The Key West citizen. [volume] (Key West, Fla.) 1879-current, 1953-05-20
This And Four Other
Tax Steps Are Listed
In Presidents Talk
By CHARLES :. BARRETT

the excess profits tax on corpo.
cations for another six months.
The President outlined this and
four other tax steps in his nation.
wide radio speech last night. He
snt1ffed out hope for immediate
tax cuts and called instead for
continued high revenues to keep
ssotlr nation secure and our dollar
sound in an age Of danger "
His plea brought a mixed and
wary reaction ia Congress. Some
leaders said the outcome appears
1n doubt, but that Eisenhower
might get what be asked for after
. tough fight. Detailed recommen-
datiOns will be sent to Congress
shortly, perhaps today.
The President requested q six.
znonth extension Of the excess
profits tax, now scheduled to die
ID exactly six weeks. And he asked
Congress to repeal cuts Of three
billion dollars ii regular corpora.
ton income taxes and excise
eaaiesl taxes on scores Of items
which are scheduled to take effect
automatically next March 81.
He spoke strongly against 4 drive
s. the House to cut personal in-
come taxes 10 per cent starting
July /. He called instead for letting
Tie 80 per cent rate cut take effect
Jan. as scheduled under present
gaw
The President offered to foreg0
0ne minor tax increase. He pro-
posed To keep social security taxes
at the present rate Of W per cent
81 pagroIls on both individuals and
employers. Present laws call for 3
etepup to per cent for both
Rroups Jan. i. Since social secur-
III taxes are levied on only the
first $500 Of income, this would
benefit 4 worker no more than
SIS 3 year.
His overall program would pro-
vide an additional billion dollars
81 revenue for the year starting
July /, but still leave an estimated
defleit 81 about SIS billion dollars
.fcr tie first fun fiscal year Of his
administration.
Eisenhower said Nj would cut &c
least rs billions from TIE spend.
ing plans left hy Iarn6r President
Truman.
r TIE tax rates the President
proposed are maintained they
would provide 2ls Is s billion Il
lars moro than present laws for
the fiscal year starting g mix 1854
the year his administK ton plans
so attain what Eisenhower called
vital" goal oi balanced bud
Re
immediate tSx reductions would
increase and prOlong federal def
eits and thus bring more imitation,
he cautioned.
And Tint he said, would cheat
every family ID America. Il would
strike most cruelty q the poorest
among us.
The President said bis admins.
tration regards present taxes as
too high, but that RUssia remains
. threat d al freedom and that
Ne believes 10 citizen wants any
ar saving a. the Price a. essential
national security
Against the backdrOp 81 that
nppea q nglt shaped 40 immed-
lately over the excess profits tax
proposal. And other points seemed
certain 70 stir 4 storm 81 opposi.
ti0a q they come up for action.
Senate Republican Leader TAN
q Ohio, who reluctantly supports
an exisnsisn of ne tex. expressed
doubt The House would ~ aIone.
g the House. opposition centered
u ne powerful ways aud means
committee. the group that starts.
all tax hills through Congress. The
proposed extension promptly drew
4IFe frcm Committee Chairman
Daniel A. Reed tR.llY who has
Sepeatsdly vowed the levy never
vii &c extended
And. IS Reed put II when /
uehtI fight
Az Is Republicans on he CON.
mites. n / private eaucus, already
have lined up against "a extension.
WAather any could Be persuaded
- change Bis position remained to.
Dc seen Republican members said
Il doubtful Il q Reed vim per.
init ne proposal Is come up. and
CD any committee Republican can
~ found d sponsor II
House Speaker Ioseph n. Mar.
Din -MaSSl and Majority Leader
Halleck tK.Indl, WIN have opposed
ne Tax ii the past promised
1ghk - put over ne PreSident,s
prNgraIn. They limited Il ne ways
an1 means committee vent turn
cut Ne hill, they might resort d
rare and drastic parliamentary
maneuyers u bypass he cOmnll.
lae
tlns other possibility although 4
remote one. WAS that the Seaate
mighl tack an exsenSion onto i
miner House PASSED bin dealing
Vlsh District If Columbia taxes.