Evening star., 1942-01-07
$56,OOO,OOO, ,OOOWorBudget
For 1913 Given to Congress
Continued From First Page)

NSOlllllluCu L Az
Sc .O0O, 900 900 revenue in the fiscal
year 1910. This increase is due
partly to the expansion of economic
activities and partly to tax ieglsla-
tion enacted during the last two
years. As we approach full use OF
our resources, further increases in
revenue next year must come pre-
dominantlY from new tax measures
rather than from greater tempo of
economic activity"
To Propose Tax Measures.
A concise table rejecting revenue
increases in the various tax catego-
ries was included in the body of the
Presidents message. With 1910 in
come indexed as 100 in each cate
CORY, the 300 per cent increase for
1943 under the present tax Struc-
ture was effected by an estimated
index of SIG for corporate taxes, 405
for individual income and estate
taxes, and smaller increases for en-
ployment, excise and miscellaneous
levies. Only customs duties, un-
derstandably decreasing, show
drop from 100 in 1910 to 85 in 1913.
For the precise means of raising
the new tax revenues, Mr. Roosevelt
promised that recommendations
will be transmitted in the near fu-
ture."
To raise $1,000, 900, 900, however, he
proposed intensive cultivation of the
fields of progressive taxation and of
anti-infationary taxes.
IN recent years" he remarked in
connection with the former cate
CORY. much progress has been made
in perfecting income. estate. gift and
profit taxation but numerous loop
holes still exist. > The higher
the tax rates the more urgent 1t
becomes to close the loopholes. Ex-
emptions in estate and gift taxation
should be lowered. The privileged
treatment given certain types of bus
iness in corporate income taxation
should be re-eXamined.
ut seems right and Just that no
further tax-exempt bonds should be
/ issued. We no longer issue United
( States tax-eXempt bonds and it is
my personal belief that the income
/ fgom State. municipal and authority
bonds is taxable -. As a matter
Of equity I recommend legislation to
tax all future issues of this charac-
/ ter.
Hits Excessive Profits.
Excessive profits undermine unity
and should be recaptured -" Un-
reasonable profits are not necessary
to obtain maximum production and
economical management. '''
Our tax laws contain various
technical inequities and discrimina-
tions It is more urgent than
ever to eliminate these defects 80
OF deeper implication to the man
in the street" though, was the Pres
ident's comment on anti-inflationary
taxes.
"A number Of tax measures have
been suggested for that purpose" he
said. such as income taxes collected
at the source, pay roll taxes anc
excise taxes.
Il urge the Congress to give al
these proposals careful considera
tion. Any tax is better than an un.
controlled price rise"
Acknowledging his long-standine
opposition to general excise and sales
/ taxes. and repeating his conviction
/ that they have no permanent place
IN the Federal tax system" Mr.
+ Roosevelt modifieS his position ir
such a way as to encourage consid-
Grafton of the temporary necessity
OF such measures"
Selectlve excise taxes are fire.
ouently useful for curtaiIing the
d>sland for consumers goods, espe.
clally luxuries and semiluxuries. HI
ADDED. They should be utilizec
when manufacture of the product.
competes with the war effort"
Outlines Social Security Program.
To achieve the potential $4,000.
600 900 increase in social securit,
taxes. the President proposed tn,
extension of the omnibus program I,
bring IAN increase in the coverag,
OF old-age and survivors insurance
addition OF permanent and tempo
rary disability payments and hospi
tallzatlon payments beyond tn,
present benefit programs, and liber
allzatlon and expansion of unem
ployuent compensation in uniform
national system.
L suggest that collection of addi
tlonal contributions be started a
soon as possible. to be followed on,
year later by the operation of tn,
new benefit plans"
AS correlative, it was disclose
during the Presidents special pres