Evening star., 1951-10-17

yesterday when it rejected, 203
to 157. compromise $5.7 billion
tax bill. Chairman Doughton of
the House Ways and Means Com
mittee took the only course left
to him by asking the Senate for
a new conference.
Following a closed meeting this
morning. Chairman George of the
Senate Finance Committee made
no immediate announcement. 1t
was learned, however, that the
Senators decided to appoint new
conferees and prepare for a new
effort to work out satisfactory
compromise.
The Senate will have to agree
to this course before the con-
ferees can meet.
Even if the Senator'S are willing
to tackle a revision of the re-
jected bill, they will have a hard
time figuring out what changes
would meet House approval.
The reason for this uncertainty
is that the House leadership was
upset yesterday by an unusual
coalition of conservative Repub-
licans, who want no more taxes,
and liberal Democrats who want
bill placing more of the new
burden on corporations and high
bracket individuals.
Rebels" Surprised.
Some of the House members
who engineered the revolt were
as surprised at their own success
as were administration leaders.
One high-ranking House official
told reporters at noon yesterday
the tax agreement would be on
its way to the Senate by 1880 in
the afternoon.
When the roll was called 139
Republicans and "a Democrats
voted mo" on the bill. with only
122 Democrats. "a Republicans
and one Independent supporting
the compromise measure. It was
not the customary coalition of
Republicans and Southern Demo-
Gratis. It was the Northern and
big-city Democrats who were off
the reservation this time.
Some members of Congress had
already gone home, anticipating
adjournment of the session Sat-
urday until January 3. Leaders
appeared to have only two courses
open today: Forget about adjourn
ment for the present, or recess
while the conferees reach a new
agreement.
Budget Pressing.
Senate Democratic Leader Nc
Farland of Arizona said that if the
conferees fail to agree promptly
I'VE are not going to sit around
Indefinitely waiting for them"
Some way out of the dilemma
VIII have to be found, in view of
the budget picture. Even if the
$5.7 billion bill goes through, it
will fall far short of meeting
Government expenses for the cur
rent year. Without any bill, the
Treasury would face serious prob
lens.
Government spending for the
year ending June 80 is expected to
total somewhere between $68 and
$40 billion. The new tax bill
would have brought income for
June 80 up to only $63.7 billion.
Tor a deficit of 81 and S6 billion.
In a full year of operation, the
new bill would raise Treasury re-
ceiptS to SGT billion.
Senator George said last night
the bill the House turned down is
as good a bill as it will get" and
the ranking Republican on tax
Senator Millikin of Colo
rado, echoed those sentiments.
Representative Mills, Democrat.
OF Arkansas. a House conferee
observed it would be difficult to
write bill that would satisfy a
man who doesn't want to vote for
a tax bill.
Republicans who spoke and
voted against the bill yesterday
argued that taxes are high enough.
ana that the administration
should cut down it's spending. This
thought was reflected in the COM
nent OF House Republican Leader
Martin, who said there is no use
n bringing another bill back .'be-
cause the House just won't pass
,ne."
There were others, however, who
'nought that. with a few changes
n the conference agreement, the
(Caa TAyrcS