The Key West citizen. [volume] (Key West, Fla.) 1879-current, 1954-01-21

deduction for '-actnal costs Of pro.
|yiding care for small children. /"
Working mothers whose husbands
are disabled would also set the
deduction. Eisenhower mentioned
10 dollar amounts.
5. Eisenhower proposed that i've
per cent Of income from dividends
be deducted for tax purposes this
year, 10 per cent next year and
is per cent the third year. Also.
this year the first $50 Of income
from dividends would be excused
from taxation, and ID years after
that, the first 800. The house
Ways and Means Committee has
already approved this.
s. The President proposed that
farmers be allowed to deduct up
to Is per cent Of their gross income
for sod conservation expenses.
Cooperation Taxes
Z. Corporation tax payments, IN
der . speed-up plan. by next year
will be paid entirely il the first
six months Of the year. Eisenhow.
Ter proposed they be gradually
worked back again to four equal
instalments in the four quarters
LOT the year.
Q. The corporation income tax
rate Of So per cent, scheduled to
drop TO a. per cent h April, should
be continued for q year, Eisenhow.
Ter said. And excise tsales) tax
rates scheduled to drop in April
should be continued. This includes
taxes on cigarettes. whiskey, wine,
beer, sports goods, automobiles
and gasoline. Eisenhower has
made the same request twice pre-.
Iviousiy.
3. Eisenhower also proposed to
lliberalize business depreciation al.
Ilowances and deductions for re.
search; let small corporations be
taxed as partnerships, or some
partnerships be taxed as corpora.
tons If that Is more advantageous
to them; simplify and define tax
laws on corporate reorganizations
and taxation of partnerships; and
let businessm e n offset losses
against taxes paid On profits two
years back instead Of one.
Simplificafion OF Code
10. In addition, the Presiden,
called for a general rewriting anC
simplification Of the vast, complex
federal tax code. The House Way.
and Means Committee Is at worl
lon that task.
Eisenhower's fiscal 1855 budget
predicted that spending would de.
cline $3.50, OOO, 900 under the cur
rent years level. OF this, $3.50,
600 or " per cent, was from ma.
tionai security programs. These
programs include direct military
costs, foreign military aid, atomic
energy and stockpiling Of strategic
or shortage materials.
Direct military costs were cut BIZ
I$3,975, zoo, OO0 sfrom the Sal, $50, 900
600 estimated for this year t.
So, 575, 100000 in the budget 70,
1855. Other national security pro.
grams, meanwhile, were budgeted
at $7,2Ss,oO,0 900 for fiscal 1855
compared with $7,170,0OO, 900 fol
fiscal 1854, a rise Of lis million
dollars. This reflected d rise Of 22s
million for atomic energy and d
IS million for military aid and !
decrease Of lS5 million for stock
Ipiling.
Army Bears Bruns
The Army absorbed the brunt d
the defense economizing. It's budg
ct sank from $14. tx, OOO, 900 for thi.
year to $l0,ls8,00 900 next yea
"a cut Of nearly 8 per cent. Tn.
Nays spending budget shranl
from $1l,300,00o.00 this year L
$40, 4oS, 100000 next years Gu,
Iof 2 per cent.
The Air Force was The gamer
It's spending budget went no from
SIS, 90. 900, 900 this year to an es
innate OF $l6,2OS, 100000 for the
year starting July 1. This wa.
an increase Of about 4 per cent.
Eisenhower predicted that az
ricultural price supports would
cost $l,i65, 100000 of fiscal 1855
some $2ss, 900, 900 less than est.
mated for this year, because, he