Show - — ' ' – - 0 ' ' ' '''' 00 1 '' — - The Weather -4" Utah—Partly' cloudy Saturday little temperature echange - - t ' - Idaho—Cloudy with rain or - 4 ' Dotallpoll lloptort on a 11 ti anow smith snow north' portion ' Saturday and Sunday - iliv ) dopr-- rite" 31) ' Vol 112 NO 96 ' Seilaté Bills IContracto rs Meet Carry Maw WEI A Role Raps Tax Reforms t1 - ai II t " Passed a Tsolution approving tothign policy of the national government and received nine new bills including one placing all legal work of state departments and institutions In attorney generals office and another amending Utah labor relatiorui act Adjourned to 9:30 a-- Tn Mon-- : day for broadcast on inaugural and 2 p In- - for regular bust' ' Item Four tax bills designed to Carry out recommendations made by Governor Herbert B Maw in his message to the legislature were introduced into the senate Friday by Senator George M Miller (D) Price the Democratic floor leader and Senator Alonzo F Hopkin (D) Croydon The napkin bill would bring ! federal employes residing in Utah under the provisions of the state income tax law The three Miller bills would im'k pose a supplementary corporation'franchise tax of 3 per cent on divi'llends paid by domestic or foreign profits arising corporations out-ofrorhp'roperty or operations with- En thectlate of 'Utah The companion measures are designed primarily to tax income from Utah irolustries which is paid to nonrelidenV stockholders and which is thereto-l- not taxable under the state indivWal income tax law: For constitu&enal reasons however the tax woutell be collect ed on dividenda paid resident as well as nonresident stoCkholders -Relief for Utahm But resident stockholders wovid be given compensating relief eit the individual income tax provided 50 per cent or more of the corporation's business was located in Utah This would be accomplished ' through exemption from the indi vidual Income tax of dividenda on which the 3 per cent supplementary corporation franchise tax was collected Similar exemption would be allowed under the corpotation franchise tax for income paid by on corporation to another and on which the supplementary franchise corporation tax had been paid Income of corporations operating in more than one state would under the same formula as is now used In connection with the corporation franchise tax ' So far as the corporations are concerned the proposed law would work as follows: The A corporation derives 60 cent of its income from Utah per operations and declares a dividend be required et $1000000 to pay 3 per cent of 8600000 (60 per cent of the dividend) or a total of $18000 supplementary franchise corporation tax Corporation B derives 40 per cent of its iniome from Utah operations and likewise declare a dividend of $1000000 It would be required to pay 3 per cent of $400000 or ' f e ' t 112000 John Doe stockholder in A corporation and a resident of Utah holds aufficienrshares to make his dividend $10000 He would receive that amount minus 3 per cent or $9700 But when he files his individual income tax return he would not be required to Include that $9700 as income a nonresident Richard Doo etockholder in A corporation would flare exactly as the resident stock-- 1 holder so far as Utah is concerned If however he resided in a state which has a personal income tax - t law he would of course he to pay the income tax on his dividend to the state of his ed residence Another Inotanco Cited 'Thomas White is a resident e stockholder in 3 corporation which derives less than 50 per cent of its Income from Utah operations His stock entities him to $10000 of the - - corporation - The ' lesiancte increivie the tee contribution to Utah of neinresidosit stock- (Ceettetot oe Pee Tour) tOotume Tim) i ol nual convention here Delegates from Utah and Idaho heard W P A's role Win national defense attacked by IL B Zachry of Laredo Texas president of the Associated General Contractors of America He was guest of the intermountain builders at a luncheon in the Newhouse: hotel and spoke later at a business meeting in the branch's offices In the Beason building 21 East Second South street "The W P A wai Initiated as a relief agency" Mr Zachry declared but now when industry is absorbing so many men on relief rolls and additional work to come will take care of all workers on the rolls we see no common sense in casting W P A workers In the role of defense construction" More to Come The nation's defense construction program is "only about one-thiunder way—at least two billions more for defense work is due In the near future" the speaker asserted in an interview "The general 1941 construction outlook In defense public and private brackets approximates $12000000000 and there is no