Show 1 H HEARD nd RD i r nd ind the the N NATIONAL TIN L LI I API TA CAPITA CAPITA- APITA I Ip p Carter Corter Field y Some InterestIng InterestIng Interest Interest- Washington Some Washington very Ing lag tax tn plans plan are being worked nu nuin out t In the Treasury department and as d Secretary l Is le waiting g for an en Invitation to appear before e the house ways waya and means meana commit commit- rte tte t which Chairman Doughton no not nol t wanting any anI ny more taxes at all all 1 Is 11 s loath to give glye One of these plans Is III a flat manufacturers manufacturers manufacturers' manu man n a excise tax taL Just a sales sale s tax to be frank the frank the kind of ot thin thing g that would have brought a regiment regimen t of or lawyers down to Washington t to o ot fight It t Just a few years rears ago nut flu t meanwhile the processing taxes tans which of ot course were restricted sales tax taxes e. e sort of ot hardened some som of ot the the bitterest opponents and no now w some representatives of ot the textile e Industry for tor Instance are saying R that If the new tax Is 18 generally o oIn or orIn orIn r In short If It It applies to all aU their r competitors as well as aa to them they wont won't fight It n. Another plan being ork worked ou out f by the young men In the Treasury Treasur department none of ot whom by tit the e way gives any consideration to p political po po- questions er whatever not even eve a considering that this Is a Presidential election year goes for tb the smaller Incomes In a big wa way I It ItIs ItIs t Is more drastic than the proposal o of ot f Senator La f Follette ollette last year jear ear su suggested SUit sug g as os a substitute for tor President t Its It's tax tox program To start stort oft off with It boosts th the normal Income tax rate from 4 pe per percent percent r cent to 8 per cent Then It t reduces reduce the exemption of ot a married person perso n from 2000 2500 2 OO to 1500 1000 and a single persons person's exemption from 1500 t to 70 Further It boosts surtax aorta rates rate a on all incomes up to The gentlemen working this plan pla out must not DOt even have listened t tAl to toAI o Al AI Smiths Smith's speech at the Liberty Libert y league dinner when he warned that the I this tremendous burden of ot debt th the government was piling up could no nobe not t be paid by the rich because th the rich have not enough but would woul d have have hate to be he paid by the people earnIng earning earn earn- Ing lag ing or less When a n married man begins paying an 8 per cen cent t i levy on all an his Income In excess o of 1500 the fifteenth of ot March larch is goIng goIng go go- o- o Ing ng to be more unpopular even eve than then It Jt Is toda today Would Be Too Unpopular Actually there Is not much chance chanc e of ot either of ot these plans being enacted en en- acted this acted this year rear The income to tax plan would be bo far too unpopular t to tobe tobe o be put through by congress just h before be be- e fore tore election The TIle President would wool d not consider it for tor a moment Buthe But Bu t the fact tact remains that It Is II there they and with careful estimates aha shoWIng showing show shoW- ing that In the opinion of ot the tile treasury treasury treas tree e ury experts It Is just about what I Is necessary to finance the govern goner n s went ment What will be done dose In all proba prod a bill will be to Impose some e excise ex t else cise taxes no more onerous on any an J commodity than the Urn process processing ng taxes tales were but applied to mo more re commodities for tor as was point pointed d dS out recently in these theca dispatches S tire the he actual need not to balance t the he budget but to make up for tor to lost st pro processing tax revenue revenge and to finance the new farm tarm program an and d the bonus will be around a year So that the more drastic taxes tale alm l at nt really balancing the bud budet budge g et will be around a n year rear Meanwhile as shown by a t few ew house bouse leaders lenders Including Chairman n I Doughton of ot the committee th that at must frame the revenue bill senators senators sena- sena tors ton and members of the house ax are e eager anger to avoid the tax situation If they possibly can The They would lilt like e nothing better than to finance t the he Immediate need by bonds and end 1 let et the whole new tax proposal with wit it Its attendant problems go over oser u until un- un n. n til ill after election Roosevelt Is Ia convinced however r that this would bl be so u unsound un n sound economically that It would b be e unwise politically Hence fiance the there r will be a new tax bill though ao noth rBI BI lag ing nearly Dearly so 10 sweeping sleeping as liS the treasury trey treas B- B ury experts have planned Smith Stirs Them Al AI Smiths Smith's biting criticism th that at the Roosevelt administration hi has haa e done dose nothing toward carrying o out it Us its platform pledge about conso consolidating consoli consoli- ll dating governmental agendas agencies la lu n the Interest of ot economy has result result- t ed ea e t already In several motes corm coming ng closer to to the surface They wet were e already In the stage tage but the their Ir backers were afraid Now they ax are e emerging For Instance the Federal Depos Depo it Jt Insurance corporation Foil Fat m eu me IDs time If 14 has Des been looking covetous s ly 11 at the y functions with respect I to parks banks exercised by Jesse Jones' Jones R Reconstruction Re ne- e construction Finance corporation n. n believes that It It l and It alone aloe e should make loans of ot government t funds to banks It has hili the pow power er under the law Jaw but just recently ert It t made the first open move local loaning g to a II bank In Bethlehem m P Is ft Idea Is II that It should n not lIot of confine Its Ita functions function to paying oft