Evening star., 1938-03-06
D. c. HOUSE GROUP
STUDIES CHANGE
IN AUTO TAG YEAR
Plan Is Advanced to Make
Period Uniform With
Nearby States.
CITY HEADS REPORTED
OPPOSED TO PROPOSAL
Action Would Make Term From
April l to April /, as in
Maryland, Virginia.
By JAMES E. CHyNN.


A change in the automobile license
tag year, which now corresponds with
the calendar year. was taken under
consideration yesterday by the Fiscal
Affairs Subcommittee of the House
District Committee in connection with
its revision of the 1899 revenue bill.
The proposal is understood to have
been made by Representative Nichols,
Democrat, of Oklahoma, subcommittee
chairman, primarily to bring the Dis
trict tag year in conformity with those
OF the neighboring States of Mary
land and Virginia, which run from
April to April /.
District officials, however, are said
to have registered an objection to the
change, since it would permit the use
OF 1888 tags until April /, 1889, if put
into effect next year. and delay collec-
tion of needed revenue from both tags
and personal property tax on motor
vehicles for three months.
Efforts for Compromise.
Efforts are now being made between
the subcommittee and District officials
to reach compromise on the plan.
Reports from the District Building
indicate the municipal authorities
would be willing to have the tag year
run from February l to February l.
The subcommittee may agree on this
period
Although the principal object of
Mr.. Nichols proposal is to have a
uniformity in the tag years in Wash
lnston and the surrounding States. he
is known to believe his plan would re-
heve thousands of District automo-
bile owners of the present financial
burden of buying new tags and paying
the personal property tax on the We
hicles so soon after the expensive
Christmas holiday period.
Whether the new tag year plan will
be embodied in the revenue bill prob
ably will be determined tomorrow.
when the subcommittee meets with a
group OF tax experts of the Joint
Congressional Committee on Taxation
to perfect the measure A definite
decision also may be reached on the
rate Of taxation to be applied to beer
Some subcommittee members believe a
levy of 81 barrel would be adequate.
Mr.. Nichols, however, thinks the rate
should be at least 50 a barrel. One
member. Representative Wood, DEM
ocrat. of Missouri, has proposed an
increase In the present tax on hard
liquor in lieu of beer tax
workable Income Tax"
The tax experts have been called
in chiefly to aid the subcommittee in
drafting workable" income tax plan
for the District. Several different
proposals are under consideration, but
the one to which the members are
said to be leaning calls for a gradu-
ated scale. ranging from l to 4 per
cent on net income.
The principal objective of the SUBJ
committee, according to Mr. Nichols,
will be to write an income tax plan
that will yield at least s3,000,OOO a
year. 1t is his intention to insist
that the present tax on intangible
personal property be repealed with the
adoption of an income tax, which
"oAAo AAdhS tiiC IlCt gam W lIlS LIS
trict about $l,O0O.oO0 a year, since
the intangible levy is now producing
about 100000.
Although Mr.. Nichols had originally
planned to have the revised revenue
bill ready for consideration of the
iull District Committee Wednesday,
he indicated there would be a delay
OF week or more pending final ac-
ton on the 1889 District approprla-
ton bill.
He said the subcommittee should
wait until the budget deficit is actu-
ally determined before the revenue
bill Is put in final form As a result
OF pleas of civic and business leaders.
1t Is his desire to turn out a finished
bill that will not produce any more
revenue than needed to keep the Dis
trict out of the red in the coming
fiscal year
The estimated shortage is now
placed at between $4,OOO,OO0 and
$4,70O,000. Changes made in the sup
ply bill in conference may alter this
figure.