Show 1 Tax Suggestion Lion Il I 3 c T N RELATION to the he criticisms previously m made de of the prevailing IN I f employed the specially Especially regards pit tax system employed by government y as s incomes incomes and nd excess profits taxes the suggestion offered b by Otto r H. H KaJ Kahn 1 ahn n the New York financier that taxes be levied on expend expend- di f if tures i J ta hires res rather rather than upon upon incomes raises the question as to the the best methods which h might be employed in in working king out the d details tail of such a plan Undoubtedly an expenditure tax should be regulated with a aview aview view of imposing as small a tax as possible upon the smallest purchases pur- pur chases cha es of actual necessities and md the percentage of fax increased with a t I the extent of the purchases and ranging possibly from froma a 1 per percent cent tax on expenditures of 5 5 up to 20 WY or 2 25 per cent on those of or K It would seem that this form of taxation paid by the customer custo- custo mer would would be preferable to tax on m the turnover of any ay establish- establish T ment While the collection of a tax of the latter description would r lI t be a simple matter it would not make the desired desired distinction n bej ber be- be r j tw tween en small and large expenditures In addition it would appear to t to o consumers that they thY e merely were paying a higher cost for com corn Of course there now now is being imposed a tax upon luxuries r but there is not a variance in the perce percentage tage and with th the existing high prices on many commodities there is only a f faint int line of demarcation between some necess necessities ties and some luxuries while the imposition of taxes in such instances s is is pt pt to create in 3 1 the the mind of of the pur purchaser haser a suspicion as asto to whether the seller or the government is benefiting by the tax 7 4 Possibly the best plan that could be adopted adopt d in connection 1 with retail transactions and under a graduated scale of from 1 1 to c 25 per cent would be the cancellation of the necessary stamp in inthe the presence of the purchaser and which should be attached t to his receipted check or paid bill K Some less Jess laborious plan might be worked out but the essential l idea is the imposition of a a graduated tax fax th that t would d make an absolute lute distinction between necessities and luxuries t |