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About The Oregon daily journal. (Portland, Or.) 1902-1972 | View Entire Issue (Feb. 5, 1917)
.j ' "the Oregon, daily journal; -Portland,' Monday,' February 5,-. m?. - , - ... 3 EXCESS PROHTS TAX PLANNED TO CARE FOR PREPAREDNESS House Committee Feels Urge Interests Better Able to Pay Than Taxpayers, PROTESTS ARE RECEIVED Bill Frorldtp 8 Far Cant Tax on Prof. Its Over 8 Per Cant oa Actual Cap ital investment, $5000 Exempt. Washington. Feb. 5. ( WASHINGTON.- &uKEA& OTHK; JOURNAL.) Tfie new" revenue "bill trained toy the majority of the ways and means! committee of the house in harmony with the views of. the administra tion, is built on the idea that the mounting cost of the preparedness program should be met, so 'far as possible, from those who most con 'spicuously share the, prosperity of the day. The estimated increase of nearly ' J260.000.000 in revenue Is not to come In five and ten-ceqt pieces from the small taxpayers; but in hundred and thousand dollar checks from wealthy corporations and es tates. This course was deliberately .chosen, in preference to extension of the income ta.x to smaller incomes, or to tariff taxation ' upon necessaries of life. Manufacturers Protest. There is some dissatisfaction over this program, as there always is over a matter of taxation. Protests (rat n.t th tim nrnflta 1 1 y a rn coming- from some of the manufac turing districts. Some of the big Interests say that through the in come tax, the corporation tax and the munitions' tax they are already too much burdened. The committee . has taken the view that large corpor ations which make over 8 per cent re better able to pay into the spe- . clal preparedness f utad created by the bill than taxpayers generally. . Only such corporations. Joint-stock companies, partnerships and insur ance companies as do a fair business will be affected, for there is a flat exemption of all concerns having an annual net profit of less than $5000, ' and a deduction of that amount In all cases. Then a further deduction ' is made of all profits under 8 per - cent. ' When Excess Tax Zs Paid, ; j. If the company has profits exceed i lng $5000 and earns over 8 per cent on it actual capital Investment, not including money borrowed through ; bonds or otherwtee, the Income beyond ; the I per cent Una becomes subject to a tax of 8 per cent. The same ex- i emptions are allowed as under the in- " come tax. and expmnt Ion ! oi. tended to the income of partnerships t engaged In agriculture or income de- . T l"lvtri trCtm nrAfAtslnn.l . 1 iui, lAwss income iht i ,t m,t.i t produce ISZgQO.OOo. a year. $170.- 03?,0OO from corporations and,$5.000,-1 0Q from partnerships. All of this is to be turned Into tn special prepared-1 ness fund, along with (175,000,000 es timated ta.be collected under the re? enue act of .last year, and. also one third of the additional inheritance tax. Inheritance Taxes to Be Kalsed.. The inheritance taxes are to be in creased 6Qlper cent over the rates Im posed last 'year, running from Ihk pet cent on estates less than $50,060 o 15 per cent on estates beyond $5.000.-j 000. The additional rates are calcuj lated to bring In $22,000,000 In rev enue. Total appropriations for the army and navy for the fiscal year 1918, prior to the adoption of the new pre paredness program, amounted to $258, 000,000. For the present fiscal year the appropriations are better than double, being $(13,500,000. The esti mates for the next, fiscal year register an Increase to $777,500,000. These may be pared to fom& extent, but are bound to De wen over iuu.uuu.uuu. Big Army and .Wary Increase. Here is an increase for army and navy of around $450,000,000 for next fiscal year over the fiscal year 1916, due directfy to the demands of pre paredness. It Includes nothing for the military cost along the Mexican border, which it is' proposed to care for by bond Issue. That is $162,000, 000 more. Study of these Tigures tells why fnore revenue must be had, since at the same time the regular cost of administration grows, and the gov ernment has a number of enterprises on foot, costing millions In each case, which a few years ago- it did not have. For instance, agricultural ex tension, aid to good roads, proposed increase of pay to government em ployes, armor plant, nitrate plant, Danish West Indies, Alaskan rail way,, federal shipping board, rural credits plan, and many other things comparatively new. $1,368,000,000 Is Heeded. As the matter stands. It Is esti mated $1,368,000,000 will be needed by Uncle Sam to pay his -way next year. This will be met by $230,000, 000 from customs, $326,000,000 from "ordinary" internal revenue, $134, 000,000 from mergency taxes, muni tions and -Inheritance taxes, $133, 000,000 from the corporation Income tax, $111,750,000 from Individual in come tax, $56,000,000 miscellaneous receipts, $10,000,000 Panama canal tolls, $2,000,000 deposits for postal savings bonds, $226,000,000 from ex cess profits tax, $22,000,000 from in creased inheritance tax, $303,000,000 fron bond Issues, cowering Mexican border expense, Alaskan railway, armor plate plant, nitrate plant, Dan ish West Indies and shipping board. Margin of $41,000,000 Necessary. The excess of these receipts over the $1,368,000,000 needed results from GOVERNMENT NTERS E UPON REAL PERIOD! DANGER IN ITS STAND that . his move In " breaking" ' relations with Germany is designed to lead neutral' countries In a great moral ef fortbacked by arms" if necessary to enforce peace. The president has ' formally re quested full and Immediate reports from American representatives in the neutral capitals on the reception of his suggestion as to similar action. ( Owing to the fact that this gov ernment has always stood out for individual or "parallel" action in ! stead of joint action, there are unoffi cial Indications that many of the i t r - r n r)Ciai indications tnai many or i Germany s lime of brace Tor I countries now vm decime to enter . .. , 0i . o.l J ' parallel effort to force Germany NeUirai drupjjlllg III DcUICU'into modifying her submarine Zone' Expires.