The Waterbury Democrat., 1946-07-01
|Merry-G o-Round

WASHINGTON July 1.-The nations new money chief, John Snyder, now has chance to show that he is not the bosom pal of big business that his critics say he is Tax experts claim he save four five billion dollars for the United States Treasury with simple move.
 Juciest gravy in the current tax legislation is the continuance of the carry of unused excess prof it's credit. The Senate Finance Committee, always friendly to big business, not only knocked out the profits tax last year but retained carry-back refunds. This permits corporations whose current earnings do not approximately match their 1936-1939 earnings, to claim adjustments in their l946 tax payments.
 This is one reason some firms didn't worry too much about prolonged strikes. General Motors alone will probably hit the Treasury for refund of 80 million dollars. To head off this drain the Treas ury, Rep Cleveland Bailey of Clarksburg w. Va, Democrat, introduced bill last January to repeal the carry-back provisions. On January g, the House Ways and Means Committee asked the Treasury for report.
 However, no report is forthcoming yet Nor is there any sign that it will be made by the time Congress adjourns. Somebody in the Treasury has been sitting his hands.
 Last week impatient Rep Wilbur Mills of Ar kansas, Democrat, proposed that Congress act inde pendently without waiting for the Treasury report. He pointed out that large credits be claimed by corporations which actually make more money this year than they did in any of the years from 1886 to 1889, simply because their capital investment is now larger.
 
 taking advantage of this loophole, and result the taxpayer foots the bill for the expansion of private industries. He also listed a long series of abuses and transactions which will doubt be resorted to in order to create carry-back refunds tax cred it's
 Congressional tax experts think there is chance that repeal of the carryback provision might be put through this year-if the Treasury sends up strong report recommending it. That is where new Secre tary of the Treasury Snyder has his big chance to show he is not always the pal of big business
 If you happen to be sitting at dinner anywhere near exSecretary of War Pat Hurley of Washington, Oklahoma and New Mexico, you have to be careful. You never can tell just what's going to happen.
 At least that's the testimony of guests at stag dinner attended by Hurley, Senator Burt Wheeler, ex-Attorney General Homer Cummings and Warren Lee Pierson some time ago. They still talking about it.
 Nothing happened until the middle of the meal, then Pierson. former head of the Export Import Bank president of the Radio Corporation of America, made grnning reference to the old mule skinner in their midst Hurley, who once drove mule in an Oklahoma mine and usually goes out of the way to boast about it. suddenly dropped his knife and fork and beloved:
 T heard that crack you made about and I'm getting tired of your insinuations. Everybody knows what you think of me. Sure, used to be mule skinner Do you want make something of it?"
 The nonplused Pierson tried to explain that he meant nothing by the remark but only Kidding.