poscontractors not being of sibility able to take care of that because in 1928 and 1929 our construction amounted to 15 billions "With present improved equipment and better organization it is now possible to do much more 'There has been quite a bit of talk of a lag' in construction but a recent war department announcement said that 59 out of 88 army defense' projects were either ahead of or on schtdule" One resolution passed by the r CoLorPnenriecatiteccuttrovlyatilicey !Aid Le4tt5 : IL Chukhilli-:Ak-1 -- - 1 - d!11vered—120 i Dile— 725e ) 4 - Page---Fi- Cents e — --- -- r tro 6-- TIR Ch ink CI 0 ILDallC-- 11 ' : Ao - : ti :' : : 0 9 :- - - t:::' ' 5 Churchill C Leslie Wheeler Heads Intermountain troop of con tractors intermountain contractors to be sent to members of congress and public officials urged :that all public works and building projects as defense measures proposect be constructed by contract and the (Continued on Pane Sovon) (Column Two) : half-hidd- Protesting that 'counties would be deprived of a "valuable heritable source of income" officials in Utah's 29 counties fon mally went on record-Fridaagainst repeal of the present law giving municipal and county units $800000 annually from automobilkIlicense funds Thkstand was taken In ‘a reso- - resolution continued "This Income lution 'tinned at the final general is making It possible to continue y Lively Discussions Lively discussionii of the governor's statements followed in de- partmental conferences and debate waxed acrimonious when county commissioners rnet Saturday morning to consider their stand After spirited debate --- participated in by two state legislators among others — the commissioners approved the resolution later Introduced tend passed in- general assembly Loss of a "valuable heritable source of income" to counties was cited as a certain result if the auto license fund is diverted This is a factor in the retention of our present levies" the sil class B road programs improvemerits to which the traveling lic in outlying districts is entitled "We are well aware that drawal of this source of income will entail immediate raising of our levies in order that we may comply with statutory demands public demands routine business and affairs of our counties pub-tendi- with-Coun- ng ty Jan 17 UPI— headquarters ruled out Friday any use of the selective service law to bring pressure on defense workers not to strike Brigadier General Lewis B Hershey acting director of se- lective service said that a change In the classification of a draft registrant because toof a strike be "contrary the Intent of the law" He added: "The selective service system Is not In a position to use in- ductiort as a threat to force a to do something or to re- him from a course of ac-- Pare Two) (Continued Coionto Two) Plane Missing With Seven "We urgently request the senate and legislature of Utah not to peal that part (of laws relating to fund distributions) such repeal being contrary to the policies of the subordinate taxing units and McCHORD FIELD Wash Jan detrimental to the welfare of the 17 wide search In which subbrdinate units" commercial airliners were to join was under way Friday down the OtherMeasures storm-strew- n Pacific coast for an The 'rrsolution was one of army bomber missing more than eight intmduced on the floor by 24 hours with seven men W Claire 'Rowley of Parowan The search centered In the chairman of the resolutions com- Mount St Helens area of southmittee which !Ilriginally received western Washington and along the the diversion resolution from the Caltfornia-Orego- n line on reports county clerks an auditors' de- a big plane had been seen inthose partment It was tabled however vicinities apparently in trouble a at a meetinF Fridalek until com- few hours after the Douglas missioners voiced their 'Pan& left here for Muroc Range plane —At the commissionerir session Cal Friday morning Senator George M A report the plane had been MilIer (D) Carbon said tre was found wrecked near Yreka Cal coauthor of the original bill allot- apparently vas unfounded operating the money to cities and collo- tions officers said ties and added: Two army pilots landing at Pear-o- n "You didn't formulate this field Vancouver Wash to re(Conti nuod on Page Four) fuel reported poor visibillty low COIUMn ceilings over the Cascade nioun- ay Eludes Search UPI-1-- A A watch Mthe bomber In the Grants Pass Oren and Hornbrook Cal areas The bombe'n with First Lieutenant R M Mummes pilot and Second Lieutentnt G T Nielsen copilot In charic left at 10:20 a m Thursday lbt the bombing range in southern 'California A crew of six from the Seventy-thir- d squadron and 7 were aboard The five other men abohrd the (Continued on Pm Ms) ' (Coiumn