The Daily Alaska empire. [volume] (Juneau, Alaska) 1926-1964, 1945-11-09
Secretary WILSON'S Plan to Begin
Reducing Taxes
est. Louis Star Times

The tone of Secretary Wilson'S tax relief program
enough to it of widespread support 1t calls
for the cutting out of taxes and the lowering
of others. After Is years during which the nations
tax bill scared to unprecedented levels the people are
going to acclaim this principle.
Vinson calls for repeal of the per cent normal
tax on individuals, which means the removal OF
100000 persons from the income tax rolls and the
lowering of the burden those who will continue to
be taxed their incomes. He would terminate by
July l. 1946, the high wartime excuses on rail, bus
and arpane tickets, fur coats, luggage, eWelry and
other so-called luxures and would eliminate entirely
the 95 per cent excess profits tax corporations
For practically everyone there is relief The
plan does coincide with the demands of Republican
tax leaders for 20 per cent across the board cut in
income eves but the equity of relieving the burden
of low-ncome citizens ahead of those better able to
pay certainly unassaable OF the II 900 persons
who would be removed from income tax rolls entirely,
there are many whose contributions are so small that
the amounts hardly balance the cost of collection.
The administration in effect proposes go back the
way we came-from time when only those of the
higher income levels paid any income tax at all
by cutting off the little taxpayer first.
The high excuses so-called luxury items have
been more burdensome to many persons during the
war than their Congressional authors may have
anticipated For large numbers of war workers and
others who have to travel lot, the railway tickets
and the luggage which they paid stiff taxes
in no luxuries The wartime levies in this area
will end automatically six months after the end of the
war emergency is proclaimed, but in view of the
uncertainty of that action, Congress may well consider
the necessity of fixing effective date
To those who believe Vinson does not go far
enough in relieving the people of wartime taxes the
answer obvious. III Wilson'S own words, I'VE cannot
liquidate great machine overnight" We must
proceed cautiously or the process of slowing down
will court disaster.
In all tax discussion there two important
factors First, we have huge war debt which we
should contue to white down rapidly as is COM
patble with the shape of our economy in the post
war years Tax income must remain high for that
reason. The Federal tax program also will have
important bearing on battle against initiation
Too many tax cuts in the wrong place, so long as
commodities are scarce, can raise havoc with price
structures by turning large volumes of money into
trade channels before they ready to take care OF it.
The fact of the matter is that not far
enough into the reconversion period to be certal~
of all the problems with which going to have
to cope For that reason any tax law revision now
must be- viewed primarily something to fit the
transition period. Long.range tax legislation can
wait until the pattern of our postwar economy is
more definitely fixed. AS transitional readjust-
ment the Vinson program probably goes as far we
dare to go for the time being. Congress would do
well to follow its general outlines and take a little
more time for studying the numerous far-reaching
programs which have been prepared in the past year
by public and private agencies-some of which are
genuinely interested in finding sound overall
policy but some OF which SAVIOR of attempts TO grind
the axes of special interests.