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The Commoner
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Democratic Position
"on Revenue Bill
.(Below is a Btatoment of Senator Walsh of
Massachusetts, a Democratic minority member
of tho Senate Committee on Finance, sotting
forth his views in opposition to tho JRo.vonuo
Bill roportod to the United States Senate by the
Republican majority members of the that, corny
-mitteo. Tho viows expressed theieinf oxplain
tho objections which the minority members of
the Financo Gommitteo have to some of the
principal changes proposed in tho Revenue law. i
It also oxplains amendments wliidh Senator
Walsh has offered upon the floor of tho 'Senate ' '
providing for a radical change in tho majority t
t11 Iti tnnTiil nnonnflnt fnnfuvoa 1 " ' '' '
Mill ill uiwiij uonuiinui luukuiwi
Tho Revenue Tax Bill reported to the Sonato
by the Republican majority of tho Senate Fi
nanco Gommitteo is unsound, inequitable and
indofonsiblo. It retains and continues in tho
main, all tho annoying tand burdensome' income
and other tax provisions of the old War Revenue y
Bill. The people of the country want and araf
entitled to a peace plan taxation program. In-
dividual taxpayers and business have demanded
since tho end of the war a simple, direct' and
easily understood tax law to assist in br.itfgjnfc l
about a readjustment of business to normal r
conditions. Tho Republican majority of the Fi
nanco Comiriittee have not met this demand.
Tho bill, as reported by the Senate Finance Com
mittee, contains no now tux program. It is
merely an amendment to our war lax emergency
legislation. It will continue to subject our peo
ple to tho annoyance, uncertainties and burdens
of taxes that only war conditions justified,, .The. J
country must continue the worlc of readjusting'
and rehabilitating business under a system of
taxation in the main unchanged. To l$ft thoj
burden of taxation from those that are best
able to bear it has apparently been the sole
cpnslderatfon of the Republican majority.
Tho failure of tho House to take up the Rev
enue Bill immediately when congress convened ...
ilast April Is most regrettable. Had ,the House at
onco undertaken tho revision of our war "time
taxes Instead of the tariff, a new tax law could
have been enacted long ago, and possibly the
tax revision program could have been made ap
plicable to tho present year. The unnecessary
and inexcusable delay of congress to 'adopt a
new tax law has Been, in our opinion, a factor in
delaying the revival of business.
We believe, after this long delay that should
have been prevented, a change should be made
in tho entire system of taxation; but as mem
bers of the minority wo can only hope to suc
ceed, if at all, by concentrating all our efforts
in an endeavor on. tho floor of the Senate to
modify and change those important features of
.the Finance Committee bill which we deem to
bo most unfair and unjust.
Wo condemn tho majority plan which abol
ishes all excens profit taxes upon corporations
and the surtaxes of Individuals possessed of
wealth which-earn a.net income of over $66,000
annually, without also reducing in a like sub
stantial manner the tax burdens of that very
large and important class of tax payers who t e -not
within tho excess profit or high surtax
income tax classes. Therefore, we propose to
offer amendments to the majority bill provid
ing for a sweeping reduction In the normal in
come tax paid by those citizens who have' .n
incomv of loss than $1,5,000. To pass by with
out lowering tho taxf burdens of the 3,000,000
tax payors who have incomes of loss than $15,
0Q0, while drastic reductions are being made n
favor of those classes that pay high surtaxes
and excess profit taxes, is indefensible, The
great investment class, the unorganized middle
elpss, the home building class, indeed, the "bono
and sinew" of the country constitutes the class
ot taxpayers with incomes of less than $15, 000
yot, the Republican program has practically
eliminated from consideration this element of
pur population, except for small additional ex
" eroptions in tho lower surtax brackets and for
tho heads of families with less than $5,000 in
c$ne, which will only teduce tho tax bill In the
rqost favorable cases, where there are no chil
dren, not more than $20. While wo approve
Jhe raising of exemptions for the heads of
families from $2,000 to $2,500, we most strong
ly protest against any substantial changes in
tho rate of taxes ilxed during the war upon
spiral classes, of large financial Interests with-out-a"t
