Indianapolis Times, Indianapolis, Marion County, 2 March 1943 — Page 2

, tiotis would be allowed. This cut

WA |

~ PAY-AS-GO SEEN

3 House Group Modifies Ruml Plan in Urging 20% Pay Deduction.

WASHINGTON, March 2 (U, P). Tentative approval by a house subcommittee of a 20 per cent paycheck withholding on income amd victory taxes after July 1 today ‘brought support for a “half-and-half” application of the Ruml pay-

-as-you-go plan for canceling all of |§

1942’s income tax. The “half-and-half” proposal, it - was pointed out, would forgive income payments for the last six

months of 1942 and the first six|j

months of 1943 merely through

enactment of the withholding “tax |g

with amendments adjusting the difference in taxable inicome at the end of the year, ; Members of house ways and means committee and. its five-man subcommittee, which approved the withholding device, said the proposal has received considerable attention by both groups. They added that all- proposals for canceling all or a part of one year’s tax liabilities have ~peen deferred for the present.

Too Late for March 15

Permanent postponement of action to dispose of "a year’s liabilities would give automatic effect to the “half-and-half” plan since no law ' exists for double collections. Advocates of the Ruml plan, although not committed to the move to cancel part of each year’s taxes, conceded that their original pro- . posal for by-passing all. 1942 taxes would have to be revised. There no longer is sufficient time to enact a pay-as-you-go collection plan by March 15, the deadline for filing 1942 returns. The taxpayers will be required to pay two quarterly installments before the paycheck deductions begin.

Treasury Opposes Plan

Opposition-to the “half-and-half” idea has /been voiced by the treasury department, which dislikes the prospect of canceling any ‘portion of 1943 levies because of the record income levels expected. The withholding levy would impose 17 per cent rates on net income and increase normal exemptions by 10 per cent. No- deductions, such as the present ones for earned income credit, ‘local taxes and charitable contribu-

would be canceled by the exemption increases and reduction of rates from 19 per cent (normal and first surtax bracket) to 17 per cent, according to treasury estimates.

$8 for Each Dependent

The weekly exemptions allowed under withholding would run $26 for married persons, $12 for single persons and $8 for each dependent. A net levy of 3 per cent paycheck deductions would be added to the 17 per cent income withholding rate to cover the present 5 per cent victory tax. This would not result in.a reduction ‘since exemption credits amounting to 2 per cent of the present tax are not allowed under the withholding device. The subcommittee today takes up ~ the question of how to extend the withholding recommendations to farmers, professional¥men and others who do not receive their income in checks and salaries.

Sg mar; oP

and turret -designed to deflect en

This is the huge M-10 tank destroyer, made in the ; been playing a prominent part in routing axis forces in Tunisia. Note the sloping contour of the hull

emy shells, (Passed by censor.)

Fisher Body plant at Detroit, Mich., which has

OVER BADGES

Mayor and Police Surgeon Get Them, but Action on Others Is Withheld.

Dissension flared in safety board

request for badges. for non-police city officials. The mayor requested badges for himself, city controller, members of the safety board and the police surgeon. After refusing to authorize badges for themselves, the board members approved them for the mayor and the police surgeon—but withheld action on the others. Chambers Is Opposed

Smiley Chambers, Democrat, voiced emphatic opposition to what he termed “indiscriminate” distribution of police badges to incumbents who have no official use for them. Paul Robertson, Republican, re-

gfinted individuals during the last administration still had not been returned. Mr. Chambers blocked the proposal to bestow a badge on City Controller Roy Hickman on grounds that Mr. Hickman would have no official need for it. Mr. Robertson said he thought many of the “civilian” badges had been used for. “not altogether official” purposes.