Two) ft the California draft board rid an Implied threat that employes of the Ryan Aeronautical company San Diego might be drafted If they struck The state board had advised local boards that a strike would necessitate reclassification of men whose military training had been deferred because of the sential nature of their peacetime car-Dra- one-passenge- r )' I ''''''''-'''''''''''''"- 4 - r ' - - 4 ' I - ji ' Gta Londoners Escape As Blows Hit Secretary of War Frank Knox twees grass Isar erisis this spring Jan 17 LT"— A tion" es-wo- Jan 17' LONDON highly Friday reliable informant said was endeavornight that Germany war ing to end the Italian-Gree- k by negotiations in Athens' One informant suggested the presence of German troops in Rumania was part of a "diplomatic argument" designed to spur peace negotiations with Greece an Berlin authorized sources said there was no change whatever in German relations with Greece and therefore it could be denied they said that German diplomatic activity had been intensified in Athens Germany has maintained her normal mission ift Athens hosthroughout the Greek-Italia- n tilities) BERN Jan 17 Reports reaching diplomatic quarters from axis and Balkan capitals Friday night indicated a meeting between Adolf Hitler and Benito Mussolini was "quite likely" this week There was no indication exactly when or where the meeting was to take place but it was believed such a conference mainly would be concerned with means of giving additional nazi aid to Italy in the Vichy Chiefs Deny The C I 0-- A W has ordered a strike in the Ryan company's plant Tuesday unless an agree-ma- n ment is reached meantime Ong a dispute over minimum U Cabinet end-stra- in VICHY Jan 17 wages Automohile Workora had pro- tested in a telegram to Presi-- 10 - new wage proposal the union leading Federal Conciliator Harry Malcolm todeclaro gotiations were "again deadlocked" re-de- Shake-U- p nt (INS)---Forel- gn Summary of Major News From War-BesEurope froM-attac- said ur - By Associated Press - - Weapons Not Men ' oil DETROIT Jan 11 (A'-tank exploded at the Ford Motor company's big Rouge plant Friday and investigators for the department of justice hastened to the scene to determine whether saboteurs were responsible Fire following the blast cast up a great smoke cloud and threatThe ened adjacent oil tanks suburban Dearborn lire department and the company's own fire crew quickly extinguished the blaze Officials said no one was injured and Ford employes reported that damage as not great While government investigators made inquiries it was theorized that a spark from a coke plant explosion approximately exploded the size of a railway tank car was in the coal byproducdi- Jii5i011 of the plant An Prime Minister Churchill a speech in Glasgow declared "we do not require In 1941 large armies from overseas" but added that Britain needed "far more American weapons ships and airplanes than she could pay for—Story page 1 column 4 In Peace Offensive? Reports originating in Bulgarian capital claim Germany peace with nazi troop attempting to negotiate Greek-Italiaconcentrations in southern Rumania cited as "argument" designed to induce Athens to subscribe--Storpage 1 column 6 Rioting breaks out In Balkans as result or food shortages attributed to German control of communication systems— Story page 2 column 6 n - Air Battles West England town hears brunt of German raids—Story - - - ' ' Attacks Fairly 'Heavy The attack late Thursday night and early Friday on Bristol and the unidentified south coast town appeared to have been fairly heavy Incendiary and explosive bombs caused damages and casualties but the prompt and daring work of volunteers aiding firemen prevent ed serious fires In the south coast town 60 fires were started during a- four-horaid One of them burned for four hours but all the others were extinguished within 10 minutes wardens said Fire wardens had Just finished distributing sand to every home in the town and nearly every business building had fire spotters on Its roof Fire Blits Frustrated fri Bristol also firemen and volunteers were credited with frustrating an attempted fire blitz and keeping damage to ak minimum Six persons were killed and a number Probe Ford Blast a - art G-M- en et Vichy rignis of winter to carry nut sustained attack on German mer Vice Premier Pierre Laval at Wilhelmshaven—Story page 2 column 4 nava1'4ase would he restored to office were N ' officially denied Friday night lit (t111)---Germ- night bombers braving Intense cold swept over the industriAl lands Friday night afterattacking the vital west coast port of Bristol and a town on the southern coast during' the previous 24' hours Up to 10 p m London was free k and the air ministry reported