The Waterbury Democrat., 1942-08-13

Of treasury figures; a war expenditures; A pC war rehabilitation; and debt re. lease for individuals and companies ID to 10 per cent of taxable income
 THE APPOINTS
 "1. Tax revenues from cOrpOr- ate business far in excess of treasury figures, reaching $13,5OO,- 100000 next year.
 "2. A minimum Of 2,7 per cent of gross income to be left to cor OratiOns from total estimated bus mess volume of $226, 900, 900 900.
 g. Rates on personal incomes ranging from 8 to 79 per cent" rates recommended are less drastic than Treasury schedules and the pending bill.
 "4. A war time sales tax to raise A,BOO, ,OOO, 900. (The NAM said that 50 per cent of the pOpu- laticn now pay and accept the sales tax principle.)
 "h A cut in non military ex- penditures by $2,OOO, 900 900.
 "6. No withholding tax. (The NAM said the proposed 5 per cent on individual earnings was i'm practical and indefenSible.)
 "7. A tax credit of 10 per cent to companies tO cushion postwar rehabilitation and assure re-em- plOyment of fighting forces
 "8. Retain existing customs and miscellaneous taxes which pro- duce $6,5OO, 100000.
 "9. A congressional study of plan for compulsory universal savings to stem imitation tide.
 "l0. Repeal renegotiation stat utes, asserting the sound method of recapturing profit Is by excess profits taxation.
 "11. A broad release for hard ship cases to cure existing in- equities.
 "l2. A debt release for both individuals and companies by credit up to 10 per cent Of tax able net income to pay off Ob- legations.
 '13. A reserve to meet inven- tory losses and abnormal depre- citation of equipment because of round the-clo war work.
 "A. No retroactive taxes on companies operating on fiscal year rather than calendar year basis"
 8 Per Cent Sales Tax
 The association plan called for ar } per cent sales tax, estimated tc ,eturn $4, 100000.
 "A consumption tax" CoWdir said, Sis important in that 1t vii tend to absorb part of excess wal Income, not subject to other taxes and will have restraining effec on inf1ation."
 The report urged the finance com. nittee Ito give immediate study tc Ill the steps necessary to prevent nflation." A sales tax, 1t said. will ,e one step in that direction, land ye urge consideration of compulsory avings as an additional step"
 Throughout the country" the tatement said, "there is grave fear hat vital clements of the program Ve submit to you today will be post ,onad until after the coming elec- ions.
 "If, for example. the sales tax is lot enacted at this time and later dopted. such legislation must not ,e accompanied by proposals for corporation taxes added nly for political dressing Any additional corporate tax in- reases will bring catastrophe to business.
 The associations plan for credit or individual debts involves credit ID to 10 per cent of taxable net ncome to Ee used either for retire nent of debts, such as payment on and bank indebtedness or or life insurance premiums assum- d prior to January 1, 1942. or for he purchase of government bonds These bonds, the plan said. should 'e non-negotiable and non-interest until after cessation of hos ilities when they would bear in- crest at 2 per cent and be repay 4ble lI20th each year in hte follow ng 20 years.