Evening star., 1943-03-25
Carlson and Disney
Debate Pay-as-Go
Tax Measure
Representatives Speak
Over National Radio
Forum Hookup

| s\SSsS
Forum Hookup
Representative Carlson, Repub-
lican, OF Kansas last night outlined
his bill for pay-as-you-go taxes
while Representative Disney, Demo-
crat. of Oklahoma, bitterly attacked
the idea of any cancellation of 1912
taxes, as provided in the Carlson
measure, in addresses before the
National Radio Forum over a Blue
Network broadcast arranged by The
Star. The addresses were broad
cast locally over Radio Station
WMAL.
Both speakers are members of the
House Ways and Means Committee.
In which new tax legislation must
originate.
Representative Carlson spoke in
behalf Of his bill, based on the
Ruml plan to put taxation on a
current basis. Representative Dis
ney, in turn, called the Ruml plan
fantastic" and condemned the idea
OF "forgiving" taxes for 1912, when
the national income of between
Sis, 900 100000 and $135, 900 900 900
would, he said, net some $4,000
100000 in personal income taxes.
Points to Two Methods.
Upholding his bill, Representative
Carlson declared, There are only
two methods of getting the taxpayer
on current basis" adding:
First, Congress can base this
years tax on this years income-in
other words. move the tax clock
ahead one year
Second, Congress can try to COL
lect two years taxes in one year.
These are the alternatives"
Personally" continued Repre-
sentative Carlson, II do not believe
our taxpayers can pay two years
taxes in one year.
The Carlson BILL" he declared.
puts every taxpayer on a current
basis by moving the tax clock ahead
one year. This is Mr.. RUNS proposal
and is what I believe the American
taxpayers want"
In answer to those who claim this
cannot be done without loss to the
Federal Treasury" Mr. Carlson held
that "the change results in no loss
to the Treasury, but substitutes one
tax liability for another"
What actually happens under
his plan, Mr.. Carlson declared, "is
that the taxpayer whose income is
the same as last year pays the same
amount of tax. The Federal Treas
ury will benefit" he argued, "be-
cause the tax collections will be cur
rent and based on this years ma
tional income, which should produce
about $4,000 000, 900 more in revenue
than under the present law"
Blocks Escape Avenues.
The speaker added:
THE Carlson bill is so drawn that
it eliminates the possibility of some
person who made a killing in 1942
escaping income tax payments on 4
huge income by paying a smaller tax
on smaller 1943 income 1t provides
that taxpayers who have an income
Of over $4,000 must pay taxes on
either 1912 or 1943, whichever years
income is the greater. A special anti
windfall provision takes care Of war
profiteers. 1t removes much of the
basis for some of the criticism that
has been made to defeat and delay
q reform that is SO important to
more than 10000, 900 taxpayers.
If my bill is approved and en-
acted into law it would place tax
payers-as nearly as. possible-on a
current basis by assessing the Fed
eral income tax for 1943 and every
year thereafter on the taxable in
come on the year for which the tax
applies"
Mr.. Carlson declared further that
his bill will benefit farmers, small
businessmen and others. He said
under present law many would have
to pay taxes on large incomes
earned in 1942-this year when
they have little or no income"
Disney Points to Needs.
Representative Disney, early In
his address, declared: This is no
time to forgive taxes when the
needs of the Government for money
are greater than they have ever been
in the history OF this Nation. When
there is more money in the country
to pay taxes than ever before"
Condemning further the idea of
forgiving taxes on 1912 incomes,
Representative Disney asserted
that the take" in personal income
taxes for the year would be ten
between lis and 135 billion dollars.
They say forgive it," he con-
tinued. But IT, say 1945 is year
Of only so billions income, the tax
would be less than four billion dol
lars-a loss in few years of five,
six or seven billions Of dollars to
the Nations Treasury.
Asserting Now let us get right
down to cases and see what this
brazen scheme does" Mr.. Disney
quoted figures in tax income brackets
on income of from IS 900 to IS ,000, 900
to show that a person who earned
the 5000 900 in 1912 would be ex-
cused from paying s4,374,000 in
taxes. He also gave figures to show
huge sums those in the other high
income brackets would be excused
from paying.
Sees Joker in Plan.
Continuing, Mr.. Disney said.
This Is Ruml forgiveness run
rampant. Nobody could escape for
I pivepeSe Adding later .rTyha Cop
gresham on his $4,000 salary
couldn't escape-he would simply be
compelled to forgive himself the near
| little sum of S2,152. The Congress-
men would get $4,000, two years
! income, and pay one years taxes,
S2,152"
Later in his speech Mr.. Disney
| added:
But the Joker, the card up the
jclo in, ho