off depositors after a bank has haa dosed closed but that It should be In close ton touch ch with the boats banks all the while to seeto see seeto to It that they are kept sound Also that It If they thel need any money for l legitimate reason It is la that should pass pasa on the situation and loan the money Incidentally Is lion on Easy street financially Its net losses lasses In two and a half halt years eara have hue b been n only about Its It net Det profit b has bas now mounted to a nice nest egg of Under Order the law lawIt lawt i It t cannot change Its assessments on the banks which run tun one twelfth one twelfth of 1 per cent on deposits each year ear payable parable in two semiannual install Install- manta ments It is 18 having an argument inside the organization over oyer whether hether this present legal rate of ot assessment is la i not an ea unnecessary burden on the banks banka Some Same of ot Its Ita advisers believe believe be be- lieve Ilene that just one more semiannual I Installment should be levied leafed and end then no more until necessity should arise Each semiannual Installment I brings 1 In from to 35 I More Consolidating All of ot which attracts the envious notice of the new heads bends of ot the Federa Federal Fed Fed- era eral elal Reserve system So they want to do a little consolidating of ot go gov government agencies complying with the 1932 1032 platform pledge by taking over lock bock stock and barrel and turning it t Into a n bureau of the Reserve system Director Crowley Crowle of ot sees very little virtue In this suggestion almost as ns little as Jesse Jones sees In Crowley's Crowleys ambitions to take takeaway away grip on a n great man many banks scattered over the country Meanwhile great impetus has been given to the old move to unite the Investigating bodies of ot the governments go Virtually every department de de- has one starting off oft with the original secret service in the treasury now very cry much overshadowed overshadowed owed by the bureau of ot Investigation flan tion in is the Department of Justice But virtually without exception every department wants to keep its own service and Insists Insist that much of ot the value to Its particular obJectives objectives tives flues would be lost If its fie Investigators tors torI were made part of ot a general organization spread out over oyer the whole government Clever Miss Just one prominent Roosevelt pro figure in all Washington showed long range political Intelligence erice on commenting on the AI Al Smith sp speech ech at the American Libert Liberty league din per nero This was Miss Frances Trances Perkins Per Ier kins secretary of or labor And by n a strange coincidence it Is le the fi first time since Inauguration that that Miss bales Perkins has bas done anything which In Inthe Inthe the opinion of ot disinterested observers observers ers was rean really of ot political benefit to the Roosevelt cause What Miss Perkins did was to keep the door open for tor Smith to tocoma come coma back back and and to avoid doing anything to make Smith or Smiths Smith's tOll followers any madder than they already already al al- ready randy were In short Ibort she not only served notice pollee that the tho door was open for him to come back bock but put pat putout putout out a welcome mat instead of ot erect erect- f Ing g a barbed wire entanglement Which latter is la precisely what most of ot the vocal ocal Democrats on Capitol Hill did And this goes not only for the hot headed Southerners Southern Southern- ers era like Ilko Senator James F F. F Byrnes of ot South Carolina and Speaker Joseph W W. Byrns of Tennessee but buttor tor for supposedly cold cold blooded blooded northern north north- em ern Democrats like Representative John J J. J OConnor O'Connor of New York chairman chairmen o of ot the bouse house rules rulE'S c com m- m Ills His remark that of all people Smith should be the last to attack Roosevelt reflects the th thought Accurately very of ot most of the Roosevelt Insiders but Is not calculated to pacify the Smith fol tol- lowing And the Importance of or President Roosevelt's re-election re in gratifying the feelings of ot Roosevelt insiders Is s not ver very great The Tho President has those votes otes anway Highly significant cant in tn connection with Chairman O'Connor's remark also Is s the expected ex ex- peeled battle to oust James J J. J Dooling from the Tammany leader leader- ship It has been known for tor some time that Postmaster James A A. A Farley Farley Far Far- ley wan wanted led a change in the Tam Tarn Tammany Tammany many control He lIe wanted one of his own men urea about whose loyalty to Roosevelt there could be no as question ques ques- flan tion in to the saddle at the Wigwam Promises Fight While Southern statesmen thinkIng think think- ing they were doing Roosevelt a favor were raking up the bitter memories of 1028 and citing Smiths Smith's disappointment then and in 1932 1032 as the reason for tor hla his present attack on Roosevelt some New York Demo Demo- crat crate anxious for tor their own owe rea sons Ions to have bave a change In Tammany hall urged the administration to take command and to prevent Al AI Smith from e even en being a district delegate to the Philadelphia con con- All of ot which promises a cat and dog fight In Greater New Nelv York when the delegates are selected with maid mu bitterness ss lK being churned up than could possibly be quieted by November And meanwhile just one promInent prom prom- neat Democrat said sold the thIn thing that w was as for Roosevelt's best Interests in In November instead of or aiming at headlines headline and at Increasing the al ready great reat bitterness Asked for tor comment on o AI Al Smiths Smith's speech by hI a New York reporter Secretary perkins backed Oh On Oh no he be Is I. my ray friend viand she Bhe away said and then ben added I line lie will come back earth |