- I DEVELOPMENTS HOPEFUL Belease of Americans, Appeal to Hen trals and Observance of Interna- - tlonal Xaw CHva Ww Hop. war fare. - The ruling classes of Spain and Sweden are generally understood to be somewhat. pro-German, while the other Scandinavian countries lean the other way. Switzerland Wot Affected. Holland, it Is believed by some' au thorities here, will stand out of the struggle entirely, owing to the fact that Germany has made exceptional By Robert J. Bender. Washington. Feb. 5. (U. P.) This government entered today upon thi real danger period in its position to ward Germany, for today the time -of grace for neutral shipping In new war area expires. At the same time, three momentous developments have come to improve what some officials Insist-' are poi,si bllities of peaceful outcome: ."Germany has yielded to this coun try's demands made a few hours be fore the break in relations came, for immediate release of Americans hell prisoner in Germany President Wilson has asked all neu trals to follow his course in severtns diDlomatic relations with Germany. believing such . action ""will make vfor reace of the world." L Germany has met the full demands of international law in ine ousaionic case. Austrian delations In Doubt. This government has yet to reach a decision on relations with Austria. Careful consideration has led of ficials to feel -that the break with her will not come, however, unless Austria herself precipitates It if she has, not already. Whether peac continues or war is to come, the present situation with Germany should develop within a few days. It is officially believed. Within that time the attitude of most of the neutral nations will become publicly known and whether or not Germany intends to halt or continue the campaign President Wilson called ruthless will also develop. Attention Centers on Weutrais. At the same time he is employing the mailed fist to emphasize his same time giving the Chewaucan Land A, Livestock Co. enoagh for the water lng of Its stock.'.. "3 ' Enters now the first political play of W. Lair Thompson, then -president oT the Oregon stats senate,' and th;n. as now, attorney ror ine came coji- oanv. He started a movement for tns creation of a new judicial district for Lake county. Such a district was cre ated. He then employed his consider- sble influence with Governor v liny comb and Bernard Daly was appoint ed judge. - , Judge la Cattle Business. Daly was and Is interested keenly In anotherl cattle company which op erates under similar conditions in an other valley of Lake county. Then the case Involving the Paisley Irrigation project came up for settle ment on appeal from the adjudication of the water board. It went before Daly, the judge, 'whose Job was cre ated by Thompson, the Chewaucan Liind & Livestock Co.'s attorney. Colonel Wood believes Judge Daly must nave naa some BTiueuct iu auv tin his decision giving practically concessions to her. doubtless influ- e-ry drop ( water In the Chewaucan enced by the presence of a Dutch army of 400.0(H) on her border 20 miles from the Kssen munition works. A majority of officials hold this belief, but there are others who are not so sure Holland wil. be able to keep out. These officials pointed to the fact; that Germany also has large forces grouped on the Dutch frontiers. But even these officials say they be' to the cattle barons. But he does not believe that all the evidence tnai should have been presented was con- The law is a game, said colonel Wood. "One must be a good loser, we were ready to throw up our hands and quit, and appealed to the state to can cel our bond and call orr our contract if..Hn.nH Via, I with the state. But the atate has de .. . . r . I i'r.tA fhrfnr even asratnst our actually to enter the war and not merely sever relations, as the presi dent calls on neutral nations to do. Switzerland, being an interior nation. is not directly ' affected by the new German warfare. South America Big Factor. Hence the greater significance will be attached to the attitude of the South American countries, as their decision may prove to be an influence wishes and certainly at great cost we have to go ahead with the fight' It Is contended that Judge Daly strained the discretion allowed him by law in taking the entire read judication of the water right out of the hands of the water superintendent and water board and going ahead with the col lection of evidence. Legally, he had the right to do so, iriigationists con tend, but the discretionary power al lowed by law was to avoid sending the of great weight on Spain and the as. back w hen