| Show Treasury Ex-Treasury Aid Asserts U. U S. S Can Reduce Taxes WASHINGTON April 24 INS John r-John ohn W. W V. V Hanes former undersecretary undersecretary under under- secretary of the treasury told congress congress con con- gress Thursday that the treasury surplus will be sufficiently large to provide effective taxpayer re relic relief relief re- re lic lief and to make at the same time substantial l reductions in the federal federal federal fed fed- eral deb debt Hanes now chairman of ot the board o of trustees of the tax foundation toun- toun dation app appeared ared b before Core the senate senate sen sen- ate finance committee to ag agath in In- In dorse dorsc the house approved G GOP 0 P measure cutting federal income to 30 The former treasury official declared declared de de- de- de dared his whole hearted support for the program of ot cutting spendIng spending spending spend spend- ing to the limit as voted by congress congress congress con con- gress of reducing taxes as proposed proposed proposed pro pro- posed by the house measure and of applying to debt reduction the surplus that will result there there- from U. U S. S Cut Hanes Himes called for a cut in the th high cost of th the government which he tic showed in a chart has risen 1 o from 1939 to 1947 7 AccordIng According Accord Accord- ing to Hanes Hanes' chart other increases during the tho same period were 70 for manufactured products 77 for clothing and 93 03 3 for food od If we really mean to go about aboul reducing the price level leveI leveland and can cancel cancel el out some of our wartime excesses then then lets let's begin at the point Where g government assistance can cane be e most effective Han Hanes s s said ld This Is in cutting the high hig cost of go government nt i itself elf which today Is s a basic element in every price I tag tag- and in every pay hourly-pay sched sched- ule Hanes said that the federal debis debt debt deb is now equivalent to per family whereas back in 1930 i iwas it was per family Denies Inflation I He declared that if it we cant can't re reduce reduce re- re duce this tax charge at a time when business activity is at the highest level in the nations nation's history history history his his- tory wo we know W perfectly well i it wont won't be reduced if It business u begins begins begins be be- gins to slacken and unemployment begins to mount Hanes denied that a tax reduction reduction reduction re re- re- re as proposed in the house bill would mean Inflation Uon He said Its lt's been a long long- longtime time limo since the government was even willing to think in terms of sub subordinating its wishes to citizen or taxpayer interests That time Um has now arrived arrived arrived ar ar- ar- ar rived and the quicker we face up to that fact the sooner our economy economy economy econ econ- omy omy will rest upon a substantial and permanent foundation There Will not be any more money in the aggregate to spend People will be spending their o own money for a change Instead o of having the government spend il it for them The tax foundation chairman again blasted high surtax rates which he said have sucked dry almost every available dollar that can be ob obtained from the higher Income groups groups He declared that the surtax rates long ago passed the point of diminishing returns and became in fact purely punitive levies against wealth as it is expressed ed in the form of Income or against the country's managerial capacity employed em- em employed to direct our industrial en- en |