REALTORS’ LICENSE BILL PASSES HOUSE

State regulation and licensing of real estate agents and brokers would be provided in a bill passed today by the house and now before the senate for final legislative action. Strongest support Jor regulation

ranks today over Mayor Tyndall's

plied” that move than 100 badges

of the real estate business in In-|

BOARD IN ROW Predict Army Reversal on

Farm Deferment Measure

. WASHINGTON, March 2 (U.P). The senate military affairs committee tollay ordered another five-hour delay in passing judgment on the hotly contested Bankhead bill to defer farm workers from military service. hind closed doors convinced adminlistration leaders that their immediate strength in the committee was insufficient to halt approval of the bill. The committee agreed, after an hour of discussion, to vote at 4 p.m. on the measure which is sponsored by 40 members of the senate. Senator Harry $S. Truman (D. 'Mo.), an opponent of the measure, said the delay was decided upon “because it was clear that the committee members in favor of the bill can out-vote us.” , Mr. Truman, chairman of the special senate committee investigating the war effort, said that spokesmen for the army tried vainly in a last minute appeal to swing sentiment in favor of their position that the bill is “dangerous.”

Labor Draft Hearings Begun

After postponing action on the Bankhead measure, the committee {began open hearings cn the highly |controversial Austin - Wadsworth |mational service bill which authorize drafting for war work of men 18 | through 64 and women 18 through 149 if they do not “volunteer” their !services in satisfactory numbers. Senator Truman's disclosure that the bill had an excellent chance for committee approval upset previous calculations that the military af-

Debate on the measure be-

fairs group—which has hot rejected a single major war department recommendation since Pearl Harbor— would follow Undersecretary of War Robert P. Patterson’s plea that the bill be rejected. ; Senator Bankhead also has introduced a bill to furlough skilled farmers now in the army. The committee has not acted on it either.

Opposed by Army Leaders

The Bankhead hills have been vigorously opposed by military leaders and other administration officials. Senator Theodore F. Green (D. R. 1), in a special manpower report, has poifited out that farmers’ on productive farms already are deferred from military service and -that it is not the army but high wage rates in industry that have weaned farmers away from the land. : Bankhead and his farm bloc supporters contend that the United States faces serious food shortages unless farmers are Kept out of the army. His bill would have no effect on farmers going into war industry. @ There were increasing indications that the real fight over the manpower controversy, which has become more confused with each passing day, will be on the AustinWadsworth bill. Opponents .of the draft-labor bill have tagged it “the dictatorship bill” and promised a “no quarter” fight when it reaches the senate floor. Senator Burton K. Wheeler (D. Mont.) has denounced it as an

attempt to impose slavery on the:

American people.

MacARTHUR'S HEADQUARTERS, Australia, March 2 (U, P.).— Fleets of allied bombers were be-

Big Jap Convoy Sighted ‘Moving South in Pacific

The news followed the warning contained in yesterday's communiqu® that the arc of Japanese held

| school city and the civil city to

!| concerts for school children and the

MERUNT | LL NEAR ADOPTION

| Approved by Senate, It 3

Returns to House for

Concurrence.

The Indianapolis Symphony bill, which was passed by the state senate yesterday, was to be returned to the house for concurrence in amend-. ments today and then will go to Governor Schricker for his signature. Bag It will permit the Indianapolis

appropriate up to $25,000 each for the support of the Indianapolis Symphony orchestré and provide

public at nominal cost. | The bill passed the senate 33 to 9 after previously passing the house by a vote of 63 to 20. Senator John Atherton (R. Indianapolis) told the senate that the. orchestra has been a “great cultural benefit to Indianapolis and the- surrounding communities.” Doubts Many Enjoy It Senator Clyde Black (R. Logansport) said he was opposed to any measure that would “tax the many for the enjoyment of a few.” He said he didn’t think that more than 15 per cent of the public “enjoy symphony music.” Senator Arcada Balz (R. Indianapolis) replied that the reason “only 15 per cent enjoyed good music is because the other 85 per cent can’t afford the high prices.” | She said the bilt would bring the symphony’s music “in the reach of the many.” : | ; Johnson Gives Thanks Senator Robert Lée .Brokenburr (R. Indianapolis) said it was one way to “counteract bad music.” Senator = Howard Johnson (R. Mooresville) expressed “the appreciation of the surrounding communities for the Indianapolis gymphony orchestra.” Senator James Armstrong Springville) said he would vote for the bill because the Marion county senators wanted it. : | “But two years from now I'm going to introduce a bill for the support of the Bedford basketball team and Ill expect the Marion county senators to go along with nie then,”

