Show 1 HOUSE PASSES TAX BILL 93 f 93 f Administration i Program Wins I Goes to Senate Upper Body's Finance Committee Committe to egi Hearings Thursday Charges of f Steamroller Are Hurled v By y United Press WASHINGTON April Voting 29 Voting 29 Voting under close a control cont ol the house today swiftly passed the new nev tax bill and sent it to the senate for further c con con ns In the f face ce of R Republican steam roller oller cha charges and nd l stinging cr criticism voiced by bythe the U. U S. S Chamber of Commer Commerce tf now nov now in session here the here the house passed the bill in the exact exact- Pf form rm requested by the Dem Democratic t ti majority of ot the house ways and end means mean committee 4 The house vote was wa to 93 in favor o of the bill The bill however fell abort Sat of the revenue recommendations asked by President Roosevelt March Mardi 3 to to restore the budget to the b balance achieved before supreme co court zt in bi invalidation validation of the A A A and co congressional con con- gressional authorization of immediate immedi ate soldier bonus payment Tomorrow the senate finance committee begins open hearing on the bill Major changes may be ba made although consideration I ia 1 ex to be speeded in the interest st of ot early adjournment Far Reaching Revision The tax bill provides a far r reach far achs ing revision of the present system of corporate taxes designed to yield In the tho place of ofa a a graduated graduated grad tax ranging up to 15 per cent it substitutes heavy levies on COi t cor-t intended to force them to pay out profits in the form of divi The Th dividends f then are taxed un under der n normal And surtax rates tes on in individual dual Incomes It also carried d 11 a windfall tax on unpaid processing pro c go taxes intended to yield about 1004 and temporary continuation of the capital stock and excess excess' profits tax to yield ld The corporate tax change was the chief point of the chamber of ot c com commerce coin in merce attack Republican criticism was directed li both at the corporate tax plan itself it if s self lt and the tactics o of the majority in rushing the bill through the house Unable to Offer After 16 hours of ot general debate the page bill w was wa rea read f for amendment so rapidly that some zonie members with proposed amendments amendments amend ments menta were unable to offer their suggested changes The only amendments amend ments accepted by the house were three sponsored by the ways and means committee and designed primarily manly marily to guarantee that the bill yielded as u much revenue as was e es es- es While the senate finance commit tee ee t takes kes up the bill in public hear hear- Ings beginning tomorrow the house hOWle will vill turn to completion of its leg leg- calendar This includes the tho navy supply bill and the relief-deficiency relief JIle mea mea- sure Administration strategy on the tax bill in the senate s nate was not revealed although it was reported Pre President Roosevelt was not convinced it ft would meet his bis demands for 2 in new revenue over the next three years to finance farm relief and bonus payments en Scope limited Chairman Pat Harrison of tho the senate enate finance committee administration admin admin- said tho the copo copo of hearings would be limited to the presIdents presIdent's tax budget-tax proposals One ne of those proposals is for n new y processIng taxes left lett out by the house louse committee Secretary tary of tho the Treasury Henr Henry Jr whose failure to testify at house hearings drew Republican Re Re- publican criticism and Internal Revenue Rev Rev- nue Commissioner Guy T. T Helvering Hel Hel- vering are to to tobe be the first senate committee witnesses House action came caine almost two months after tho the president made his ils new revenue request t to It t was premised on the th fact his budget balancing plans had become skew due to the court de decision decision de- de cislon invalidating the A A A and lint that sat congress had approved lato diate cash payment of ot the soldiers soldiers' rs' rs bonus onus S. S In his message of March 3 S Mr r. r Roosevelt estimated new revenues o of f would be needed to Ito tomake tomake make up tho the A A A program deficit Continued on pace pase Two Column Six 0 HOUSE PASSES NEW TAX BILL from Tic Pegs Ont One and annually to finance the bonus bonds bond and the permanent soil conservation program Bill BUI as RS Approved As Ai the bill goes to the senate It calls caUs for 1 A graduated ted corporate surplus surplus surplus sur sur- plus tax designed to push out In increased divi divI- The more earnings a corporation corporation cor cor- corI I puts into reserves under the plan the higher tax paid 2 Treatment of dividend Income Income in income In- In come b by individuals under normal as well as surtax rates From this source come the actual revenue evenue from surplus surplus sur sur- plus tax 3 A windfall tax to pull into the treasury of an estimated es- es of tied up processing taxes The Tho tax will willI I J come from processors holding processing tax funds unable to show how they absorbed the levy 4 A special 15 per cent corI corporate cor- cor I Income tax rate on banks and Insurance companies Instead of ot the graduated rates 1 f G. G j. j A provision for tor of refunds in floor stock tock taxes 6 Continuance of the excess pr profits ms tax for this taxable year and the capital stock tax rate rato cut cutIn cut in half until June Juno 30 Other corporate taxes under present law Jaw immediately repealed |