Indianapolis Times, Indianapolis, Marion County, 7 December 1937 — Page 14

" neither has been we, Chairma.

PAGE 14

COURT OPINIONS | BAR 2 POSSIBLE.

TAXES, IS BELIEF

Levy on Exempt Securities And Government Workers llegal, Is Indication.

WASHINGTON, Dec. 7 (U. P.).— Two possible sources of additional revenue to compensate for tax reductions demanded by business— Federal taxation of state and municipal employees’ salaries and of tax-egempt securities—appeared today to have been closed by new

_ opinions of the Supreme Court.

The House Ways and Means Tax Subcommittee has been’ considering both tax plans in its revision of the entire tax Siructure. Heretofore

n Fred. vinson (D. Ky.) and other AEA members declined comment pending more detailed examination of :the Court’s 5-to-4 decisions in the Dravo and Silas Mason cases. held the right of a’ State to tax in-

come obtained from a contract with | . the Federal Government. -

Precludes Plan, Is Belief

The early private reaction of some committeemen was that Justice Charles Evans opinions definitely pre uded taxing state and municipal officer’s salaries. In the Dravo case Justice Hughes held that it was beyond the power of one government to tax “the salary of an officer of the other (government), or the public securities of the other, or an agency created and controlled by the other, ..” Justice Department officials, who entered the two cases the request of the Court to state|the Federal Goverment’s attitude, said the decisions definitely settled the question that independent contractors are not immune from state taxation on Federal contracts. In this respect they held it would wipe out some tax exemptions. In their brief they estimated that the decision will add about $3,250,000 a year to Federal expenses on the theory that the contractors will add the cost of state taxes) to their bids.

$50,000, ,000 Outstanding On the more important question

, of taxing exempt securities Justice

Hughes’ opinion in the Dravo case said: ; “The question of immunity from taxation of the earnings of an independent contractor under a Government contract arose in Metcalf & Eddy V. Mitchell. The. services were rendered to a political subdivision of a state and the contractor’s earnings were held to be subject to, the Federal Income Tax. . “The uniform ruling. .. has been that the interest upon Government securities cannot be included in

- gross income for the purpose of an

income tax computed upon net income.” That wording described the plan first advanced by Senator Glass (D. Va.) and which was re-exam-ined by the Tax Subcommittee. It would amount to an indirect levy on tax exempt income, since .that income would serve to raise the rate at which the taxable income is taxed. ° . More than $50,000,000,000 of tax SRsmpt securities are now outstand-

© Meanwhile, the remarks of Secretary of Agriculture Henry A. Wallace on the undistributed profits tax drew attention because of unconfirmed reports that President Rooseelt believes the changes tentatively de in that levy by the House tax group sacle the principle of the

450 cee WORKERS | T0 BE REASSIGNED

- mensgsiuent of 450 enrollees in three Indiana CCC camps was or/dered today by the State Welfare 'Board. They will be transferred proportionately to the existing 28 state camps, officials said. . | Abandonment of three camps, at (Cynthiana, Winslow and Ferdinand, lon Dec. 15, made the emergency move necessary. The state will be |divided into four sectors, each of iwhich is to absorb la portion of the lenrollees of the three abandoned | camps.

PAY UNAFFECTED BY ' RECESSION, IS BELIEF

NEW YORK, Dec. 7.—(U. P.) — The business recession has little or no effect on wages, a poll of dele‘gates to the National Industrial Council indicated today.

Only five out of 225 representa- |

tives of nation-wide employers and trade associations, meeting in

an. “annual roundup of industrial |

thought - and practice,” said they d detected any tendency tod wage cuts.

‘MESSIAH TO BE SUNG

Times Special

MARION, Dec. 7.~The Marion College Community Chorus is to

present parts of Handel's “Mes-|.

siah” tomorrow night in the College Chapel and Sunday afternoon in the First Methodist Church here. Several members of the 113-voice chorus are students from Marion County and Indianapolis.

Chief | Hughes’ | §

Both up-| i

mile trek from Ipswich, Mass. to which the Rev. Manasseh . Cutler’s

history. In authentic reproductions of 1787 costumes,

STATE TO OPEN BIDS FOR 2 DORMITORIES

Budget Committee to Go to Butlerville.

The State Budget Committee was to go to Butlerville today to open bids for contracts on two dormi-

tories and a superintendent’s residence at the Muscatatuck Colony.

The committee last night rejected all bids on contracts for new buildings at the Indiana Women’s Prison here. Assistant State Budget Director Charles Wells said the bids exceeded the $350,000 available for | the program and that new bids on a revised plan will be advertised immediately. It will provide for two cottages and a combination hospital-admittance building.

PARK ATTENDANCE INCREASES 156,000

Indiana State parks attracted 156,000 more visitors during the first 11 months 0£-1937 than during the same period last year, Virgil M. Simmons, Conservation Department Commissioner, reported today. Total 1937 attendance on Dec. 1 was 1,063,779, and with several thousand more expected to be recorded during December, will represent the largest yearly attendance in the history of State parks. More than 40 per cent of the visitors were from | outside Indiana, Mr. Simmons said.

