Evening Republican, Volume 19, Number 281, Rensselaer, Jasper County, 27 November 1915 — Tax INCREASE FOR DEFENSE PROGRAM [ARTICLE]

Tax INCREASE FOR DEFENSE PROGRAM

Secretary McAdoo Favors More InX ternal Revenue In Preference to Issue of Bonds.' Washington, D. C., Nov. 26.—Cost of tihe administration's defense program for tihe first year would be met by an increase in international taxation if congress gives its approval to Secretary McAdoo’s suggestion. In a formal announcement Mr. McAdoo declared hds belief that an increased tax levy was preferable toa bond issue, adding that it could easily be borne by the American people. He would raise the necessary revenue by lowering the income tax exemptions and assess various commodities. Secretary McAdoo’s Statement was issued in connection With, an estimate of the federal government’s revenue and expenditures up to the close of the next fiscal year. ‘He places the amount of additional revenue required for the expenditure for 1917 at $112,806,394, including ,$93,800,000 for new measures for national defense. This estimate is based upon the assumption that congress will continue in effect the present emergency tax law and customs duty on sugar. It is explained that while the proposed army and navy appropriations in 1917 would represent an increase fol preparedness considerably in excess of the $93,000,000, a part of the expenditures authorized actually would not be spent during that year. That amount, it is stated, would cover the increase for Which additional revenues muSt be found by the next con•gress.