he we, Sod t

REPUBLICANS BLOCK

Proposed restoration of the lien | provision to the state welfare law | was shelved today for another two | years. a Republican members of the house met in caucus last night and ratified an earlier policy committee decision to do nothing about welfare liens. The bill to permit the welfare department to take liens on property of old-age benefit recipients will die on third reading without going f a vote, it was-agreed. The Indiana Farm Bureau, tax- | payers’ groups and ether propo- : nents of restoring the lien provision contend that it is costing the welfare department $1,000,000 a year to be without means of recovering portions of the old-age benefits paid out. The lien provision was repealed in 1941. { It was understood that the lien provision will be taken up again two years hence when the results of a two-year investigation of the welfare department can be crystal:

(R.|.

WELFARE LIEN BILL

| ers have dropped their accident

As the bill passed the house, it would have placed the department of financial responsibility: under the direction of Republican Secretary of State Rue Alexander. Some doubt existed as to whether thegtransfer of the department from a department controlled by Governor Schricker to - Mr. Alexander would have been legal under the ’41 supreme court “ripper” suit decision.

.The insurance interests, anx-ious-not to have their bill thrown out because of a mere technicality of jurisdiction, had the measure changed. ~ No provision was included in the bill by the senate Judiciary A committee, however, to cover the increased costs of ation which the passage of io mosyure would entail. ( / There are reports hat the insurance companies Hemel will put up money to start out the exparided operation. This was said to have been done in New York where a similar law is in effect,

2 2 ®

‘Big’ Money Involved

The effect of passage of the hill would be to “make it the easy way out” for every automobile owner in Indiana to carry accident and liability insurance.

“Proponents of the measure argue that anyone owning an automobile which might cause death or injury to another person should have sufficient insurance to pay for the damage they cause. But almost overshadowing this point, which is a good one, is the undisputed fact that the bill's passage will mean virtually millions of dollars in extra business for the accident and liability in-

in Indiana. | It unquestionably is “big busi - ness” legislation. And it comes at a time when the average automobile owner has an “A” card and is driving less than ever before. Many car own-

and liability insurance policies since rationing started.

” 7 , ’ Ft. Wayne Boys Win shows” of the session was put on yesterday by the Pt. Wayne bloc of the Republican party. They wanted and got their bill giving their Republican city officials about, if not, the biggest income of any city officials in the state passed over Governor - Schricker’s veto, They recruited State Chairman Ralph Gates who practically contacted every ‘Republican legislator personally before the vote was taken in both houses. The Republican battle cry was that Governor Schricker had made the matter a political issue by vetoing the measure this time when he let a similar measure become a law-two years ago without

BY EARL RICHERT

SO BADLY do proponents of the drastic financial responsibility bill want it passed this session that they have sought to avoid fire by removing the political aspect of the bill. : It has been amended in the senate to leave the department . financial responsibility, which would administer the law, under the Democrat-controlled department of public safety.

surance companies doing business |

the ’41 law pertained to Ft. Wayne and Anderson city officials, providing for extra compensation for services rendered in operating the tleree city-owned utilities.) Mr. Gates said that the matter was “strictly a political issue” and that he was fighting for “the boys” in his district. Walter Helmke, Allen county G. O. P. chairman who draws, $6000 annually as city attorney under both the ’41 and present laws was on. the scene to see that

- the bill got through.

