Show ZONE lUNE RATES RA TE TEON ON SECOND GlA CLASS MAil WIPED T Smoot Wins Tins Senate FightS Fight for New Postage S Affecting Periodicals ln in- in tt tI i s s1 rance Tax Is Approved j AT YX ASHINGTON Dec 19 By By 1 V adopting tho finance comI committee amendments amendment to the thc war revenue bill affecting second c class postage an and insurance in- in companies the Senate today cleared the thc ny for disposal of f the few other contested but important features Leaders remaining now have increased confidence of passing the bill before adjournment ron ron- day By a n. vote ote o of of 34 to 22 the Senate C approved the thc committee anen amendment proposing repeal next July 1 of the present zone system of class postage rates rales and nud substitution lution of f arate arate a arate rate of 1 cent per Cr pound within 15 miles and one and one-half one cents cuts be- be vond ond Most lost o of the day wa was wai spent pent In spirited spirit spirit- I ed discussion o of ot this amendment SPIrIt SPIrIt-I and andon on b Sc r ii r nn i i ff I i Was r f without a roll calL Insurance nat Rate Hatch Approved The So Sonata Senate ato also approved tho the committee committee com corn plan pIar for new rates on casualty lire fire marine and e other Insurance companies corn com om- om i panle panIs except life lIfo Insurance The new rates based on premium receipts aro are I respectively Fire Insurance o corn com com I panics 12 2 per cent casualty plate plata glass lass and similar I companies i H percent percent per cent and marino marine 1 per fler cent on In inland inland in- in land and 1 12 2 per cent cn t on export poll poll- poll 1 des Disposal of ot these and many minor and verbiage changes left virtually only tho the Income war ex excess ox- ox cess profits Inheritance and luxury ta tax sections to bo considered A A. substitute for tho the committees committee's bill proposing largo large ta tax Increases principally prin prin- principally on big and war excess profits was introduced late lato today by Senator La Folletto of ot Wisconsin Republican Re Re- publican who Is 15 expected to make a a. lengthy length address tomorrow In Its Us behal be- be half hal More Amendment Coming Senator Jones Joncs of or New Kew ew Mexico Democrat Democrat Dem Dem- plans to advocate ad an nn amen amendment ment to continue war profits taxation through h 1920 no and Senator Thomas of or Colorado Democrat is expected to propose propose pro pro- po pose e elimination of ot the Inheritance tax provisions with Senator Kenon of Iowa and others prepared red to urge reinsertion of or the 20 O per cent tax on luxuries Besides these questions th that t of or proscribing proscribing pro pro- scribing 1 1020 20 tax rates opposed b hy by Republicans Re Re- publicans remains for disposition Disposal of ot the second class clasI postage section today was regarded as removing ing lug a considerable obstacle from tho the bills bill's path Senators of oC Georgia and of or Tennessee Tf led tho the fight tight on the tho committee amendment nt which was waa defended b by Senator Smoot of or Utah Smoot Defends Defend Opponents char charged ed that e second cond class ss publications are granted a large larg argi government gov gov- mail mall subsidy while Senator Smoot declared tho the present zone system 58 tem tern tends to foster fosler undesirable sectionalism section an and would drive e many firms out of business II During tho the debate Senator Hitchcock hitchcock Hitch hitch- cock cocle Democrat of Nebraska and othar other oth oth- er cr vigorously attacked the postoffice and war ar departments department's man man- Continued on page fI 9 ti lONE RATES ON SECOND ClASS MAIL WIPED OUT Continued from page 1 1 a ement of or the military mall mail service lIe Ho charged char ed that tho breakdown of ot this system had h been and and declared the tho only explanation possible for It Jt was the rank Incompetency on tho the part lart of ot the thc two departments Senator Hitchcock said ald this thie was oven even worse than tho the breakdown In the tho matter matter mat mat- ter of or payment of ot allotments to sol sol- diets diers s Soldiers Soldier n Senator Democrat of or Colorado Colorado Colorado Colo Colo- rado defended tho the departments de declaring de- de de- de Glaring claring that th in man many cases the soldiers sol sol- diem diers had been at fault All things considered he said ald the service Benlee was not badI badI badI bad I did not think Interrupted