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Show pbbtstms .MANILA. P, I.. Dec. 4. (Corre-J spondence of The Associated Press) I The board of directors of the American Amer-ican phamber of Commerce of the Philippine islands has adopted a r -1-olution which is to he forwarded to th'j United states congress, protesting against, the application' Of the federal Income tax law to Americans residing abroad and paving taxes in the Phll-Ippinvs Phll-Ippinvs or foreign countries. The resolution res-olution recommends to congress that the revenue act ol H18 ) sr, amended amend-ed as to exempt from taxation the income in-come derived from sources without the United States of non-resident citizens. The resolution says: 'Under form r acts of congress income taxes wore uniformly Imposed upon all residents of the Philippine islands. Americans. Filipinos and aliens; and in accordance accord-ance with American principles and tr.Ttlltions. such taxes accrued, not to the United suites, but to the insular! government "Under tho revenue act of 1918 income in-come taxes for the revenues t tlv United S:i'"- .ire imposed upon Amor-' lean citizens residing in the iiiiiip- pines, but not on Filipinos and others there residing, although all alik share the protection of the United States and the Filipinos owe the sum" alleg-, lance and-enjoy the same rights as American citizens uther nations, as for example. Great Britain, do not tax the local income Of their c-ltlzens or subjects residing abroad. "Americans in the Philippines pay the same taxes to the local government as their neighbors and arc then required re-quired to pay to the United states additional ad-ditional taxes' from w hich their neighbors neigh-bors are exempt. To the extent of 'such additional taxes Americans are a t disadvantage in competition with Others feu business. This handicap operates not only upon the Interests of American citizens citi-zens lit the Philippines) but also to the detriment of American shipping and commerce, whose maintenance and development de-velopment depend Id great part upon the outlet and representation afforded afford-ed by Americans established overseas. In tiie keen competition for the world's traele our merchants and carriers car-riers cannot afford to rely upon alien representatives or to enjoy representation represen-tation by our own citizens only at a cpst higiie;- than that borne by competitors. com-petitors. But the natural tendency of the present policy of taxation is to eliminate Americans established in business abroad pr to induce their expatriation. |