a rider on the bill. Being q
highly controversial matter, 1t may
provoke protracted debate. Such
delay may prove to BE- a blessing in
disguise through anording oppor-