'SENATE VOTES
AGAINST HIGHER
PROFIT TAXES
AMENDMENT OFFERED BY
H. F. HOLLIS, DEMOCRAT,
FAILS BY DECISIVE BALLOT
URGED $400,000 INCREASE
Proposal by Robert M. LaFollete to
Graduate Rates From 12 to 75 Per
Cent Suffers Defeat, Having Only
Twenty-three Supporters.
WASHINGTON, Sept. 6.—Two
radical amendments to the war rev
enue bill to increase the profit tax
proposed by the finance committee
were defeated late yesterday after
noon by decisive votes in the senate.
An amendment offered by Senator
Henry F. Hollis, democrat, of New
Hampshire, proposed to raise $400,
000 through taxes on war profits by
substituting for the committee’s rates
a graduated scale of rates ranging
from 20 to 70 per cent. The amend
ment was defeated by a vote of fifty
five to twenty-four.
LaFollette's Amendment.
The amendment of Senator Robert
M. LaFollettee, republican, of Wis
consin, proposed a graduated scale of
rates from 12 to 75 per cent. It was
defeated by a vote of fifty-six to
twenty-three.
By seventy-two to seven, the senate
finally voted to retain the finance com
mittee’s section in the war revenue
bill for a total levy of one billion, one
hundred and eighty-six million dollars
on war excess profits.
The senate today took up the income
tax section of the revenue bill. In this
section, the finance committee pro
poses to raise $850,000,000 from levies
on incomes. Senators Hollis and La
Follette are fighting for higher taxes
on incomes, just as they urged higher
rates on excess profits.
Not Inclined to Talk.
As the time approaches for the
final vote on the bill, which by agree
ment has been fixed for September
10, there is less disposition on the
part of the senators to engage in de
bate over non-essentials. Attention
is now directed to only the material
features of the measure.
SENATE DECIDES
ON INCOME TAXES
AMENDMENTS FOR HIGHER
RATES THAN SUGGESTED BY
COMMITTEE ARE BEATEN.
WASHINGTON, Sept. S.—The sen
ate has passed the income tax section
of the war revenue bill as it was re
ported by the finance committee.
Amendments proposing much high
fc er rates than recommended by the
committee were offered by Senators
Robert M. LaFollette, republican, of
Wisconsin, and Henry F. Hollis, demo
crat, of New Hampshire, but were de
feated by overwhelming majorities.
MOOSE PREPARE TO GIVE
THEIR MINSTREL SHOW
Tosters announcing the arrival in
the near future of the Moose Min
strels have been placed in the differ
ent business houses.
Director Wilford announces that
this year’s minstrel show will surpass
all other efforts of the company and
that the members of the troupe are
being trained to the minute.
The Moose Minstrels is one of the
interesting annual features of An
chorage and this year’s production
promises to be bigger and better than
ever.
A passenger named A. Jemischi re
cently disappeared from one of the
lower Yukon river boats near Holy
Cross several days ago, according to
information received at the marshal’s
office at Fairbanks. After leaving
Holy Cross the man was missed and
j
Big Business Forces Senate to Place
Burden of War Cost on Common People
Those in Big Business who can af
ford to employ United States sena
tors as their attorneys to look after
their interests in congress, seem in
toxicated with overindulgence in the
belief that this government entered
the war, and will continue it, for their
special benefit. Press dispatches told
last week how by a vote of 62 to 17,
these interests defeated in the sen
ate a measure intended to make pro
fits on war materials pay a greater
and more fair proportion of the costs
of war; while this week the mail
brings us information of another bit
of spoofery on the part of these pay
triots for revenue only. Several of
I them in New York whereased and
| resolved that a market for liberty
bonds should be created by allowing
the tax on excess profit to be paid in
large part, (say 60 out of 78 per
cent) by purchase of such bonds. Otto
H. Kahn has shown that the immun
ity from income-tax on big incomes,
subject to super-tax, will give the 3J/2
per cent rate of the liberty bond a
yield of 6.45 per cent in respect of
incomes of over $250,000, 8.75 per
cent on over $1,000,000, and 9.21 per
I cent on over $2,000,000. In short, the
plutocrats made by the war propose to
evade taxation and obtain a gorgeous!
income from their excessve profits,
and shift the burden to the “common
people.”
SECRETARY OF AGRICULTURE
SAYS AMERICA MUST SUP
PLY EUROPE AFTER WAR.
LIGHT YIELD THIS YEAR
Next Crop Must Be Large in Order to
Meet Military Needs Not Only of
This Country But of Her Allies in
Great World Conflict.
