Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1940-06-13

not directly con- SkSS
nected with de- - 3a1E IIzal
tense.
Defense Taxes.
A billion dollar increase in taxes
is in prospect under the tax bill
prepared by the Ways and Means
committee with view to paying for
emergency defense costs. The bill
will be considered in the House this
week.
Among the important features of
the bill are:
/. The lowering of the income tax
exemption to $500 for single persons
and $4,000 for married persons (pres-
ent exemptions are 1000 and $4,000,
respectively. This will add about
million new taxpayers to the rolls.
2. An increase in surtaX rates in the
So-called middle brackets.
8. A flat increase of one per cent
in the tax rates applying to corpora
tons.
4. A five-year super tax on all eX-
listing income and excise tax levies,
amounting in most cases to 10 per
cent of the existing rates. Instances
in which the increase amounts to
more than 10 per cent are: Gasoline,
increased from 1c to lee per gall
Ion; liquor, increased from S2.25 to
So per proof gallon; cigarettes, in
creased from &c to &c per pack; beer,
increased from S. to Sc per barrel;
wines, increased by 20 per cent over
existing rates.
The super-tax levies are estimated
to yield 1852 100000 annually for five
years. The other changes, which are
permanent, are estimated to yield
1854, 100000 annually.
The new revenue will be ear
marked to retire in five years the
billion dollar defense bonds which are
authorized by the bill. That will
require 800 million dollars annually,
exclusive of interest. The balance of
the new revenues will go into the
general fund of the treasury.
Government Planes to Allies.
The Administration on last Thurs
day made the most significant gesture
of aid to the Allies since the repeal
of the arms embargo last fall by
ordering so naval reserve planes
<'traded back" to the Curtis Aero
plane Company, and it is generally
understood that they will be sold to
the Allies. This is the first of series
of transactions expected shortly to
supply the hard-pressed Allies with
planes by the 'trade-in" route, and
to make available large World war
army stocks of guns and ammunition.
Italy Issues Warning.
The Italian press spokesman, who
no doubt speaks authoritatively,
warns the United States to keep out
of this war or expect to see Euro
peans invade the Americas. After
stating that no European power has
failed to respect the Monroe Doc
trine he goes. on to say, at is there
fore obvious that by participating
with too much indiscretion in Euro
pean affairs and in the solution of
problems which have a uniquely
European origin and significance, the
United States is automatically giving
to the European powers the right to
retaliate today or at any future time
in American history and on American
territory.
IF the United States wants to in
tervene in favor of some European
countries against other European
countries, we cannot see why some
day some great European power
should not intervene in favor of some
American nations against the United
States"
That is exactly what I have been
afraid of right along. Since the re-
peal of the arms embargo last fall
we have been to all intents and pur-
poses actively engaged in the war on
the side of the Allies, although no
American troops have been sent to
Europe. Just what will be our posi-
ton in the event Hitler should win,
and military men say that there is a
strong probability that he may do so?
This is something that is worthy of
serious consideration. For us it would
be worse than folly to longer ignore
the possibility of Hitler winning the
war, whether we like it or not. Our
present foreign policy is loaded with
dynamite and if continued will prob
ably draw us into the war. Such
war would drag on for years be-
cause of the great intervening space
Wants Congress to Adjourn.
The President does not want Con-
gress on his hands any longer than
is necessary. He has informed Demo-
cratic leaders it is imperative that
Congress adjourn by June %, two
days before the Republican National
convention at Philadelphia. He takes
the position that with the passage of
a tax bill all necessary legislation to
meet the present war threat will have
been enacted.
If there ever was time when Con-
gress should stay on the job that
time is now. Less than a month ago,
L L. l.