Evening star., 1944-01-19
Final Action Sought
By Bark|ey Today
On New Tax Measure
By the Associated Press.

Vn new lax measure
BY the Associated Press.
= Majority Leader Barkley ex-
pressed hope of completing SEN
ate action today on the $2,275,-
100000 tax bill, including contro-
versial proposals to revise the
War Contracts Renegotiation
Law.
A special meeting of the Finance
Committee was calltC to see If final
changes could be worked out which
would prove mutually satisfactory to
war agencies, the contractors sub
ject to renegotiation and to Con-
gress.
Only a few tag ends of contro-
versy remained to be settled in the
revenue sections of the bill, after a
lengthy session yesterday which saw
the Senate affirm House-approved
requirement that labor unions, farm
co-operatives and other such organi-
cations must file financial state
ments annually with the Treasury.
Clark Motion Rejected, 43 to "a.
The vote was 43 to "a against a
motion by Senator Clark, Democrat,
Of Missouri to strike out the pro-
viso. The Missourian contended
that the clause was written to get
information so the organizations,
now exempt, eventually could be
subjected to income taxes.
Senator Reynolds, Democrat, of
North Carolina contended that the
rank and file Of labor favors the
financial return clause SO they can
find out what is done with their
dues. Labor union leaders bitterly
opposed the provision, and the Sem
ator spent hours debating 1t yes
terday.
BY a standing vote another con-
troversial provision for a wartime
increase IN amusement admittance
taxes from 10 per cent to 20 per
cent was accepted. Senator Rever-
comb, Republican, Of West Virginia
gave notice, however, he will at
tempt today to restore the old rate,
so far as admittance to motion pic
ture theaters is concerned.
21 Republicans Favor Reports.
In the showdown on the financial
statement issue, % Democrats and
81 Republicans lined up against
Senator Clark's motion to strike the
section from the bill. Twenty-siX
Democrats, seven Republicans and
Senator La Toilette, Progressive, of
Wisconsin, voted for the motion.
A few minutes earlier, the Sena-
tors had rejected, so to 81, a pro-
posal by Senator Vandenberg, Re-
publican, of Michigan, which would
have called for the organizations to
file only one financial statement
and that one this year.
Senator Clark's argument that the
clause was intended to open the way
for taxation of unions, co-operatives
and other such groups was sup
ported in debate by Senators Tru-
man, Democrat, of Missouri and
La Toilette.
Senator Brewster, Republican, of
Maine, taking the other side, de-
clared that the unions have become
big businesses" engaging In poll
teal bargaining as we'll as collective
bargaining
Bailey Hits Union Demands.
Senator Bailey, Democrat, of North
Carolina, likewise strongly in favor
of retaining the provision, reviewed
recent labor disturbances including
the coal tie-up and railroad strike
vote.
We've given labor so much
power that this Government is now
in jeopardy" he said.
The time has come when we
must accept this challenge. The
time has come when we must say
to all concerned, You cannot
threaten your country in time of
war or be permitted to hold 1t up
at the point of a pistol"
He added he would vote for Con-
siderably stronger legislation If he
had the opportunity.
Chairman George of the Finance
Committee said he would be pleased
to make frequent tax returns. maybe
even one a week, if he was exempt
from paying taxes.
our-Installment Plan Approved.
In another action the Senate ac-
cepted an amendment by Senator
Walsh, Democrat, of New Jersey,
which would permit taxpayers to
paw in quarterly installmentS, this
wear and next, the unforgiven por-
ton of their 1912 income taxes.
Present law calls for payment in
two installments on March Is this
year and March Is, 1945.
In opposing the doubling of the
present tax on admittanceS to
amusements, Senator Mead. Demo-
crat, of New York said taxation
was driving the legitimate theater
and some competitive sports out
of existence.
Baseball leagues are going out
of existence, particularly in the
small cities" he said. 1--WE are
drying up these sources of taxes
when we should be encouraging
them"
Challenging the Treasury's esti-
mate that a 20 per cent admittance
tax would yield s135 100000 year
in added revenue, Senator Mead
contended the increase would re
duce the volume of taxes collected"
because many entertainment enter
prises would fold up.
Senator Vandenberg said the
manpower shortage was responsible
for the curtailment of professional
baseball and that the movies were
responsible for the legitimate thea
ter's decline, then added:
Public amusementS certainly
should stand a comparable burden
of taxes with industry.
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