” #

Can’t Be Sued

ONE OF THE legally questiohable sections of the new bill, which is now a law, is the section which declared valid the extra compensation received by the city

officials both under the ’41 law and/to be received by them under the new law. It provides that no suit can be brought against either the paying officer or the recipient of the additional salary. This section is designed to legalize, if possible, the extra money received during the past two years and thereby stop the state board of accounts when it audits the Ft. Wayne city accounts from chérging back against the officials the extra money received. The constitution provides that the Salary of any officer cannot be increased during his term of office. And both the ’41 law and the ;new law provides for additional. compensation during the terms of the incumbents, : The governor in his veto message said it was his opinion that the provision barring suit “conflicts with the fundamental law of our state.” : Under both the old ¥nd new laws, Mayor Baals of Ft. Wayne could draw an annual salary of

- $11,100. But he is drawing only

$8800 under a city council-fixed salary schedule. g This, however, is more than any elected state official, with the ex-

Ft. Wayne Republicans said

salaries was the main issue in the last election and that since | :

| won by several thousand votes it :

"was evident that the voters ap proved the high salaries. =

DESERT NAZI AR

LONDON, March 2 (U. P.).=

that desertions and monotony are depleting Adolf Hitler's army and the London radio declared he ine tends to fill front-line posts between 1,500,000 and 2,000,000 for= eigners. Lf Th

HOOSIER DIES IN ACTION

WASHINGTON, March 2 (U. P), —The war department last night announced that Pvt. Paul S. Shriver was killed in action in the southwest Pacific area. His mother ig Mrs. Ruth Shriver, 117i N. Broadway, Greensburg, Ind. :

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that the question of the increased

; 1 i ¥ diana came from the northern part jjeved massing today for an all-out | ands north of Australia was be

i ing constantly reinforced. of the state where, according to sup-| \ : porters of the bill, there is a con-, On the northeastern New Guinea

a Democratic mayor. (Both the present salary increase bill and |

lized into bills to improve the entire welfare setup in Indiana.

DETAILS OF NAZI'S 14 EAST OHIO ST.

attack on a huge Japanese convoy

TRANSFER WITHHELD

OTTAWA, March 2 (U.P,).—De-| fense Minister J. L. Ralston told,

stant overflow of “fly by night” real estate operators from neighboring states.

Rep. Mick Coffing (D. Gary), au-|

‘moving toward New Guinea. | "It was the first Japanese move to indicate the reason behind the lenemy’s concentration of forces in

commons yesterday that it*was “not thor of the bill, told the house that the islands north of Australia which

in the public interest, at “least at| present,” to release information as to why Ernst (Putzi) Hangstaengl, former friend of Adolf Hitler, was transferred from a Canadian in-/ ternment camp to the United States. - Ralston said. the information

the biggest problem of the real estate business in Lake county results from Chicago operators ‘who

jcome into Indiana, pull a few fast

deals and then hike back to Chicago where hothing can be done about it.”

Chief opponent of the measure

‘had been under way for weeks. It |was revealed in Gen. Douglas Mac|Arthur's communique today and \indicated that the Japanese had {been concentrating for offensive ‘rather than defensive action.

- The communique said that yes|terday afternoon, when the convoy

should be withheld because several Was Rep. Lloyd D. Claycombe (R.\ wc first sighted, weather condiallied governments were concerned | Indianapolis), who charged that the i, were such that an aerial at-

in the transfer of Hanfstaengl, who was reported recently to be divulging secrets of the Nazi inner circle to the American state department in Washington. ‘

LOCAL BAR TO MEET

Dr. Manley O. Hudson, professor of international law at the Harvard law school, will address the Indianapolis Bar association at 6:15 p.m. tomorrow at the Columbia club. Members are asked to bring a guest; Secretary Charles W. Holder said. TTT LIONS TO HEAR ALLEN

Rowland Allen, personnel director of L. 8. Ayres & Co., and a member of the state personnel board, will speak tomorrow noon at a luncheon of the Lions club at- the Claypool hotel. He will speak on “ Law of Indiana.”

bill was “regimentation gone ram-

| pant.”

Despite Rep. Claycombe’s plea

| that proposed regulations would work undue hardship on the real estate business and that Marion county realtors were opposed to it, the house passed the measure, 74 to 11.