only scant enemy air activity during the 'day Including attack's of single raiders in Kent East Anglia and elsewhere A German bomber :was shot dowt into the sea 'off northern Scotland during the day the air ministry fascist campaign against the Greeks in Albania and the British In North Africa (There also was a report from Sofia Bulgaria that German diplomacy in Athens was seeking to end was wounded the war between Italy and Greece) Fire bombs struck an isolation hospital firing a wing and a block of administration buildings y jobs ' Industrial Region' Nazis Reported Seeking Italy Greece Truce end 0- - A - 1 ' - By Associated Press - - se - – Friday that- Germany would ultimately and inevitably seize tprritory-an- d bases in South America if she defeated Great Britain and like Secretary'Stimson he expressed fear that a grave crisis would develop in the European war in the next 60 or 90 days To prevent a British defeat both t SOFIA äg $ t - IP ' Cold Wave to Raid Midland s WASHINGTON Jan 17 (— Senator Wheeler (D) Montana said Friday night he had learned from "several reliable soures" that Prime Minister Churchill has been "insisting on a declaration of war by this country" and that Harry Hopkins was sent tO London as President Roosevelt's representative to determine "what immediate steps can be taken short of a war declaration" Wheeler made his statement in commenting on a speech by Churchill Friday night in Glasgow—a speech made in Hopkins' presence In it the British leader said that while Great Britain did not require large armies from overseas in 1941 it did need weapons ships and airplanes Wheeler a leader of senate opposition to Mr Roosevelt's lend-leaprogram for aid to Britain said that "my understanding is that they (the British) not only want planes and ships at this time but they also want pilots to man the planes and sailors to man the ships "The next step will be an expeditionary force Every American ought to realize that Mr Roosevelt is leading us down the road to war not step by step but leap by leap "It has come to me from several reliable sourcesthat Mr Churchill has been insisting on a declaration of war by this country not with the idea of our sending an expeditionary force immediately but with the idea of bolstering the morale of the smaller nations of Europe as well as the morale of his own people" - ' s British Want Pilots And Sailors Now Senator Declares lb L- CabinetPair Urge Congress to Pass LendeLease Bill in Move To Forestall Great Britain's Defeat: I 4: ' - - i i : 4- 4 tal 'nlkand high winds At Portland Ore the United Air Lines PIA two of its liners would DraftBoard: Squelches Move To Put Squeeze on Strikers WASHINGTON' en avy Chiefs : 7ithilii:L--90:- i Churchill Eggs S to War U path" Wheeler her Says bad man (Hitler) never had so great a need as he has now to strike Britain from his Britain Confident But Britain is confident of ability to beat off any invasion blow he said although the dangers ahead "might be fatal" if vigilance were relaxed The United States must provide Britain with more weapons ships planes and guns without thought of payment now if the Itritish are to hold the front lines of the United States' own security the prime minister said recently arrived in HopkinS a mission f o r Mr on England Roosevelt sat shyly on the platin his form his face hand as Churchill whirled around to him jind said: "We do not require ih 1941 large armies from overseas "What we do require is weapons ships and airplanes Will Do Best to ray "All that we can'pay for we will pay for but we require far more than we shall be able to pay for" he Britain's armed strength on :ei:4-:--:::A- ik t k - - 5f - stark' r:::: ' ''' threat of a German Invasion mentioning the months of February March and April because "that Mil Newhouse hotel of approximatety 250 delegates at- the e4ghteenth convention of the Utah State Association of OfficialsA The resolution elcpressing their attitude was passed with only three or four audible negative votes after a two-da- y konvention turbulently launched by'Qovernor Herbert B Maw ' The chief executive charged that city and county Offi- cials "are the only groups" oppos- ing his reorganization program t' effect economies Instate govern- ment of the spoke w at- - : ' 3 7::4iO!:0f:CHS11':- :a ‘ Scotland Jan (UP)—Prime Minister ston Churchill said Friday night that Britain must have an avalanche of United States weapons in far greater quantities "than we are able to pay for" if she is to hold off Adolf Hitler's blows in "the front line of civilization" Churchill made his dramatic appeal in a surprise speech here in the presence of President Roosevelt's personal envoy Harry L Hopkinswho sat near him on the speaker's platfocm r Maw Fund in-th- e '4P1 'iil WT' 9 7: 1 ' Rush Aid Vg-1': LL 0:-S- ' i 1totosi inottlpfooplet PrOmPs 50o COPPat teatimade 0 —116113e 30 IL IL :ki Win- 17 GLASGOW County Officials Will session Great Britain Needs Arms Supply Not Troops Says Appeal Hopkins Presec) nt as Prime Minister for Appeals Weapons 'Without Regard to Cash' P ? 