WASHINGTON, Sept. 8.—The first
of a series of five regional conferences
of agricultural leaders to consder
steps to promote interest in the pro
gram for winter wheat and rye plant
ing this fall was held here. The con
ference was opened by Secretary of
Agriculture D. F. Houston. In addi
tion to some of the New England
states, New York, New Jersey, Penn
sylvania, Delaware, Maryland, Vir
ginia, West Virginia and North Caro
lina were represented.
Speech by Houston.
Secretary Houston, in addressing
the conference, spoke of the organiza
tion and co-ordination of agricultural
agencies for more effective assistance
in the present crisis. The response, he
said, of all the agricultural agencies
has been tremendously gratifying.The
farmers have done their part with en
thusiasm and patriotism and, for the
! most pail they were favored by na
f ture. The result is, as you know, that
in a number of important crops the
nation will have this year enormous
yields.
“But singularly enough, from a mil
itary standpoint, we were unfortunate
in respect to the very crop of which
we have the most immediate and pres
sing need. Wheat bread seems to be
peculiarly the war bread, due to its
own special characteristtics as well as
to the habits of European nations with
whom we are associated in this war.
It was not the farmers’ fault that we
did not have a large wheat crop. A
The Joseph Fels International Com
mission has issued from New York
(he foilwing statement:
Although President Wilson speci
ficially warned congress against in
flating prices and burdening future
generations with huge bond issues,
the senate finance committee has re
ported a war revenue bill that raises
by taxation at least $600,000,000 less
than will be required for the first
year of the war, thereby increasing
by so much the amount that must
be raised by bond issues.
Secretary McAdoo’s plan was to
float a $2,000,000,000 bond issue and
to ask Congress to raise about $2,
200,000,000 by taxation. The house bill
provided $1,800,000,000 chiefly from
income and excess profits taxes. The
senate finance committee has rewrit
ten the bill and cut this amount to
$1,650,000,000.
The senate bill spares multi-mil
lionaires and the munitions industries
that are making enormous profits,
but does not ease the burdens of the
average citizen. The a'ncome tax
for incomes of $1,000 and $2,000 re
mains the same. The tax on incomes
above $40,000 is reduced. Inheritance
taxes are cut out of the bill entirely.
So is the tax on 1016 incomes.
The revised revenue bill was writ
ten under the personei direction of
Senator Penrose of Philadelphia,
large acreage was planted, but there j
was a tremendous winter killing; and !
so we have the very short crop of last1
year followed by a short crop this!
year.
“It is highly essential that we omit1
no step to secure a production of j
wheat during the next year which will i
be greatly in excess of the normal
needs of this nation. My own convic
tion is that, whether we have peace or j
war, this nation is going to be called ;
upon for some time to come to feed i
a considerabale part of the population |
of Europe and to furnish it with agri
cultural supplies and equipment.
“I speak of this because there may j
be doubts in the minds of farmers as
to whether they will take too great j
risk in planting large wheat acreages |
in the next few years. I am no pro-!
phet. None of you, perhaps, would be
willing to dogmatize, but I think we
might agree that the economic condi
tions will be such as to assure wheat
producers a normal and profitable re
turn.”
Consideration of Other Crops.
“It is important,” the secretary con
tinued, “as I have said, that we have
' an abundant supply of wheat to satis
I fy our own needs and a large part of
j the need of Europe from this time at
least to the end of the next wheat sea
son. But it is also very important that
' the suggestions made shall be wise,
that we shall not interrupt our large
agricultural enterprises in other direc
tions, unduly unbalance our agricul- ■
ture, or undertake to do things which
are not desirable from a physical point
of view. Our problem is not merely
one of wheat production. It is of ne
cessity in no very small sense a prob
lefn of the entire agriculture of the
| naation.
|
“It is very gratifying to those of us i
who are trying to render service here!
I to witness on every hand the most i
patriotic and fine spirit of service on !
the part of the peopple throughout the
nation. This is not a task that any
one group of men, any set of govern
ment officials, can do. Wars are no!
longer fought by a comparatively few
groups of individuals. They are fought
by entire nations and won by those na
tions with the largest resources most
effectively organized and directed. I
think this nation is giving a demon
stration, and will continue to give a
superb demonstration in thp fipld of
| ranking republican member of the
! finance committee, and Snator Sim
| mons of North Carolina, a southern
I conservative and chairman of the
committee. Penrose represents the
iron, steel, railroad and whisky inter
ests of Pennsylvania. The revised bill
has the hearty approval of Wall
Street.