CREDITED WITH MIDWAY WIN ADVANCED SOUTH PACIFIC BASE, March 1 (U.P.) (Delayed). — Admiral William F, Halsey, commander of allied naval forces in the south Pacific, today informally presented the distinguished service medal to his chief-of-staff, Capt. Miles R. Browning of Mountain Lake, N. J., and said that Capt. Browning's skilful planning was

the Japanese at the battle of Mid-

tack of the sort that in the past have wrecked Japanese attempts to |reinforce their New Guinea forces, |was impossible. | The convoy, of 14 vessels, includ{ing warships and one of the largest ithe Japanese have ever aimed at | New Guinea, was moving behind a storm front, which seemed “made (to order for the Japanese,” a spokesiman at Gen. MacArthur's headquarters said. He added that allied |air fleets were preparing to attack ‘the instant weather permitted. Sighted Monday

The convoy was first sighted on Monday afternoon off Uibili and (allied reconnaissance planes shadowed it along the north side of New Britain island until it was off Tala-

largely responsible for the rout of sea, approximately 230 miles north-

east of Lae, Japanese base on New Guinea's Huon gulf.

{and sank a vessel at dusk, the

front, allied ground patrols from the Gona area destroyed four large Japanese barges in the mouth of the Waria river. This was the first mention of allied ground activity that far north along the New Guinea coast and it may be that the convoy carried reinforcements for hard presse Japanese forces.

U. 3. PLANE TRAILS AXS SHIP TO DOOM

LONDON, March 2 (U. P.).—An American Liberator bomber played tag all day with a blockade-running German ship in the Atlantic until the British cruiser Sussex came up

admiralty announced today. The German ship was first reported to be an oil tanker but .it was learned unofficially that it may have been carrying other cargo. The Liberator, in the latter stages of the chase, had the company of a} flying fortress manned by a British crew, and a German Focke-Wulf plane. There was no work for the fortress, but its crew stayed to cheer the sinking. All the Focke-Wulf accomplished was to prevent the Sussex from picking up the ship's survivors.

HOW’RE THE CHANCES OF HANGING HITLER?

LONDON, March 2 (U. P.).—Sir Leonard Lyle, conservative member of parliament, asked Richard Law, undersecretary for the foreign office, in the house of commons today: “Can you hold out’ any strong hope that we shall ‘be any more successful in hanging Hitler and

Goering than we were in hanging the Kaiser?”

Law did not reply. .

NORSE STEAMER SUNK LONDON, March 2 (U. P.).~The Berlin radio reported today that 13 “British agents” seized the Norwegian steamer Tromsoesund in a Norwegian fjord Sunday and set out for Britain, but the ship was sunk -by German bombers.

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So, we didn’t have

Conservation is one

BUY U. S. WAR BONDS AND STAMPS

STRETCHING OUT EQ

what it takes, eh, Adolf? Too

few locomotives—too few freight cars? And U-boats would make it tougher yet, ja ? Well, put this on the front page of your Berliner Borsenzeitung: During 1942, American Railroads handled, without congestion, the greatest volume of export traffic on record ! At the same time, 1,750,000 fighting men — each with a sad message for you, Adolf —are being transported in organized movements every month.

of the answers—intelligent, co-

operative conservation. The great American car pool, for example, and skillful maintenance . . . heavier,

Er Nh Cor Se SRT

’

Fo?

EE wi

standardization of equipment

tegic materials . . . even wooden pox cars are being

converted into carriers of oil.

devices which are helping American Railroads—with

no substantial increase in

UIPMENT/

more efficient loading... quicker turn-arounds...

. . . substitutes for stra-.

These are some of the

equipment — to break

every record of railroad history for freight, passenger -

and troop movements.

Think fast, Fuehrer ! Even in your boasted efficiency and ersatz methods you ¢an’t beat the ingenuity- of American Railroads. And 60,000 men and women on the B&O alpne are working day and night . withone thought—tobeat you and your Axia gangsters!

Baltimore & Ohio Railroad ONE of AMERICA’S RAILROADS—ALL UNITED FOR VICTORY