4 Roosevelt that a ruling of - 5 500555e - 7111a 3475a q 1 A2h1113-1- 1-SIILI- 9 rd -- 1 Tri)°11 LILU $3500 I Silver (foreurn) Pronosed $1000000 dividend He would receive $9700 and would also be re quired to include that amount in his income tor individual- - income put purposes I The nonresident stockholder in B corporation would fare the same as the nonresident stockholder in A - silver (domestic) 4 : tions into effect and one author- Izing sale of liquor by 'the drink under local option system ' Adjourned after a brief session - until 2 p rn Monday ee Cold - hA tuitt Knox iw: arns 1 ' Iff'i:Y1-ttOt:100$'- Elimination of Mi P A labor In defense construction and allocation of congressional funds to states for defense highways were Senate advocated Friday by members of the intermountain branch Asso Received 10 bills Including four General dated to Governor Contractors open-he- ft Hera! carry designed B Maws tax recornmenda- - ing their two-da- y nineteenth 'an- - 0 ( Local Metal Markets s 0 T1 T1 1 Highlizhts of Friday' s session of the Utah legislature: House t ' 1i t - P ' : Texan Cites Increase in Jobs Meeting Advocates U S Spending nor Military Roads Friday Highlights r 11 :Näi--:Will:-11:!f In Defense Works Affect Firms U S Employes ' : 1 4 D - 144 Salt Lake City Utah Saturday Morning January 18 19 11 Four Measures ' Atir t t L - el - - - ( --r — urged the house foreign affairs committee to approve the administration's bill authorizing President Roosevelt to lease lend ortrans- fer American-mad- e fighting materials to the nations battling the axis Pure Speculation Knox said in response to questions that his fears of a crisis In 60 or 90 days were speculation purely But he added the "pressure"- upon Great Britain was growing "greater and greater" When 'Representative Jonlmtan Ut) Michigan asked the exact na tort of th crisLi Knox tplled alms "A crisis in iwhictr - ! ! - i - the defeat of Great Britain Is Imminent" It could come about he said through the German - submarine campaign or the effect of the con- tinued German bombardment- - He was however strong in his praise for the manner in which British morale had held up under the pounding of the nazi bombers At another point and in another connection he was asked bow the defeat of Germany could be brought about and arurwered that it could come through the collapse of the people behind the n German cities are bombed as British are being bombed I don't believe the Germans will take' It like the British are taking he said President Sarcastle Meanwhile President Irtoosendervtehl'et scoffed at assertions that bill he might give the United States navy to England Sarcastically he told a press conference that nothIn the bill would vent him from standing on his head either He had no desire he said to stand on his head or get rid of the navy The question of attaching an amendment forbidding such disposition of naval vessels has become an increasingly bitter point of controversy at the capitol While these statements were be' ing made Senator Wheeler C34 Montana an outstanding member of the opposition to the bill de- mEtnded that the president furnish congress all reports submitted by Ambassador Joseph P Kennedy from London and William C Bid-th- e outfrom Paris prior to break of war in 1939 They would provide valuable background Information for the guidance of con gress in considering the lease-len- d bill he said He talked with Kennedy Thursday night Much Interest in Talk Much Interest centeredt at the Same time on the radio spetbch which Kennedy plans to make SatMr Roosevelt was urday- night asked at his!' preas conference whether he had received an Impression that Kennedy would oppoie the bill Such an impression seemed to be abroad in Washington he was told' Mr Roosevelt suggested that the determine Kennedy's from his speech rather than from what it reads in advance In the newspapers Another development saw advocates of the administration bill increase their strength on the imsenate foreign relations committee 'A Democratic!steering committee designated Senator Glass (D) Virginia and Senator Byrnes (In South Carollna both supporters of the bill for election to the foreign relations group1 Supporters of the measure also found satisfaction in an announce- ment by William Green president 4 - ' 4 front-"Whe- le I pub-positi- (Continund eti Pm ILI) Columa Two) - - 1 - - Ak on 1 - I : 1 ' |