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Show FEDERAL AUTO TAX IS M PROPOSED Double Tax on Makers Would Drive Many Out of Business, Report. FAR REACHING EFFECT Automobile Manufacturers Would Then Pay More Than Other Industries. While placing- themselves strongly on record in their desire to pay their full and fair proportion of the government's expenses with taxes as applied to all industries, in-dustries, the manufacturers of automobiles automo-biles are naturally opposed to any double tax such as that suggested by committees in congress involving- an additional tax of 5 per cent on the price of automobiles ind trucks, according to a report from the National Automobile Chamber of Commerce. The report says: The motor-car industry has suffered since the war declaration and because of the higrh cost of materials and labor. la-bor. If, in addition to this, there is a further tax at the factories, it will be a very heavy burden for the industry to earrv. There is a grave error in Judging the prosperity of the business by the great success of a few. As 40 per cent of automobiles are now used by farmers, and many others by doctors." salesmen and others for business purposes, the automobile cannot be considered primarily an article of luxury. To show the competition In the trade, it is noted that there have been more than TOO failures of motor vehicle makers during the past six yearsa mortality unequaled by any other industry. The difficult side of the industry 'lias been overshadowed by the remarkable strides of a few of lite verv his; makers. It is declared that the proposed federal fed-eral tax would be a double tax on motor-car making, and. or course, would affect the industry most seri-ouslv, seri-ouslv, partlcularlv the small makers. Very few of the 4o0 manufacturers in the trade are making to exceed li per cent profit on their turnover. A 5 per cent tax on sales would take five-twelfths of the profit, or 41.6 per cent. In many cases it would take all of the profits of some of the companies, com-panies, and in cases of others would involve a loss. The proposed tax would cripple a business in which are interested 450 complete vehicle makers, 1000 manufacturers of bodies, parts and accessories, 25,?L'4 dealers, thousands of garage owners and 2:u-J exclusive supply houses throughout the covin try. . Probablv no other article of manufacture manu-facture so generally affects other in-dctries. in-dctries. Its production requires large quantities of such materials as teel cooper, brass, aluminum, leather, wood, paint, cotton, wool, curled hair, rubber, glass, etc, and the labor of scores of skilled workmen work-men In various trades |