Evening star., 1939-06-17
Glass Opposes
New DC. Taxes;
Backs 0verton
Increase Lump Sum
Instead Of Levyine
On Income, He Says
BY ]. A. O'LEARY,

senator Glass, Democrat, OF Vlr-
glnia, member of the District
Committee and chairman of the
Appropriations Committee, came out
today in support of the Overton plan
for more equitable Federal share
in the expenses of the National
Capital, in lieu of enactment of
new taxes at this time.
The Virginian authorized the
statement that, instead of being in
favor of the new taxation, he is
in favor of the proposed fiscal re-
lations formula, expressing the be-
lief that if adopted it would obviate
the need for new forms of taxation.
Senator Overton, Democrat, Of
Louisiana has offered as an amend
ment to the House tax bill, his
formula, which would raise the
Federal payment from $5,O0O,OOO to
approximately So 8,0OO, 900 at this time,
by baSing the national obligation on
the percentage of the land area of
the city required for national pur-
poses.
Senator Glass for a number of
years has taken an active part in
consideration of the fiscal relations
problem as a member of the sub
committee in charge of District
supply bills, and for 10 years has
advocated, in effect, the principles
on which the Overton proposal is
based.
The Virginian made known he
would have no objection to a scien-
tlfic income tax for the District if
confined to persons who already are
not liable for State income levy.
He added, however, that in view of
the fact that large percentage of
the population of the District is
made up of Government employees
VINO have legal residence in the
States. and who under the new court
decision will be compelled to paw
both State and Federal income taxes
ne is inclined to believe that any
Just income tax in the District
would probably cost more to enforce
than it would raise.
More Data Sought.
The Senate District Committee
Is marking time today on the local
TAX bill while District officials made
lurther efforts, at the request of
chairman King, to ascertain how
many persons would be subject to
the income tax if the drastic House
provisions were revised to allow
appropriate exemptions.
In conference yesterday with the
commissioners and their Tax Ad-
vlsory Committee, members of the
Senate group learned that the large
number Of temporary residents in
Washington, together with the large
number who work here but live
In Maryland and Virginia, make
1t difficult to estimate the returns
from a local income tax.
Since persons subject to a State
income tax would be given credit
for that tax here, the remainder
due the District would be small.
Senator King pointed out the
committee has been given informa-
ton indicating that. when proper
exemptions are made in the House
measure many persons here would
no longer pay an appreciable tax.
For example, it was brought out
in the District tax survey last jan
uary that the Federal Government
is the largest employer in the Dis
trict,, and that 80 per cent of the
Government employees are between
the salary brackets of $1,000 ana
$2,700. This would tend to hold
down the revenue yield.
Original Plan Urged.
While the House bill allows no
exemption for married persons, it
is generally expected that if the
Senate retains the income tax, it
will seriously consider exemptions
comparable to the Federal law,
which allows $500 for a married
person.
Indications are that District Of
ficials will have difficulty in gath
ering any more data within a few
days on the effect the nonresident
population would have on the yield
from a local income levy.
Senator King favors the principle
of an income tax, but indicated
yesterday it may prove difficult to
work out carefully prepared levy
at this stage of the session.
In its report to the Senators yes
terday, the Commissioners Advisory
(See D. G. TAXES, Page A-4.)