Evening star., 1943-05-17
Desire Of Treasury
For Withholding Levy
May Prevent Veto
Republicans Confident
Of House Passage Of
Senate Tax Bill
BY the Associated Press.

BY the Associated Press.
Twice defeated in their battle
for modified Ruml plan, House
Republicans expressed conf
dence today that they could
muster sufficient votes on their
third try to send the skip-a-year
income tax bill to President
Roosevelt this week.
The test comes tomorrow in a
vote on whether to accept the meas
ure as already approved by the
Senate.
Meanwhile some legislators specu-
lated that Mr.. Roosevelt might not
veto the bill If passed, as previously
indicated, because of the Treasury's
desire for 20 per cent withholding
levy on wages and salaries to be.
applied against txaes on individual
incomes as now assessed.
The President in the past has ex-
pressed vigorous opposition to can
collation. of full years taxes. If
he were presented with the modified
Ruml plan a veto would kill the
withholding levy as we'll as the
years tax cancellation.
Democrats Defeat Plan.
After four-month wrangle,
House Democrats defeated the skip
a-year plan, 215 to 1913 and 2O6 to
202, and finally passed q bill by
Representatives Robertson. Demo-
crat, of Virginia and Forand. Demo-
crat, Of Rhode Island, abating ap-
proximately IS per cent of last years
$4,000, 100000 tax assessments,
through canceling the 6 per cent
normal and 13 per cent first bracket
surtax on 1912 income of all tax
payers.
The Senate last week rejected the
House measure. and with segment
of Democrats joining with Republic
cans, passed the modified Ruml
plan which abates for each taxpayer
the one Of two years, 1912 or 1943, in
which he had the smaller income.
Republicans report that several
House members who vigorously have
opposed the Ruml plan now believe
that it would be impossible to COM
promise the Senate and House di-
vergent views and are ready to &C
cept the Senate bill. A slight shift
in this direction would mean victory
for the Ruml forces.
Ludlow Still Undecided.
Republican sources named Repre-
sentatives Crawford. Republican, of
Michigan, and Ludlow, Democrat, Of
Indiana as among former Ruml
plan opponents who now would vote
for the Senate bill.
However, Representative Ludlow
said he had not made up his mind
Representative Crawford previously
had been quoted as saying he was
against any tax forgiveness" but
was ready to vote for the Senate bill
as the only way of getting pay-as-
you-go legislation out of Congress.
Chairman George of the Senate
Finance Committee, who opposed the
modified Ruml plan adopted by the
Senate. told reporters he thought it
imperative to inaugurate payroll
tax as soon as possible,
The Treasury has said it must
know soon if such a tax is to be
levied in order to prepare collection
machinery for the July l deadline.
Senator George added that if COL
lections are not begun then there is
little hope of instituting such a sys-
tenn until January /.
The Georgia Senator, however
obviously retained hope that con-
ference between Senate and House
committees might eventually agree
to compromise in line with the
plan which he submitted and the
Senate defeated-to abate only IS
per cent of the lesser of last years
or this wears taxes