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Show Poge 4 The efficient production and marketing of Shuman Calls For Federal Tax Rebate Wtn rUXGKESS In order to increase local control of tax resources, taxpayers should be given a federal credit for state taxes paid, Charles B. Shuman, president of the American Farm Bureau Federation, said here. He addressed the annual convention cf IN THE SENATE OF THE UNITED STATES JttvrtT Mr. lmd iU witUwau the Illinois Association of Vocational Agriculture Teachers in the Illinois Union. With an amendment to the federal tax laws proposed by Farm Bureau, each taxpayer would deduct from his federal income tax payment the full amount paid to a state as sales and income taxes, Shuman explained. At the present time, state taxes can only be deducted from taxable Income in figuring federal Income tax liabilities. For example, if a taxpayer owed $2,000 in federal Income taxes, and his state income and sales taxes amounted to $500, the proposed credit would reduce his federal income tax payment to f approach pmiim affcrtiuK jindnnn of agricul- and for Be it twichd bif the Semite and Ilotue of Urprwirntrt-- 1 firi of tkt railed Stab of dwiri.ii m Coign dull lw known as : Thai this Act 4 Marketing Ail of lfH57. 5 ( I.KfHSLATlVE nMNMIl Nbc. 2. Agricultural w wmuthLd. the Agricultural Producer products OP rOl.lCT in the are produced tend throughout the various States of the Nation. J product in fresh or processed form move tax in large scat-- t Such part in the channel of interstate and foreign commeme, and such 1141 re- Its Aim Is To Assure - said. Caught between the pressures more services and the inflation-induce- d reduction in the value of tax dollars, state legislatures have taken the easy way out more federal aid, Shuman for said. The price paid by states for increased federal aid, Shuman said, is in the strings" attached The Marketing Rights Of Farmers designed to assure fanners their marketing rights by prohibiting unfair trade practices is picking up increasing support both in and out of Congress. The proposed legislation is known as the Agricultural Producers Marketing Act of 1967. The basic purpose of this proposal is to assist in the development of voluntary agricultural marketing programs by prohibiting unfair practices against producers by processors and other purchasers of farm products because of the farmers membership in or contract with a producers marketing association. Federal legislation to allocations. The federal control attached to federal grants to elementary and secondary schools is not a 'police control, nor are we told how to run our schools; it is more of an accommodation to the 'estab- lishment.' As in federal farm subsidy government aid acts like a narcotic drug. After a few the recipient is experiments, 'hooked' and rehabilitation is long and painful, if it is ever successful. We in agriculture have seen how federal farm programs distort production patterns, and delay adaptation to consumer needs. Similarly, federal aid to education, in many cases, distorts patterns of education," Shuman said. The farm leader commended vocational agriculture teachers for recognizing the changing trends in agriculture and adapting their programs to meet present and future needs. programs, handling, storing, or cessing agricultural products from producers or 2. Grading, packaging, propro- ducer associations. Contracting or negotiating contracts or other arrangements, written or oral, with producers or producer associations with respect to the production or marketing of any farm product. 4. Acting as agent or broker for a handler. 3. WtMtar Print) quires that tax money be sent to Washington for redistribution to the states. This would increase rather than reduce the dependence of the states on federal handouts. Such federal handouts could be reduced, eliminated, or made subject to new strings at any time. The Farm Bureau's tax credit proposal gives each state a prior claim on the tax resources of its own taxpayers and thus a greatly expanded opportunity to develop a revenue system based on its own needs. Taxation is the lifeblood of state and government local, leader national the farm national," declared to be the policy of Congress and the purpose of this Act to establish standards of fair practices required of handlers in their dealings with producers of agricultural products and their cooperative associations." handBy definition in the proposed legislation, a ler is any jierson engaged in the business or practice of: 1. Acquiring agricultural products from producers or producer associations for processing or is, therefore, sale. AND PHCULKATIOK 7 United States by many individual farmers and ranchers general sales tax, which accounted for 51.1 percent of the state's total tax revenues, Shuman said. Farm Bureau also favors increased deductions or tax credits to Individuals to help pay the costs of sending children to colleges and universities. Farm Bureau's tax credit recommendation has many advantages over proposals which would permit states to share" a portion of the income taxes collected by the the federal government, tax-shari- ng vimirol uufiiir trade I figures. This represents the taxes collected in Illinois from the The - commerce. tural products and imiriilinni nf swh producers, dlier irMies. dits would total nearly $623 million Federation president reported. Fnwlii .Vgrinikun-im- l JaMk Ihlwti) inlioYra( mm Md attend la tte ft A BILL Under this plan, taxpayers' crebased on 1965 Sir. iraJ fulloaiiiic bill; vfairli gether in coojjcrative organizations as authorized by law. Interference with this right is contrary to the public interest and adversely affects the free and orderly flow of goods in interstate and foreign It $1,500. in Illinois, 1iu 11,1967 Vr. ( agri- cultural products by farmers and ranchers is of vital concern to their welfare and to the general economy of the nation. Because agricultural products are produced by numerous individual farmers, the marketing and bargaining position of individual farmers will be toadversely affected unless they are free to band S. 109 lWT URBANA, ILLINOIS July, 1967 FARM BUREAU NEWS UTAH is embodied The proposed legislation in a Senate introduced by Senators George D. Aiken and Milton R. Frank J. Lausche mid-Mafive other senators D.) As of Young (R-had joined in sponsorship of the bill and 37 members of the House of Representatives had introduced bill (R-Vt.- (S. 109) (D-Ohio- ), N. ), y, companion bills. The need for the legislation is perhaps best explained in the proposed legislation itself: Agricultural products are produced in the United States by many individual farmers and ranchers scattered throughout the various slates of the nation. Such products in fresh or processed form move in large part in the channels of interstate and foreign commerce, and such products which do not move in these channels directly burden or affect interstate commerce. What practices of the handlers of farm products would be affected by the legislation? It would be unlawful for the handler or any employee or agent to engage in the following: 1. To interfere with or. restrain, or threaten to interfere with or restrain, by boycott, coercion, or any unfair or deceptive act or practice, any producer in the exercise of his right to join and belong to an association of producers. 2. To discriminate or threaten to discriminate against any producer with respect to price, quantity, quality, or other terms of purchase or acquisition of agricultural commodities because of his membership in or contract with a producers association. 3. To coerce or intimidate any producer or other person to breach, cancel, or otherwise terminate a membership agreement or marketing contract with a producers association. 4. To pay or loan money, give anything of value in excess of the true market value of any agricultural commodity which is being purchased, or offer any other inducement or reward to a producer for refusing to or ceasing to. belong to a producers association. 5. To make false rejiorts about the finances, or activities of producers associations management, or interfere by any deceptive act or practice with the efforts of such associations in carrying out their legitimate objectives. 6. To conspire, combine, agree, or arrange with any x.rson to do, or aid or abet the doing of, any ad made unlawful by this law. Docs this legislation force a producer to join a producer organization? No. This legislation does not in any way force a producer to join a producer organization. The legislation would, however, protect his right to join such an organization without being discriminated against or being fearful of discrimination by the purchaser of his products. Would this Act force purchasers to deal with marketing associations of producers? No. There is no such requirement in the legislation. It would only protect a producers right to join such a marketing association 'Without fear of licing unfairly treated because of his membership. |