Show I SENATE PASSES I H HAlF BIlliON TAX REDUCTION J Cut by Upper Upper Upper Up Up- per House Houie Now Must Mu Face Join Joint Conference IS INDORSED BY kt t. t VO VOTE E OF 58 TO 9 r Conferees Warned by Mellon Treasury V Will VilI P Not Stand Slashing r L 1 l Feb eb 13 AP Art AP J pat tor for a reduction Uon o of or nearly half hall a a. a billion dollars ollars In the annual 4 federal tax burden the sena sen sen- a o 0 p pissed passed the revenue measure late at night 58 53 to 9 Th Th cut cut made by the 1 note over tho the house bill must Un run run the Ire fire of ot conference between betwee J the two houses w which will the first of ot next week with a Ii view to final of ot the measure In to make the trec- trec f 1 tive with the he min films filing of first tax ic- ic turns on March 15 t Conferees are warned In advance r by S Secretary Mellon that the Ion ren muon of or the treasury will not permit permit pero per per- o mit of at the reduction carried car car- ned ried by the senate bill President t t 1 Is confident the conference conference confer confer- ence ence committee will bring brOng the total near r flear near enough to the proposed pro- pro PO posed d by the We house bill bUl to permit I him hin With safety to sign the mea mea- sure ure r. r Under present estimates of the he I treasury levies sufficient to yield p I m more re than Would be provided pr for lor by the senate senat must be restored to the tha bill bUI h MAJOR AJOR CHANGES Besides accepting all of or the re re- re proposed propOs d by the house th I sen senate te made these major changes 1 in in fl the bill rp I. I Repealed the inheritance tax Struck out the tax on admission and nd dues J v Eliminated the tax on passenger I automobiles t If r r v Ute tile capital tax t 1 put but ut increased tile the 12 2 2 1 per cern ceni i corporation tax 1 per cent f Cut from the surtaxes surtax s r 1 or incomes between and to T r I Reduced further the taxes oo on OD cigars P Final action by the senate senate came I suddenly alter after a bitter row among f I ft Democrats over the compromise made by the minority members of Vi the e committee with L t Cleans cans by which the 20 per cent F maximum surtax rate was agreed ito to in return for greater ion jOn he surtax rates applying on the the smaller Incomes r r. r j f Assailing th the le leaders of ot hi his party Senator Heed Reed Dent bern of or Missouri w declared they gained nothing I the trad trade and had in ett effect t surrendered sur rendered to Secretary Me Mellon 11 on 11 The declaration of ot the Missouri V J senator led to vehement replies by 1 Senator tor Simmons North C Carolina ranking Democrat I on the finance It f committee and Senator tor Glass Virginia Virginia Vir Vir- ginia a D Democratic secretary of ot I the treasury under Woodrow WIlI WIl WH 0 eon I I 1 Describing Mr l Mellon as al a a. merchant merchant merchant mer chant whose interests had reached Into every avenue of or trade andt and t fl commerce from flom manufacture of I 1 whisky to the manufacture of or aluminum S Senator Reed said J That rh t is the man who has won iW His light fight today silently shrewdly e r Iu without intermission of effort pressing press press- ress- ress J T. T ing on and on by insidious prot pro pro- f cees cess ees H He se seems ms to have hae undermined undermined undermined under under- t mined the conscience of ot He always did own the conscience Of or the Republicans The poor old Democratic mule is being led in by the ear and Mi Ms Melons Melon's hand holds the ear 2 ASSAILS DEMOCRATS o Senator Reed Heed declared that it the Democrats had hEtU stood by their principles of ot two years ago they w would uld have received enough support support sup sup- Nr port port again from Republican insurgents insurgents gents to have written this tax bill just as we Wrote the last two I c i. i bills He lie added that there were Ii no rio cowards among the I gents I i j I Vigorously defending the compro- compro 1 mise Senator Simmons declared the i per cent rate was a fair tail mum am in view of ot the additional cuts I made on the lower lowes' rates at tt th 3 Insistence of the Democrats I j This is more distinctively a n I Democratic Uc bill than eV even n the last i two revenue acts Senator Simmons Sim- Sim i mons said The Democrats got e everything they asked for tor and more I have no apologies to make J lie l shouted The country demands no apologies Neither have I 1 an any to make for not enterIng entering enter- enter I ing an at ment with the Insurgents insurgents gents on the other side of the aisle i T ever ver have ha I nor my mv party achieved such a victory as in this bill The public sentiment of or the country I ft stands by me and applauds the Vie vc- K tory of the Democratic party I ij Previously Senator Simmons in w M replying to a pro proposal osal by Senator r Norris Rep of Nebraska to Increase increase increase in- in crease crease the maximum surtax rate to 25 per cent told the senate he J was impell impelled d to tl yield his views on that subject S J. J GLASS CLASS TO RESUME I r b became came satisfied he said from the statements made to me me ne by the leader of ot the Democratic party on this side of or the chamber and by other othel members that a large percentage of Democratic votes were in favor lavor of ot not going above bove 20 per cent Congratulating Senator Sentor Simmons and the other oUter Democrats of or the fi finance II- II nance nanco Senator Glass ss said he did not think they bad had surrendered surrendered sur rendered I 1 dont don't think wo we are cowards he declared The Virginia senator said that some senators objected to of or one sort because they were not a party to them and yet demanded demanded demanded de de- de- de coalitions of or another kind The Tile Insurgents that in 1924 have returned to the fold tOld he continued Their bark baik was on the sea but it took them into the CoolIdge Coolidge Coolidge Cool- Cool idge and Mellon l port After these heated exchanges the Norris 2 25 per cent maximum surtax surtax sur str- tax amendment was voted down 44 to 22 with 15 Democrats and 20 Republicans standing for the 20 per percent percent percent cent compromise rate A last minute effort by administration administration admin admin- leaders to restore the tax on admissions and dues to the U bill blU failed on a vote of 40 to 27 21 14 Republicans Republicans Re Re- publicans joining the almost solid soUd Democratic lineup in the previous 36 to 34 vote of ot the senate for repeal of the tax Another vote on repeal of or the tle Inheritance in inheritance inheritance In- In tax found Cound the the senate di divIded divided divided di- di vided 40 to 23 23 In support of lt its former action in eliminating the levy |