Evening star., 1949-05-13
Senate Draws Near Vote
On Sales Tax for District
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newspapers. since the bill other
wise exempts all items selling for
less than 14scents.
When the South Carolinian first
suggested this amendment, Sen
ator McGrath quickly reminded
him that, such q change would
affect the subscribers Of paper
and not the paper itself, because
the sales tax would have to be
paid by the buyer and not the
seller.
On this point, Senator McGrath
also reminded sales tax opponents
that the newspapers, like any one
else, already would be required TO
pay the sales tax on anything they
buy, including paper, type and all
lother things required for news
paper publication
Early Vote in Prospect.
The Stars editorial took issue
with the minority report on the
Tax Bill and Questioned the ac-
Icuracy@ cf ethiss sgrUVpss statement
on the Districts standing as to
the per capita tax burden. Dur
ing debate over these subjects,
Senators Johnston and Morse
voiced agreement that there ought
to be higher taxes on news
papers"
4 vote on this amendment was
Expected fairly early In today's
action. Senator Johnston and
other nsales levy opponents also
have pending several other amend
ments proposing higher income.
real estate and liquor taxes. and
one calling for heavy increase
Ia the Federal payment.
The District today would not be
In It's critical financial predica-
ment, Senator Cain said. If the
sales tax plan passed last year by
the House had not failed Of action
by the Senate.
Detailing the $18.000,000 deficit
now faced by the city. the WASH
ington Senator said the last years
bill would have produced an addi-
tional s19.500.000 by the end OF
the 1850 fiscal year.
Because that bill failed, how
ever. the "evn and sad conse-
quences" now are readily appar-
ent. Senator Cain said. He listed
the lack Of any funds for any new
school building projects In the
pending 1850 appropriation. "al-
though the tStrayer) school sur
vey that Congress ordered showed
that hundreds Of children are not
getting proper education"
Speaking of the cost-of- Living
pay raise that $4,000 city employees
still are awaiting, Senator Cain
said many of them had become
"disheartened. discouraged and
UNDERSTANDABLE bitter" while going
without q pay raise that Federal
workers already have won.
This. he said, has caused the
District increasing difficulties in
recruiting employees to fill gaps In
the Districts force.
Persons on the District relief
rolls are suffering from the sshort-
age In District financing, he said,
being forced TO subsist on 1916
cost levels, despite higher prices.
Says D. C. Would KIN II.
Senator Morse, In q dramatic
attack against the sales tax and
other features Of the bill, linked
the measure to taxation without
representation" and said District
residents would reject the sales
levy. If they had chance to vote
on IL.
Congress doesn't dare let 1t go
TO q referendum" he declared.
because the sponsors know they
wouldn't have the slightest chance
TO get by with 1t"
Pressure for the sales tax has
been primarily q Democratic
pressure, Senator Morse said. "re-
gardless Of the Democratic pro-
fession Of being the protector Of
the little fellow"
Senator Morse. supporting the
Senate District Committee minor
lity report. said the Federal pay
ment ought to be increased. be-
cause the United States now Is
mot carrying its full Load: that
the property tax rate should be
boosted by more than is cents be-
cause both the realty rate and the
realty assessments are. too low.
and that the personal income tar
should be broadened with nearly
doubled rates and with no increase
in the basic exemption.
Calls for d. C. Vote.
He said District residents
should be given the vote and b
allowed 70 run their own govern
lment and Ia determine what the
ltax structure ought to be.
Senator F]anderS reiterated his
belief that the District real estate
rate should be increased. A. thu
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