theTsame time .king a substantial re
duction in the.tax of tho class to which we have
just referred, namely, that class whose not' In
come is under $ 5,000. The plan which 'we in
tend to offer as a substitute for tho majority
report is briefly as follows:
Wo propose to radically cut tho normal tax
upon the individual's riot income as follows:
Taxpayers whose net Income (s less than $.6,
0d0 shall pay a normal tax of 2 per cent instead
or 4 per com on $,uuu, as proviueu m uio ive-
never will make .excess; profits to meet tw
change In favor of prpfithiak'ing corporation
We propose an entirely new corporation
plan. We believe that if every individual i
forced to pay a graduated tax on their incomni
it is only fair that corporations should also na
a graduated tax on, their incomes.;. If tho nrK
cinla of a Graduated tax .tin nrHviri,,i r,n
oi 'i pur cuuv un $'i,uvu, ubimuyauuu m uio uo- r--- - -- "vun incomes
publican majority bill; taxpayers whose net in- 1S sound, then wo contend the principle k
come is between $5,000 and $10,000 shall pay sound for corporations. We urge a tax of io
n. normal tax. of .4. .tier cont.on.ihe, excess, over,, . l?eJ ,CGnt on,.n& Wpmes of, all. cornor.it,
.-. . -. Ai..ft. Mfh rar vtr tnnrfct-r n T Mf i .- ' T WJW
$5,000 instead of 8 per cent on over $tvvv as :" . "Vr , D f :v 1U OAUess or $ioot
ZJ'k Z",:u incomes M
uvvpmt J.uu,yuu.uu HUpiiU,,wuu.UU; ZU per I
1-p.jj. mvii , dv wuiua uv uurpurauons in hi
fifiss nf $300,000.00. Tn nfVim ,i .... r
T ,... . .. uuuui iiuiun wn r iii
i-t. . . ' V 4'
net income
cent nn i,n
roceive the beriefit of loworin'g ty-ndrm'dl ta' S'A1 ', P' lpPeF ent ori the next $2001-
rt Tl VII - rvTi r -- . 4 IIJ. 1
wwv.uv, ttuu uu iiW mvu, uu an m excess. Tife
pr,oyiaea m ,ine liepuoncan majpnity , oiu. anu .
taxpayers ' wliioso income is betw6fen(; $10,000ih
and' lOOO shall pay a normal, tats 'of J 6 per cent'
A.
nn to S1K.000. Thin nlmncn that in nronosorl in
thrfVinrmrtl tnv'IfnoVi' ftiVkMriiVfrliisil WHoflfKri
understood by an illustration. . Under the Rev-
onue Bill reported by the Republican majority,
a taxpayer with a net income of $5,000 would
pay $120 under tho provisions of the amend
ment proposed by us, the tax would L,e $60: a
taxpayer whoso.
un.4er;
schedule will reduce the tax on the net incoml!
of 195,000 corporations upon which the Repub
lican majority bill increases the tax from 10 ner
cent to 15 per cent, while it Increases the tax on
only about 4,000 corporations wiiich iave a net
iiu;u,ui ujl more man 3uu.;;uuu.uu each ner vpir
nay.
tax of '& ifiOO-
whose net income is $15,000 would pay, under self-apparent. Experts" of the treasury infohn
tne senate majority bill, $1.040 under our UH lu UUB graauatea income tax which we phi
plan, $640. ., kA .. . .Ps? m ,HU of tye excess profits tax and the flat
'.Tills Change; Un j the tn;ofmal. tax propose b) -4f3l,ernt QPraoration income tax will yield to
us will reduce materially the, tax bills of' over tue treasury an amount substantially equal tb
three millions .of, tax .payers, .in strikine con- tIlat contained in the bill of tlie Renubllcan mrf-
.r i t . '. . .'! .w j i l
jonty. -
We believe olTr program is more equitable be
cause it provides that corporations like individ
uals of small incomes shall bear a less tax bW
densome than those corporations with large in-
t reaucing tne normal - .
to abput $l05,000;QpO, . ,T her modifications, andyebanges which
:ity have with one fell WG intend tb difer'itf the' "Senators4 substitute
ioi- rne KenuDiican majority bill will be an
riounced later.
BBYAN UPHOLDS BIBLE
Continued from Page 9 )
trast with the iUiciiiublicim pldiL jof cutting, in
addition to lowering the first surtax bracket,
the high surtaxes from taxpayers whose income
is over $66,000, Which affects not more than
5,000 of the wealthiest class. The loss to the
government by our plan, reducing the normal
income tax will amount, to nhrmt..&lnK nnn-nnn
yet the Republican majority have with one fell
bwuuij umninaiea me excess profit, taxes, and.
thereby reduced the' revenue Of the government'
$450,000,000. We repeat, there should be no
reduction of the substantial character proposed
by the Republican majority, leading to such tre
mendous reauctions in the needed revenue of
r:ifriiiHit-4iiiit-4 nn -,- w ,
the government in the interest of .excessive prof- . : e.&c thAtJ).Q, refused, tpaccept
t providing for a &'5eneta or unristianltyr " '""" '
it making corporations, without nrovinine-
just and. equitable, reduction to the individual-
wnose income is less than $15,000.
