Evening star., 1943-02-04
CLARK Says RumI Plan
Is Opposed Because /
Wasn't n't1reasuryIdea
Foul Proposal a 'Foke,'
p Senator Charges in
kudio Forum Tolk

SENATOR Clark, Democrat, of Mis-.
souri, charged in q radio speech las
night that the Treasury Depart,
ment has obstinately set its heas
against the Ruml plan for pay-as.
you-go payment Of income taxes be.
cause 1t did not originate It," H,
warned that unless the Ruml system
y adopted there win be hundred,
OF thousands Of defaults and distres,
warrants"
Speaking on the National Radio
Forum, arranged by The Star anc
broadcast over Station WMAL anc
the Blue Network, Senator Clarl
further &ccused the Treasury of try.
ing to usurp the function Of Con.
gress by writing revenue bills.
The so-called modified Ruml plan
proposed by Randolph Paul, general
counsel for the Treasury Depart
ment, would be Infinitely worse
than no change at ALL" he said. The
Senator described Mr.. Paul's sys-
tenn, under which the Treasury
would forget" 1942 taxes of per-
sons with incomes Of less than ap-
proximately $4,000, but would re-
quire al others to pay 1912 and most
1o43 income taxes this year, as a
fake. pure and undefiled."
spells Stark Tragedy"
TT has nothing whatever to do
With the Ruml plan or its objective
q getting the Nation free Of its tax
debt and established on basis Of
being able to pay as you earn" he
said. 1T represents the lowest form
Of class appeal"
Senator Clark said he has been q
lifelong advocate of the personal
income tax because he believes It
the 1A3rest and least burdensome Of
II faxes. The income tax law con-
6intd q vitaldefect when originally
enacted In not providing for pay
ment of taxes on current instead OF
The past years income, he said, but
9his defect was then inconseQuentiAl
because rates were not burdel1Some
and relatively few taxpayers were
ef1ected.
) aBut with the tremendous In
ereaSes in rates and the drastic cuts
b exemptions bringing millions Of
Few taxpayers from among the
noore1t Of our citizens into the class
& income taxpayers, the present
Gstam of paying last years taxes on
income, which has already been
spent, out of this years income spells
stark tragedy for a multitude of tax
payers, large or small" he declared.
.6tupendous Burden"
TT b sad to relate but incon.
testahly true that very few OF our
citiscns have had the forethought
Or the necessary information to set
astde out Of last years income as
1t was acquired sumcient funds to
pay the greatly increased taxes on
that income"
Senator Clark said 90 far @ he
knew no one has disputed the de-
sirahility or absolute necessity Of q
change In the system by which tax
payers will be permitted to pay Is
they earn. = F
The people Of the United States
Are today faced with the most stu
pendous burden Of taxation which
has evef coufronted any people On
this earth. he pointed out.
They Are prepared for the sacri-
fices which are necessary. But they
are entitled 70 demand and do de-
mand that this burden be imposed
In as equitable and humane q man
ner Is possible and that neither by
Of rates nor unfairness Of
collection shall this burden be In
creased"
Ne Less 70 Government.
The Senator said that when he
drst heard Of the Ruml plan he was
struck with its great possibilities.
because 1t was simple and sensible
and accomplished so much Of good
without any loss to the Govern
ment."
Nothing could be farther from the
truth than that the Government
would lose . years taxes under the
Ruml plan, he said.
What the Government Is gaining
by this plan is cash money in the
TILL" he declared, while what the
Government is giving up Is nothing
on earth except 4 tax debt unen-
fcrcAble until judgment day. / be-
heve 1t cannot seriously be ques-
toned that the actual cash position
q the Government will be improved
Immediately by the adoption Of the
Ruml plan and that this improve
ment win progress from year to
year.
Least Pain fer Taxpayer.
Zone feature Of the pay-as-you- go
plan which cannot be too strongly
einpl1aSized Is that its adoption
would make possible the adoption
Of . bona fide system for collection
at the source by means OF . with
holding tax, BY this combination
taxes could be collected with the
greatest possible certainty and
promptness and with the least
amount of pain to the taxpayer"
"A recent poll showed that 80 per
cent Of Americans who have con-
sidered the Ruml system are In favor
Of 1t, Senator Clark said.
The statements of some legisla-
tors that they favor pay-as-you-go
t4xation but are opposed to the
Ruml plan leads me to the belief
that either they have not taken the
trouble to fipd out what the plan
actually provides for or have not
confronted the only alternative sug-