Accepting the advise of Prof. Ed
win R. A. Seligman of Columbia Uni
versity, who has been writing and
lobbing in close cooperation with J.
P. Morgan & Co., the senate finance
committee leaders have devised a
scheme for taxing excess profits that
looks well at first glance, but that ac
tually lets the enormously profitable
war industries off with only a small
fraction of the taxes that are levied
against similar industries in Eng
land.
The bill as reported to the senate
calls for a graduated tax on excess
profits, beginning with 12 per cent
and increasing to 50 per cent of
profits, 250 per cent in excess of nor
mal. In reality, a concern making
250 per cent excess profits would pay
only 33 per cent tax. This is accom
plished by applying the smaller rate
to each unit of excess. Thus, the con
cern making 250 per cent excess pro
fits would pay 12 per cent on the first
15 per cent of exess, and so on up,
the 50 per cent tax applying only to
organization, in the direction of great
resources, and is going to teach the
people of the world that democracy is
really what we claim it to be—the best
form of government.”
NEW FIND MADE
AT WILLOW CREEK
GEORGE ANDERSON WRITES HE
HAS FOUND GOLD IN TUN
NEL RECENTLY DRIVEN.
George Anderson, who has been do
ing considerable development work on
his Willow creek property, in a letter
to friends here, says that he has
struck good ore in the new tunnel.
Mr. Anderson has what is known as
a prospector’s one-stamp mill, and
persons who recently came from the
camp report that he has several tons
of high-grade ore ready for milling.
Mr. Anderson states in his letter
that he will work just as long as wea
ther conditions permit. As usual the
is optimistic over the prospects of the
Willow creek camp.
Visited All Properties.
Winfield Erwin, assistant cashier of
the Bank of Anchm-age, returned Sat
urday from a trip to the Willow creek
district where he spent the past ten
days visiting the various properties
including the Gold Bullion, Independ
ence, Mable and Martin mines. Mr.
Erwin made a thorough investigation
of conditions in the camp and returns
very enthusiastic over the future
prospects of the district.
Operating Successfully.
He states that the mines operating
at the present time are all operating
successfully and that the different
managers informed him that they
would keep the mills grinding as long
as weather permitted.
He declared that there would be
more companies operating this winter
than in any previous year, and several
of the smaller companies were intend
ing to do considerable amount of de
velopment work this winter. Mr. Er
win predicts unprecedented activity
and development in the Willow creek
district next year and is of the opin
ion that the famous camp is one of
Anchorage’s chief assets.
the amount of profits in exess of 250
per cent normal.
In contrast with this maximum rate
of 33 per cent, Great Britain taxes
excess profits at a flat rate for the en
tire excess of 80 per cent!
Senators Thomas, Gore and La Fol
lette, as true people’s representatives
on the senate finance committee, have
filed a minority report protesting'
against the bill. Senator La Follette
asserts that the entire $4,200,000,000
necessary to finance the first year of
the war could be raised, and 50 per
cent as much more, by a tax on ex
cess profits that would work no hard
ship on anyone. This would do away
with bond issues entirely.
The success of the Penrose-Sim
mons-Rockefeller-Morgan plan of war
financing depends on whether the
people of the United States will stand
for it, or whether they will let their
representatives in congress hear from
them in such emphatic fashion as to
bring about the defeat of the bill and
the passage of another measure that
will enforce something like equal sac
rifice by our very rich.
High rates on excessive incomes
and profits constitute the least object
ionable form of personal property
taxation. Far better would be a tax
on land values, which would destroy
privilege and monopoly and prevent
the accumulation of huge fortunes.
FIFTY-TWO COMMISSION EM
PLOYES FORM BRANCH OF
ALASKA LOYAL LEAGUE.
Fifty-two employes of the Alaskan
Engineering Commission in An
chorage have organized a branch of
the Alaska Loyal League and will
hold another meeting this afternoon
at 5:15 in the Young Men’s Christian
Association building. J. T. Cunning
ham was elected president, H. B.
Barndollar, vice-president, and F. J.
Hart, secretary and treasurre of the
league.
An executive board, consisting of
D. B. Van Derlip, M. R. Manning, J.
C. Seeley, G. Mueller, C. D. Pollock,
G. C. Hammond, D. D. Vint and W.
G. Wilt was elected. Captain L. I).
Davis has offered the services of a
non-commissioned officer for drill-j
master at any time desired.
Will Drill Monday Night.
The board decided upon Monday
night as the time for holding regular '
drills and the first drill will be held
on the Commission grounds Monday
evening.
