The Daily Alaska empire., 1947-03-25
NET INCOME TAX PASSED
 BY MAJORITY

The House of Representative. yesterday afternoon passed by large majority the net income ta' bill which had previously been re- jected in the Senate by a g. vote. The bill was introduced il the House on Saturday with thir' teen names attached to it and re- quiring no more support than that of its authors for passage. Al though it was generally conceded that the bill would pass the House the final vote was unexpected: 2l yeas, 2 nays, absent.
 Brought out by the Ways anc Means Committee yesterday morn ing with a three-way report-'DC pass" by Reps. McCutecheon, Ost and Egan; Do not pass" by Rep Maurice Johnson and without recommendation by Reps. Joy Hopes, Snider, Vukovich and D Anderson-the bill, labeled r. B IF, was considerably amended 1T second reading.
 The percentage of tax-paseo or payments to the Federal govern ment-was dropped from ten per cent to eight percent, and the tax credit for individuals who reside in the Territory was cut from $45 to $20
 Portions Eliminated
 Other amendments eliminatec from the bill the provision that five percent of total collections would go to the Tax Department for adminstrtive costs and a vic ious section that would have en- abled the Tax Commissioner to can eel the business license of any firm which became delinquent ir tax payments.
 The tax, under the terms of this bill, would go into effect on Apri l, next Tuesday, but the House did not vote on an emergency clause which would be necessary under the Organic Act, to put the proposed tax Act into effect be- fore 90 days have elapsed.
 The day this is supposed to gC into effect is April Fools Day, Rep. Hoopes pointed out.
 What effect the House approva of the net income tax measure might have on the Senate was tht subject of considerable discussion in the Legislature corridors yes terday, and while the majority be- lieved H. B. IF would run into 2 stone wall of at least eight solic votes, some held hope that the upper body's resistance might crack under the impact of tht approval given the bill in tht House.
 Rule Trouble
 The House, in common with tht Senate. was bothered with new Joint Rule 28 during most of the day This rule, adopted this ses- sion for the first time, provide. that no bills except revenue anc appropriation bills may be consid- cred after the Seth day, which was Sunday.
 This rule led to several contro- versies as to whether a bill comes under a revenue or appropriation classification if it makes an incl dental appropriation or if it amends revenue Act.
 The major battle over the appli- cation came, however, when Rep Barnett asked for a reconSidera- tion of his vote on H. B. l05 and Speaker Gill ruled that the time for such action had passed anc informed him that the bill hao been sent to the Governor.
 Under the new rule, the Speaker explained, there could be no con sideration of such bill after tn; Seth day When there was ob- jection to this belief, Rep Eng strom came to the Speakers de- fenSe.
 T am a member of the rules committee which drew up thi! rule" she said. "and it was fol the purpose of clearing the way for must legislation on the las four days of the session. heartily disapprove of these at tempts to nullify the rule"
 Rep McCutcheon appealed tht ruling of the chair, but Speaker