Rensselaer Republican, Volume 26, Number 45, Rensselaer, Jasper County, 5 July 1894 — FIFTY-THIRD CONGRESS. [ARTICLE]

FIFTY-THIRD CONGRESS.

Only eleven Senators were in tiie chamber when Vice-President Stevenson rapped for order Wednesday. Twenty minutes were spent in waiting for a quorum. A bill to amend theactregulating the times and places of holding the United States courts in the State of Washington was passed., The debate on the income tax was resumed. The pending amendment was that of Mr. Allison to exempt corporations. companies and associations having a capital stock of less than 5100.0)0. Mr. Hill immediately took the. floor. The theory of this income tax. he said, was that the income, tax from individual in** vestments, unless they exceeded 54.009, should not be subject.to the tax. But no. such limitations existed as to corporations. He could see no reason for the dlstinction. Mr. Vest, in reply toMr. HilJ, said that under the present system of taxation the citizens paid taxes upon consumption. It was unjust and unequal. The poor paid practically as much as the rich. Property and incomes, in his opinion, should pay for the protection of the government. Why should taxes be levied not upon the property but upon the wants of the citizens? The 54,( 0J exemption of individuals, whether the figure was the correct one or not, was the amount fixed as the cost of living. Corporations consumed nothin?; they were entitled to no exemption and should have none. Mr. Allison modified his amendment so as to exempt corporations whose capital and surplus did not exceed 5101),000, the cost of insurance etc,, of any manufac-

taring or trading company to be considered in estimating expenses. Mr. Allison, after some discussion, finally decided to withdraw his amendment altogether. Mr. Perkins offered an amendment in the shape of a proviso, exempting from the operation of the income tax savings banks doing a commercial business whose capital stock is held as a special guarantee fund for the benefit of their depositors. Mr. Harris moved to lay the amendment on the table. Mr. Perkins protested against having the debate on Ills amendment summarily cut off. “You have no right to do this.” said he. appealing to Mr. Harris. “But I will assert the right,” replied the Senator from Tennessee. Mr. Perkins thereupon withdrew his amendrn i•n t, at th e s u ggestio nofMr. A 1 <i rieh, who .said he would offer an amendment . covering the same point, exempting savings banks organized oh the mutual plan solely for the benefit of the depositors. Mr. Smith offered the amendment of Mr. McPherson to exempt dividends of corporations to individuals not exceeding 54.000. The amendment was laid on the table—3l to 24. Mr. Hill immediately reoffered the amendment reducing the dividends exempt to 53,000. Mr. Hill’s amendment was lost —20 to 3. Mr. Hill modified the amendment so as to exempt dividends not exceding 12,000. Defeated —20 to 24. Mr. Hoar offered an amendment to exclude from the operation of the tax joint stock companies whose members receive as a share of the profits less than □51.009 each. Lost —2O to - 26. Mr. Hill again modified his former amendment so as to reduce the exemption to 51,000. Lost—23 to 32. Mr. Allison said that all attempts to eliminate the small stockholders in corporations having failed, he would renew the amendment, fixing a limitation upon the capital stock of companies to be subject to that amount. He modified the amendment, however, so as to exempt corporations having a capital of less than 580.009 instead of 5109 000. Lost—24 to 31. Mr. Hoar offered an amendment to exempt stock companies, corporations and associations whose incomes do not exceed 54,00 ). Lost—2B to 30. Mr. Hill offered an amendment to the end of Section 59 to exempt corporations created bv the States which by the terms of their incorporation are required to pay a special tax on their earnings, dividends and franchises to the State other than the general tax. Defeated —25 to 30. Mr. Aldrich offered an amendment to exempt savings banks organized on the mutual plan solely for the benefit of the depositors. Adopted. Mr. Vest offered an amendment, which was agreed to, exempting mutual savings banks conducted for the benefit of depositors in the State of Delaware. Mr. Peffer proposed an amendment, which was lost, to strikeout the exemption made kt Refinance committee’s amendment to Section 62, in case of salaries of State, county and municipal officers. Mr. Hill moved

to amend Section 60 to provide; for the inspection of accounts of corporations subject to the tax so as to limit the time of inspection to the period between March 1 and Aug. 1. After some further debate; without action on the. amendment of Mr. Hill, the Senate, at 6:20. adjourned. In the Senate, Thursday, Mr. Hoar started filibustering tactics by making the point of no quorum. When a quorum had been secured, Mr. Cockerell renewed his motion of Wednesday, to refer his resolution back to the committee. Mr. Hoar superseded this motion with one that took precedence, moving to refer with instructionstoreport back, as an amendment, the sundry civil appropriation bill as it passed the House. Mr- Hoar consumed the remainder of the morning hour until 10:30. He protested against keeping the tariff bill before the Senate to the exclusion of all other legislation, and said that when the majority asked the minority to continue existing appropriations inorder to press a bill that the minority believed injurious, they asked too mdch. Wiien the hour of 10:39 arrived, the question of the disposal of the resolution gave way to the tariff bill. The pending amendment, was that of Mr. Hill, to limit the time to a period between March 1 and Aug. 1 of each year, when the books of the corporations should be open to inspection. The amendment was rejected. Mr. Hill then made a motion to strike out the income tax feature of the tariff bill. Lost, 24 to 40. Sec, 88, which advances the tax on distilled spirits from 90 cents to SI.IQ a gallon was discussed at considerable length. Mr. Peffer offered an amendment to fix the tax on beer at $1.50 a barrel. Lost. Mr. Al drich moved to make the increased whisky tax go into effect Immediately on the passage of the bill. Adopted. Mr. Peffer moved to decrease the bonded period from eight to three years. Lost. Mr. Perkins proposed an amendment providing special bonded warehouses for fruit brandies. Lost. Mr. Allison proposed an amendment to levy an additional tax of 5 cents per gallon in addition to the sl.lO on ali distilled spirits remaining in bond more than four years. Lost. Mr. Hill voted wtyh the Republicans. The committed amendment fixing the tax at sl.lO per gallon and extending the bonded period to eight years was agreed to without division.

Section 101,.the last but one, of the bill' providing for the repeal of the repf-* procity provisions of the McKinley bill, and the abrogations of all agreements under it, was reached just before 7 o’clock. Mr. Hale moved to strike it out. As this motion would bring up the whole question of reciprocity iteouki not be disposed of. The Senate, therefore, at 7 o’clock adjourned. " In the Senate. Friday, Nir. Sherman’* resolution directing the committee on interiState commercc to inquire into the advisability of regulating the use of sleeping and parlor cars was adopted. The joint resolution continuing the annual appropriations thirty days after June 30 a as adopted 1 . The tariff bill was taken up and Mr. Vest moved an amendment to the clause repealing the reciprocity features of the McKinley bill. Agreed to. Senator Peffer offered as a new section the amendment levying a tax of 550 per head on all aliens landing in the United States to engage in industrial occupations. Tabled—46 to 12. The duty on silk (paragraph 298) partially manufactured frorr cocoons was fixed at 20 per cent.; thrown or spun silk, 30 per cent. Sec. 9 of the internal revenue was amended so as to prohibit liquors made of sugars and molasses being entered in bonded warehouses. The duty on precious stones, cut bht not set, was fixed at 25 per cent; if set, 30; uncut precious Stones. 10 per cent Th* tariff bill was reported to the Senate al 5:45. Mr. Manderson moved to adjourr until Monday. This motion was lost— 2l to 35—but in the executive session which followed the motion was agreed to, and al 6'lo the Senate adjourned until Monday.