The second substantial Change to the Repub
lican majority bill which we advocate is the sub
stitution of an entirely new tax for the excess
profits tax and the 15 per cent levidd on all net
incomes of corporations. The effect of the Re
publican plan of abolishing excess jrofils taxes
(such taxes are onlylevied upon corporations
having profits in excess of 8 per cent on its capi
tal investment) and substituting an increase
from 10 per cent to 15- per cent in the tax upon
corporations incomes at this critical time, while
business is still stagnant, is unjustifiable and
can result only In increasing the presefit de
pressing and discouraging condition of busi
ness; it eliminates large tax, burdens from the
excess profit making corporations and transfers
for the most part these burdens to the non-excess
profit making corporations; it forces com
petitive, business "to pay the same tax as excess
profit making monopolies.
Und.er the Republican proposal every corpor
ation, whether making excess profits or not
must pay an increased tax on its net income'
The increased corporations income tax amounts'
tL VZuen' The RePublican bill doubles
the tax bill of every corporation having a net
income of less than 8 per cent on its capital in
vestment, and reduces very substantially the tax
upon corporations making profits in excess of 8
per cent on their invested capital. Those cor
porations Which arfi rtni X t,ti"u1f, co.r
?r??eSef8 Pr,?t.8 f8 soon as Rainess revives
soma.-of the
l' Bryan discussed. at. lAncth naiMvinJam oh
l "t ' l .TT 7w wo Vf A4-ftAkfAXA UUU
0 Chammons Of nvoltitinn Ho TrHnWI thh
contention of- the evolutionists that the light
waves came first and produced the eye and that
the sound waves brought out the ear. He said,
,rjcpulj, believe Jonah spent alUJhis life from
youth to death going in and out of the whale
before I could believe this." He declared he
was unwilling to replace the "Thus sayeth the
Lord" of the Bible by Darwin's "we may well
suppose' in pointing but that Darwin's" hy
pothesis was all pure speculation.
Addressing the university students, Mr. Bryan
declared he did not want professors to tell them
flcon that put the '.Arabian Nights,' to
shame.' "If you want fictioh, ' don't read
novels,"- he said, "take biology;" He said ho
way not objecting to science, .'But to guessing
in the name of science," , not-to, facts but to
guesses not supported by . facts." ' Professors
or preachers talking DarWiriisin o'ugh't to take
the mask off, asserted the speaker, and estab
lish schools of their own, but they flight not to
be permitted to poison,.the minds of the youth
ptttye nation in the institutions of ', higher learn
ing.. " . " 'v
yrhe evolutionists "Judge" ''iriari' by bruta
standards and shuts heaven against him," said
Mr. Bryan. He declared that those who were
teaching man was descended from -animals were
working irreparable harm.
One of the Scientific boys down at Washing-
f,ua wo ao not need to get alarmed abqut
i C i"""" ao buuu as Dusmess revives - r, imL "eea lo set aiarmeu auqut
55?i0f imraedlateJy and directly benefited ,faJiu?Lof the suPPIv of cotti;ob l6ss than a
w oer108?.corPorations that are certain of bo- ndth n ot Jt has G niihed in all the
mg obliged to strucGrlfi fnr n irr. ..j-x.uu years that 'nn iioVa aan iu.,- ti.o
before any reasonable profits are to be realized
" " ,,lJV uuJue"B increased.
We cannot accent tho thonw u V
can majority that justifies this rank discdminal
tion against the struggling, small proflSmakhX
corporations in favor of the exces's profit ma SI
corporations. No such inequitabld T tax was ex
acted even during the war when the government
was exer ing every possible mean ta S rev
enue, as is now proposed by the Republican mi
nority in desperation to meet the loss 5
revenue to the goyerament by ' abolishinJ
ono onnC08iwPj;ofltB tax' a losa of $450
000,000, which .amounts to one-seventh of
the entire tax to be raised under th
proposed revenue bill. A 50 per cent w
in,taxes is to be imposed upoS the incomes o?
corporations, many of wMch never SveaSd
years that men have been delving" into the
earth's depths. We hope the fait bari ho kept
.jr lium Uq Knowledge of the' dealers who
S anything anybody says about -the Supply of
coal to take another hitch in the price: suspend
er, 1,.
JF ? marriage ceremonies were necessary in
order to make sJuro that young-Leeds, multi
Sli naSe,'of Amca, wtts safely 'arid legally
IS? Prlncess Xenia of Greece "in view of
WiC'?each ceivod In the trader oho a titlo
rSz e otho.r fortune, it seemsthd't a lot of
nnnecessary trouble was entered intoi r
ni1111 oats Drmeff a third of a cent a pound
n??,;688.11??16111 ten cents 'a pounder there
'abouts, it is. easy to believe tliatMprotiteering
?? Iet been entirely eliminated from tho
r food stuff trade. ,
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