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Show SiOT PROPOSES BONDS FOR BONUS nnlv proposition That Bond Issue is Only frop Will Meet With Favor f Public Says Utah Senator in l ai With President WasIlington.h77dea of finan, lng the soldier bonus trough a shot time bond flotation is gaming con verts in congress. Senator Smoot, who Saturday nigh! told President Harding the country would not stand for the tax meU.od declared his beief that the house bonus conferees had swung to his advocacy of the bond plan. Harding was under-stood under-stood to be planning an early conference confer-ence with Secretary of the Treasury Mellon as to bonds. Business, Smoot declared, could not stand more taxes. , Smoot ventured the opinion that the proposed tax method would be shelved and a bond issue substituted. This is despite administration: objection. Republicans of the senate finance committee com-mittee and the house ways and means committee continued their deliberations delibera-tions over the ways and means committee's com-mittee's tax scheme had provoked o tremendous wave of opposition from all over the country. Big business, agriculture, the average man were all represented in the "howl" a protest so mighty that some senators believed the bonus would die in transit if congress con-gress persisted in trying to pay the bonus through taxes on business and individuals. Smoot minced no words in his talk with President Harding. He told the executive in substance that the country coun-try was opposed to more taxes to pay a bonus. Smoot wants short time bonds issued is-sued subject to call when they ctrald be paid off. Such financing, he believed, be-lieved, would not interfere with' Liberty Lib-erty bond funding. Smoot declared that the financial burdens his bonus payment will Involve In-volve are merely a "flea bite" compared com-pared to what is ahead. "Just wait and see what the future holds" he warned, indicating his firm belief that the bonus is merely the forerunner of a pension system which will dwarf the Civil war pensions. While Smoot and some followers are pounding In the idea of a bond issue to care for the first bonus payments, the house and senate conferees are still pondering the ways and means tax proposals. Chairman McCumber of the senate finance committee favors 3-cent postage, and that has caused a rumpus. The big Issue, however, at this time, with Wall street protesting loudly, are the taxes on stock and bond transactions and the 2 per cent tax on undivided profits. |