Evening star. [volume] (Washington, D.C.) 1854-1972, 1956-02-12
Estimates of New
Revenue Differed
By $751; Million
BY HAROLD B. ROGERS

tlonal revenue estimated TO come
from pending new city income
tax legislation.
The report has been requested
to justify the recent prediction
of the congressional group that
the pending income tax provi-
sion would produce about $8.7
million more than the District
Commissioners estimate.
When the report is received by
William N. Mcleod, jr., District
committee. clerk, he will turn it
over to Chairman Smith of the
House District Fiscal Affairs
Subcommittee. This subcommit-
tee is considering the Commits
sioners' pending bill to raise
more than $40 million in taxes
to help the city out of its finan-
Icial crisis.
affairs subcommittee from both
House and Senate District Com
mittees which had been sched-
uled for tomorrow has been
postponed because of difference
over the income tax estimates.
But no new date has yet been
! fixed.
I To Get Report First
| Chairman Smith of the House
subcommittee, who also is act
ing as chairman of the joint
fiscal committee will be given
the report from the Congress
sional Joint Committee on In
Iternal Revenue Taxation for
study before another session is
scheduled.
One of the details understood
to have been under study over
the week end by the internal
revenue group involves the es-
innate of new income from de-
Icreasing income tax exemptions
Of District taxpayers.
In an earlier estimate the
Joint Congressional committee
predicted that the personal de-
crease based on approximately
S., 900 taxable returns would re-
suit in about SAL million.
The joint fiscal group has been
hoping for more new revenue
from income taxes, so that the
10 per cent sales tax, for one
thing, would not have to be
extended to admissions to ems
tertainment and local telephone.
calls.
Other Proposals Noted
The commissioners bill also
had proposed a 50 million in
crease in the Federal Payment
to the District. raising it to 500
million. Members Of the joint
fiscal subcommittee virtually had
agreed to this. Other tax pro-
posals would increase the levies
on liquor. wine and beer, and
lower the present exemption ON
food sold for on premises con-
sumption.
Meantime. House and Senate
conferees this week will be called
upon to decide how much money
will be appropriated by Congress
to pay for the May / election
here, where voters will cast their
ballots for delegates to the Re-
publican and Democratic ma
tional conventions this summer.
The House first voted $43, 500
for this purpose. The Senate cut
the figure to $40, 900 when it sent
the urgent deficiency bill back
to the House. The House prob
ably will send the measure to
conference when it meets after
a long week end Tuesday noon.
A compromise figure somewhere
between the two different YER
sionS may be reached by the
House-Senate conferees.
Meantime, a proposed appro-
Ipriation of $4,5 million stricken
by the Senate from the de-
flciency bill Friday will be intro
iduced in new bill in the Senate
to buy a square and a half Of
land to increase the Capitol
Grounds near the Senate Office
Building.
Raised Point of Order
The item was stricken from
the appropriation measure on a
point of order by Senator Ellen
der, Democrat of Louisiana. be-
cause it was legislation in an APP
preparation bill. Senator Hayden.
Democrat of Arizona, promised
to introduce the item in a reg
ular legislative bill to be re-
ferred to the appropriate COM
nittee. probably the one ham
ding public works.
The Senate District Commit
tee has several District nornina.
lions before it for consideration,
but because of the pressure Of
other important city legislation,
probably will not get around to
hearings on any. of them this
week. Heaviest problems before
the Senate group are the city's
transit difficulties. and new rev.
enue bill.
Also likely to go over to a fu-
ture week is the controversial
so-called family court bill. This
measure to transfer domestic re-
lations cases from United States
District Court to a branch of
Municipal Court had been passed
first by the Senate, later by the
House in different forms.
The measure now is on the
Vice Presidents desk in the Sem
ate. awaiting a recommendation
from the Senate District Com
mittee. Because of differences
between the House and Senate
versions, it is expected the meas
ure later will be sent to a con-
ference committee to resolve the
differences.