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Show TAXATION OF OIL PROSPECTORS Production Will Be Encouraged Encour-aged by Government Oil Famine Must Be Avoided. WASHINGTON, Oct. 3 Broad principles prin-ciples to govern taxation -of oil prospectors pros-pectors and producers ,were approved today by the senate finance commit-toe commit-toe which is considering the administration's adminis-tration's budget for the next fiscal year. 'Announcement of oil tax revision revis-ion was withheld by the committee, but it waB learned that some of tho provisions of the bill destined to provide pro-vide eight billions of dollars for the government, chiefly for prosecution of the war will be designed to encourage encour-age production and to govern amortization amor-tization allowances for war plants which may be wholly or partially useless use-less after the war. 4 In their final form amendments proposed today will provide for greater great-er concessions to prospectors. Senator Gore and Senator Owen .of Oklahoma presented the oil situation to the committee com-mittee In detail, declaring the present tax system would so discourage prospectors pros-pectors that an oil famine might result. re-sult. Allowances for War Plants On amortization allowances for war .plants, the committee adopted the treasury's suggestion and struck out the maximum allowance of 25 per cent provided In the house bill to be deducted de-ducted in computing income taxes. As revised, the treasury department would be left with discretion to make allowances allow-ances deemed proper for amortization. At today's session, the house provisions pro-visions for individual credits In computing com-puting Income taxes were adopted. They Include exemption limits of $1,000 for single persons and $2,000 for married persons with an additional al-! lowance of $2,000 for each dependent person under 18 years of age. I oo I |