The Waterbury Democrat., 1943-04-30

N~DN|NaNAAAN4SA
  ln two days" tge admitted that il would be "Almost impossible" tO set up the new program by July 1, but promised t0 do the impossible q Congress completes action hy May
 The Republicans took no lsSus with MorRentAaus claim that the Democratic plan would yield about sS,00o. 900. 900 more revenue in leee than present laws, but pointed out that the Carlson Ruml plan would do the same thing this year, House Republicans revealed that the Robertson proposal, to forgive normal and first SartMx bracket In. come taxes for lea2, will tigOro ln parliamentary maneuverang when Ruml advocates attempt eO vote it out of the way before offering the Carlson btu es e substitute tor the principal Democratic hill,
 Such action would provide . clear-cslt contest between the Carl- son proposal ard the admlnlSsTA- tons oill, Republicans believe tt will release considerable Democratic support for the modified Ruml plan, In debate the Republicans plan t0 quote poughton in support Ol their argument that the Democratic leadership has compromised It's for. mer stand against the principle ol tax forgiveness by offering the % per cent proposal Co return l9ea tAx rates to leAl levels,
 The Democrats contend that their plan is the only Justlllable method Of making taxpayers current with- out beneelttlng Che high income groups. Their original proposal, whlch the House rejected along with the Ruml Plan March 90, provided Q % per cent withholding tax but no pay-as-you-go or forgiveness features,
 MorgenthauS announcement was released last night, although Treas. ury Counsel Randolph Paul OK. pialned the TreasuryS stand to . press conference "Wednesday, as- sertlng then that the admlnistratiOn btu would bring in at least Sa,Gaa,. 10000 more during the coming 1ls. cal year than the present law.
 If all taxpayers should take ad- vantage oe . six per cent discount provided by the blll for persons who pay all their unforgiven ieAs taxes during fiscal leae-inStead of spreading the payment over the next three years--the increased eol- lections during the next l2 months would amount to e5,e29, ,oOO, ,0O0.
 Paul estimated income tax col. lections during fiscal lOaA under the committees hill at S,7sS, 600 900 il no taxpayers take advantage of the discount clause. and Nt Sia,e2S, ,SOO,- 00O if all taxpayers take the full dts count. Collections during the sams period under existing law are estl- mated at ei2,0eo, 800 900.
 lfe pointed out that enactment oi the committee bill would leave ap- proximately elS,OO0. 900 900 of new revenue still to be raised in accord. ance with President Roosevelt's budget request for GIG 000. .000, 900 ir new revenue, through taxes, savings or both."
 Paul said pay-as-yuu-g0 taxel could be put into effect by July # Congress passes the bill b, May lS. If enactment Is later thar May IS, he said, it would be diff. ficult but not impossible" to star source-collection by July 1.
 The bill provides for Q % per cen withholding tax to start July 1, tl cover normal and first surtal bracket taxes. March l5 and Jun' l5 installments, together with tn, amount withheld during the last months of the year. would pay of taxes on l0ss income of most per sons.