The constitution and by-laws of the
Alaska Loyal League have been
adopted in the first meeting and Capt.
F. Mears has been offered the cap
taincy of the company which the
members will form. Capt. Mears has
promised to wire outside for guns and
drill equipment as soon as the com
pany is well under way. Other of
ficers of the company will be selected
following its organization.
The names on the roll of the Al
aska Loyal League are: F. J. Hart,
R. N. Moyer, J. H. Robinst n, C. Verne i
Marshall, J. E. Mueller, 1. H. Fleisch
man, J. T. Cunningham, W. D.
George, Don S. Griffith, D. B. Van
Derlip, W. G. Wilt, D. D. Vint, Henry i
Levy, E. C. Oldfin, H. R. Munson, J.
T. Delaney, M. E. Sundberg, Henry
J Miller, Arthur J. Hewitt, Fred
Lilyman, H. U. M. Higgins, W. L. j
ADMINISTRATION LEADEBSOK
SENT TO EXTEND TIME FIJ*
DEBATING MEASUBE.
WILL BALLOT THIS WEtfKL
Opposition Is Directed to r miiiwil
Competing With Private UTan'inw
and to Amounts of P«dkky aaUK
Rates.
WASHINGTON, Sept HL~ Mr
though administration leaden; -marm
anxious that the bill providra* pv
ernment insurance for sohfiera xnd
sailors in the service of the wdBam
should be put on its final panagiR
the house today and an agreesMsK fte
this effect had been arranged awaaift
days ago, they have reluctantly aw**
ed to the demands of the opp*9Hrte.«£
the measure to extend the time fxsrimr
bating it, and no attempt m® ier
made to enact it until toward ttar «■#
of this week.
There is a small but deterain5»ir op
position to any legislation at aft afamgt
the lines of federal insurance /*r max
in the army and navy, but this opposi
tion of itself is not sufficient enes. Sfc
delay action.
Amounts of Policy and Rale*.
Added to it, however, is & iasfiuHto
that, while not opposing the jarsnpim
of federal insurance, objects te
proposed maximum amount of tfer ,%m&
icies and to the premium rates..
The bill as reported by irewrr?"’-—
tee and as advocated by the oisataia
tration would enable any ofhnsr ok
enlisted man in the army or aq s*
take out a policy for any sun xfi tw
$10,000 at premium rates cons^fsaely
less than would be charged far poli
cies in similar amounts by regular in
surance companies.
Would Eliminate Pensja»v
As to the maximum amoue* of as
surance, the administration dedans* hfc
is not all excessive in vew of Ike fact
that the adoption of the umaaa
principle will do away with the pr
si on system.
In explanation of the low
rates, the government contend* that
its conduct of the insurance tbmmwam
will be at much less cost than
companies can operate their bax^aatsu
The government, it is explained, -jjrlls
avoid nearly all the heavy osaerbsssC
expense so burdensome to privair.-Mar
cerns. Its treasury department iuzii
clerks, without much, if a»j. asogr
mentation, will be able to care fssr tie
insurance business. There wnea&L hr
no branch offices througlusjt Ehe
United States nor no army of hijdft
salaried officials and solicitors.
SINN FEIN LEADER
AGAIN PUT IN m
DUBLIN, Sept. 10.—J. J. *
prominent member of the Snm F«»
party, whose death sentence f«r gea**
ticipation in the recent rebel!*®®. xfas
commuted to ten years’ penal seni
tude, nad who was lately granted .sn®
nesty, has been arrested again in ccn&
nection with the formation f£tw>
Fein clubs in the south of Ire&srai
Courts-martial recently hawe asa
tenced three Sinn Feiners fro** iJap
County Clare and four from
County Galway to imprisonment•■»'<?
ing from two years to three mooter
for offenses against the anti-drt©*^
order.
Durham, P. H. Weber, Chas.
Jones, O. A. Kenyon, A. BL Cm*
mings, G. C. Hammond, R. D. OsaHti.
M. R. Cotter, C. M. WresseL JL iSL
Temme, A. G. Balls, D. R. Adasa^ £»
Mueller, H. F. Schultz, H. MeOnC
C. D. Pollock, A. E. Schiltz, X H
Coulton, F. U. Mayhew, B. H.
dollar, Fred Tiffany, A. B. Catnm BL.
N. Hargood, H. T. Sanders, EL IX
Rydholm, J. C. Seeley, L. E. Chester
field, M. R. Manning, R. W. Raart* HI
McHugh, E. L. Werner.
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C. E. BROWN, President
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I>. VtrCE7"T
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