The Skyland post. [volume] (West Jefferson, N.C.) 193?-1988, 1941-05-01
NYSS n.y.
WASH / on
HOTTEST POTATO OF ALL

-
WASHINGTON.-The hottest of
the hot potatoes which congress
has had to handle in the past few
months-that of defense taxes
has row been tossed into its lap
Problems of voting billions fol
defense, unlimited powers to the
President and all-out aid to Eng
land, although of more world
stalking Importance, have be e n
comparatively easy to handle be-
cause the people were clearly be-
hind those measures. But reaching
into the public's pocketbook with.
out being charged with playing
favorites has always been practi-
cally impossible. And now con-
gress must reach deeper into our
pockets than it has ever reached
before.
Probably the final decision on
what those taxes will be will take
two months or so to work out
and no matter what is proposed
some groups will be penalized
more than others. The house ways
and means committee, which must
make tax recommendations, has
come to no conclusions yet except
that it will aim at raising an ad-
ditional $500, 100000 by taxes.
The treasury department has
estimated that present taxes will
bring in approximately $9,0OO,-
100000 during the fiscal year be-
ginning July 1. The committee
hopes to comply with the treasury
departments wishes by increasing
tax income so that it will pay two
thirds of our $4,000, 100000 esti-
mated expenditures during the
coming fiscal year. The other one
third will be met by borrowing.
Many suggestions for increased
taxes already have been made,
which include: 80 per cent in
crease on all present taxes; an in
rate from 4 to 8 per cent and
crease on the present lowest tax
working out a higher scale for
tional revenue by a general sales
other tax brackets; raising addi-
tax; lowering present exemptions;
increasing present taxes on liquor,
tobacco and gasoline; wiping out
the 10 per cent credit now allow
ed for learned income; curbs on
present deductions; and combina-
tons of all of these plans.
It is the opinion of some con-
gressmen that taxes should be in
creased enough to bring in more
than two thirds of the treasury's
expected obligations in order to
put defense on pay-as-you-go
basis, but it is not expected that
congress will finally vote any
more taxes than are specifically
requested by the treasury depart
ment. It is the general opinion
here, however, that people in the
$4,000 to $4,000 class should plan
next year as they paid this year
to pay at least twice as much tax
and that millions who paid no tax
this year will be called upon to
pay something.
DRAFT AMENDMENTS
Amendments to the selective
service act are predicted for the
near future which will include all
or any of these three changes: CD
reducing the minimum age from
81 to 18, which would make about
100000 more men eligible; (2)
decreasing the maximum age
limit, since so many men over 80
have physical defects; (3) con-
tinuing the training of present
draftees for longer than the pre-
sent one-year limit.
President Roosevelt has limited
his approval of reducing the mini
mum age limit to 18 and the maxi
mum limit to Is, but no changes
will be made until further study
has been conducted Of the AGO.
900 draftees now in camp and the
100000 which already have been
classified. So far almost 40 per
cent of registrants have been re-
jected for physical defects.
A plan for drafting leading
business executives for jobs in the
defense program has been pro-
posed by Representative Johnson
of Texas in order to assure the
government of the nations best
managerial brains. His bill woultl
require key men in industry 20
accept government jobs if so or
dered.
STEEL PRICES
Many business men are indlg-
nant over what they consider