Senator Senator Senator Sen Sen- ator Weeks Weeks- Republican of or Massachusetts Massa Massa- Massachusetts that any senator Benator had the temerity to apologize o for the military mall service vice What hat Senator Hitchcock Hitch Hitch- Hitchcock I cock said al Is quite true Senator Hitchcock interrupted to say that na m management of the tho military mall mail got so ao bad that tho the war department Itsel it itself It It- self sel took tool It over o from Crom the po torrIce department and now non the tho former ha had broken down tIo In Its management Information In Information In- In formation by received-hy him showed that tons of or mall addressed to soldiers were stacked up undelivered Vote Tote on Rates The Tho roll roB call on adoption of or tho the committee committee committee com com- dment 13 Democrats and antI 21 1 Republicans supported tho the new periodical rates rate with 16 15 Democrats and antI 7 Republicans In opposition as follows fol tol- follows tollo lo lows s 's For Tor adoption Dom Democrats Fletcher Democrats Fletcher Gerry Gerr Henderson Hender- Hender of oC New Mexico son con on Hitchcock Jones Kendrick Martin of or Virginia Pollock Simmons Smith o of Maryland Swanson an and underwood Total Total 13 13 Republicans Republicans Republicans-Borah Borah Calder l C er Dillingham Dilling- Dilling ham Fernald France Franco Harding Hardin Johnon Johnson Johnson John John- son on of ot California Jones of oC Washington Knox Lodge McLean McNary Mc- Mc ar 1 Nary Moses Pa Page e Penrose Poindexter ter Sherman Smoot Spencer and Weeks Total Total l. 21 Total for or- or 34 Against Democrats Johnson of South Dakota Kirby Mc- Mc rc- rc Kellar Martin Il of ot Kentucky Kentuck 7 Myers Nugent Shephard Smith of Arizona Thomas Trammell and Vardaman Total Total Total-lG Republicans Republicans Curtis Curtis Gronna Kellogg Kel Kel- I Kellogg ol- ol logg Kenyon Kenon Lafollette Norris and Total Total Total-T 7 Total against against 22 22 Withdrawn Senators Sterling of ot South Dakota Warren arren of ot Wyoming and Watson o of Indiana In Republicans voted for Cor th the committee amendment but because of or absent nt pairs withdrew their votes an and Senator Gay Gny of ot Louisiana DemoI Democrat Demo Demo- I crat announced ed that ho he was wan paired I and although unable to toot vote ote for tor the tho amendment favored Its Itu adoption The Tho I substitute bill which Senator will advance tomorrow proposes propones pro pro- poses pones mainly largely Increases In tho the war excess profits rates and Individual Income surtaxes In lieu llou of ot tho the bills bill's lov levy of oC 30 per nor cent on tho the excess of or corpora corporations t net Income Incense over oer credits and un under er 20 0 per cent of Invested capItal capital capital cap cap- ital Senator Lafollette's bill proposed 35 36 pot per cent on profits under 15 13 per cent of or Invested capital Instead of or tho the bills bill's tax tux of or GO CO por cent on profits In excess of 20 0 per cent tho the Wisconsin mem member er proposes a a. tax o of 60 per por cent centon on profits lJ between 16 15 an and 20 0 per cent and 70 iO per cent on over 20 per ler cent Corporation Retained Tho The substitute also alBO proposes pro- pro poses posca to retain tho the 12 13 por per cent tax on corporation Incomes but would cut the Individual ual normal rats latu from 13 12 to 1 3 1 per cent and secure tho the bulk of or Individual Individual individual Indi Indi- vidual income revenue from surtaxes In lieu of the tha th bills bill's surtaxes ranging In from 1 per cent on Incomes between and to 65 per pcr percent cent ent on those over er Senator Lafollette's substitute proposes graduated graduate surtaxes ranging from 5 G i per cent on incomes between between be be- tween and to 78 TS per cent centon centon centon on Incomes over o From individual Incomes Senator Lafollette La- La follette estimates that his bill would raise compared compare with estimated ted under the I pending measure Ho He made no call esti estimate mate of ot revenue re from his proposed In Increases Increases Increases In- In creases on war excess profits but in his recent minority report advocated securing about double the tho proposed b by tho the bill from that source In disposing of tho miscellaneous provisions pro toda today tho Senate adopted committee amendments to give 0 mutual Insurance companies the tho samo sarno tax privileges on net not income instead of or on policies issued i |