UNIVERSAL GROUP HONORS OFFICIALS

The annual Universal Club election banquet honoring retiring officers is to be held tonight in Columbia Club. More than a 100 persons are expected. Retiring officers are Robert L. St. Pierre, president; Frank G. Sink, vice president; Cecil R. Dillon, sec-retary-treasurer, and Gilbert T. Carter, sergeant at arms. The Club’s annual Christmas party is to be held Dec. 21.

settlement of the Northwest Territory, which included Indiana, 36 youths are re-enacting the 2800-

Marietta, O., in pioneers made

HALF CCC ENROLLEES PERFECT SPECIMENS

WASHINGTON, . Dec. 7 (U. P.).— Nearly one-half the 350,000 Civilian Conservation Corps. enrollees are almost “perfect specimens,” the annual report of Director Robert Fechner showed today. A total of 141,832 men were listed as in excellent physical condition,

In observance of the 150th anniversary of the | they are shown ahove as they plod along beside their oxen-drawn covered wagon in Massachusetts. In the lower picture, they are shown cleaning some of their equipment. U. S. Government, and will take a year. stops, the youths are to present a pioneer pageant.

The trip is sponsored :by -the At nightly

and 174,171 as “good.” were in “poor” health.

Three of the enrollees were above |

seven feet tall, and eight others

crowded seven- feet. Th report was subnlitted to President Roosevelt, founder of the CCC. Neither are the boys Good workers numbered 110,598, and “very good” 97,428. In the excellent worker class were 67, 967.

SECRETARIAL DESK

A dainty, roomy style that. blends well with any room. Sturdily built of select cabinet woods, finished a rich walnut, Tomorrow only—

(Similar to Illustration)

8: 88

Only 2558

“lgzy.”

ich will ‘help the cause” ‘Dr. | fumford wrote Keith: Morgan, na-

> tional chairman for the celebration

City Industrial Clinic Head To Direct Work of ‘New Foundation.

Times Special NEW YORK, Dec. 7.—Dr. ‘Eugene

Bishop Mumford, head of the Indianapolis Industrial Clinic, has accepted President Rooseveit’s in-. vitation to direct the work of .the new : National Foundation for Infantile Paralysis in Indiana. “I shall be very happy. indeed to accept your invitation to become a

| member of the Orthopedic Council

and to aid in any manner possible

of the Presidents birthday. |The 1938 fight against infantile paralysis is to begin officially Sn Mi. Roosevelt's birthday, Jan. 30. . Dr. Mumford said further: “Relative to your broad plan of attack in the question of infantile paralysis: 1 ‘beg to advise you: that I ‘am: in Rearty. accord. .

of the new foundation for infantile paralysis will be of vital importance Job only in the study of this disease ut also in the entire plan of treat‘ment of both the acute and chronic stages. ”» 1 Under the Foundation, all .infantile - paralysis campaign funds will be ‘administered to “support these objectives: (1) scientific reséarch, (2) epidemic action, (3) instructing .doctors and parents in the best methods of care and prevention and (4) maintenance of ‘orthopedic

icenters.

H. P. WASSON & CO. BASEMENT STORE

Women’ s All-Rubber

Fleece Lined - Black or Brown rh

All Heel Heights Sizes 3to 8

~ Forecast! Cold weather, rain, sleet and snow ahead! You'll need at least two pairs of these fine galoshes, | one for your low-heeled shoes and one for your high heels. Two- -snap all-rubber "qaiters,” one of the best fitting on the market. Buy now and be prepared! |

ONE DAY

SALE OF

At Big Savings! y

Pay as Little as

KNEE-HOLE DESK

“l am quite sure that the. creation ;

: Claypool Hotel Bldg.

The World Famous 17-Jewel

BULOVA

"American no

| 529: 15

These handsome 17- 4 jewel Bulovas are set ting the style standard for all America. He will surely appreciate this

* watch, =

ETT

I i

tor "HER"

$29.75

Fully guaranteed watch for ladies, | in effective square design.

mas) NEW GRUEN A dainty 17- Po Watch of charm and dependability. Yellow gold filled. $39.75 LADY'S GRUEN WATCHES PRICED FROM $24.75

LADY'S SMAR aE A gir ghetl esse Jor 4 3 7! 50

Pay nexi year S-DIAMOND

\ 3 Sparkling dia- : in the engagement and 3 Beautifully /

W monds

Magnificent

5-DIAMOND SOLITAIRE TN Lovely filJ y

set wit \ large cen- |

nuine Double Head uta in ‘rugged ster-

. ling mounting. \ .95 stmt

50c A WEEK! =

Pay

MOVIE naif Yo

Complete With 4 Rell of Film

0 ;

Electric Melos Driven Projectors

Complete with __ 1s $°Q.98

This desk is perfect for anyone who. does a lotiof writing! Simply designed inthe old Colonial style, it has seven spacious drawers, with clever drawer pulls, Stauich: ‘cabinet wads, in walat: finish. 4

12 OUNCES

Claypool Hotel Bldg.

A REVOLUTION | IN THE COST ‘OF FUNERALS’ A REVELATION IN UNUSUAL 13 ELEGANCE \ Al ase

The portant desks in simpie in t HARRY W. MOORE t

on ‘of 2 of he Jonas famous and, favorite - Service Booklet, ‘Favorite

nick-knacksl A real value tor

~modious drawer and handy 50 E Michigan StCH ua |