Salt Lake Telegram | 1934-04-04 | Page 1 | Capital Stock Levy Approved

CAPITAL STOCK LEVY APPROVED New Tax New Tax on Corporations Expected to Bring 95 a Year WASHINGTON April 4 The W-The senate Wednesday app approved oved without debate a tax x of tenth one of oC 1 per cent centon centon on the capital stock of f corporations designed to ra raIse sQ an estimated a year A ActIng t ng speedily on on the revenue bill the senate gave approval to a long list of fInance committe provisions In eluding one levying a big surtax on improperly accumulated acc surpluses of corporations The additional tax would be 25 per pel percent cent on adjusted net i income come under and ond 35 per cent on ex cx- cess eess of The senate voted to retain a provision provision pro pro- vision subjecting to taxation th the anticipated on an- income from annuities The proposal would require annuitants nn an- as soon as p payments begin to them to report as income an amount equal to 3 per tent ent or of the aggregate ago ag premium paid on the annuity The senate then a credit of 10 per cent on all earned income up to as against In the house bill Tentative approval was given a pro pro- vision to prevent ux tax avoidance through reorganizations to save the government an estimated Two provisions approved would consolidate law offices in the treasury under one general counsel with six assistants all at a year ear and subject sub sub- to senate confirmation and au authorize appointment of five new assistants as to the secretary at each Senators King D D. Utah and McKellar Me- Me Kellar D D. Tenn to cut the salaries in each group croup to Efforts In the senate to require full on PAce Three CAPITAL STOCK LEVY APPROVED New Tax on Corporations Expected to Bring 95 95 a Year from Page Pase One publicity for all income tax returns are arc destined for failure re Democratic managers of the tax bill biB predicted Wednesday In the belief belie that full publicity I would minimize tax dodging Senator La Follette B. B R. R Wis who has several amendments pendinG to boost income and other levies has indicated he might propose a publicity amend amend- ment It would be similar to that approved approved ap- ap proved by the senate during consid cration o of the industrial recovery act The first amendment set for the s senate mate vote Wednesday was one by Senator Herbert R. R R. R I. I to restore the existing law regarding taxation annuities which requires no tax until the entire principal has been paid back to the annuitant and the interest crest begins