Evening Republican, Volume 20, Number 310, Rensselaer, Jasper County, 30 December 1916 — WILSON FAVORS U. S. BOND ISSUE [ARTICLE]

WILSON FAVORS U. S. BOND ISSUE

Tentatively Agrees Thus to Meet De-ficit-May Exceed $300,000,000 — Storage Tax Possible. -

Washington, Dec. 29.—President Wilson has .tentatively agreed with administration leaders on a bond issue to meet part of the treasury deficit which confronts the government for the year ending June 30, 1918, estimated by Secretary McAdoo in his annual report at $185,583,000. Congressional appropriations committees, however, basing estimates upon actual appropriations, without regard to whether all or part is spent, figure the deficit as $313,269,654. The president believes a bond issue should be used only to meet temporary and emergency expenditures. Many of these have been caused by the Mexican situation. The treasury already has authority to issue Panama bonds, and about $240,000,000 of tjiese, at '3 per cent, are available. Secretary McAdoo and others are studying the advisability of taxing articles of food held in cold storage. It is argued that a graduated tax, based on time of storage, would not •be a burden, and would tend to force products out of storage and thus lower the cost of living. Congress may adopt the tax plan as a means of regulationOther plans for revenue concern the income and inheritance taxes an/I special taxes on internal revenue and imports.