discrete!., of South American newspapers and some South American diplomats here have Indicated that President Wilsin is perhaps now too late in changing a minor cnaracier appear in ine evi dence, It Is asserted. Great Deal at Stake, The state's interest in seeing tha I peace hopes, the president is taking adjustments which allow $100;00,000 every step to prepare the country for working balance in the treasury aTid eventualities more serious than those an estimated treasury balance at the ! already developed. Madame Richet, Expert Designer and Dressmaker Starts Her Spring Dressmaking School February 12th - t In this course Madame Richet teaches the practical fundamentals of dress making. p J She will teach you how to cut your garments how to baste them how to fit them how to sew them and when the garments are completed they will not only fit you, but you will have acquired the art of maWng your own' clothes. This is one of the few courses where you are personally instructed in a prac tical manner. - . . - Entire Course of Ten Lessons For $1.00 FREE EXPLANATORY LECTURE next Saturday afternoon at 3 o'clock in the Audi- fi torium when Madame Richet will explain the various branches of dressmaking which are lj to be given in the entire course. Don't miss this lecture, it will be most instructive, and istv -11 Free tO the public. ' Auditorium, Eighth Floor ' n I 1 New Pictorial Review March Patterns BBatastMSBt--MBsess- cPMeyS Only New Spring. ' Fashion Book i 1, 0 end of the current fiscal year of 964,000,000. The net result gives a margin of $41,000,000 over the estimated re quirements, which Is deemed to be necessary from the fact that the figures of revenue and many of the expenditures are based upon esti mates which may vary several - mil lions in the test of experience. Wife's Advice. From the Boston Traoscrlpt. "Do you ever ask your wife's ad vice about things?" "No, sir; she doesn't wait to be asked." With diplomatic relations at an end, there is always the constant danger that the situation between the" United States and Germany will develop into a state of war; offi cials realize such a severeance of re lations has always been followed by war. At any moment an unfortunate mis take or a deliberate act by .some U-boat commander may bring i the "spark" to our shores. The attention of the United States government today now centers upon neutral nations of the world. -- Break But Peace Move. The president has indicated clearly his former course of strictly isolate lithe appeal is made is in the Interest action. of irrigation development generally. It Despite the efforts of President I wants to know whether the policy is to Wilson to change Germany's plans hy I be one of encouragement or discourage moral force, there is a strong belief ment of settlement. If the cattle com that she will not alter. And this view pany is to get all the water of this had strong backing when United Press river, then other cattle companies may aispaicnes irum oenm snowed mat be allowed all tne water or other close Berlin observers would be eur- rivers and irrigation would come to a prised If Germany modified her wai- standstill, fare now. with particular reference to the Preparations Are Hurried. Paisley project, the company starting The possibility even the probabil- irrigation development made Us large Ity of war will not deter the presi- investment on the basis of the water dent, however, from proceeding In his board's adjudication, believing that the efforts so long as there is even a state's adjudication would stand, thousand to one chance of success. But tne cattle company's attorney Is On the other hand, if war Is the only not COntent to allow the state to help answer, he is ready for it, as he sa:d make good its implied promise to the ju nvwi.jus ..cui.u.a e j... "ci irrigation company and to the settlers to protect Americans inAheir rights. ,h r trvin. i ki.ii .v,- ,n..i. Preparations that will make thi nation ready to afford its citizens and its ships this protection, con tinued today. The work' of affording protection to government, property and especially government army and navy property and private and public property that would serve the country in case jl" war, is going on rapidly. A For ten seconds after the close of the picture the big audiences yesterday sat breathless, then they burst into applause, for they knew they had witnessed a masterpiece. You can see it tonight. Feeble words are inade quate to describe this play that makes dim ples to catch the tears. Ask your neighbor. Only Tonight, Tomorrow and Wednesday A genuine classic of screen-art; the characters' reach right out and take hold of your heart you -laugh and sob and fight with "Joe," the greatest character ever created by the surpassing artist i E toe the famed star of "Pasqualet "An Alien," "Sign of the Rose." A throbbing modern drama of mother love: "HisSweetheart" Crammed to Overflowing with true comedy, swift actiorj and powerful heart - appeal. Nefr Pictographs, added, at the popular who are trying to build up the district. HOUSE DECLARES ITS FEALTY TO NATION; SENATE CONSIDERING The New Spring Underwear Is Here Envelope . Chemise That Are Unusually Attractive For $1.00 Made of fine lohgcloth with the pointed or round yokes most effectively trimmed with medallions and lace; also becoming plain styles finished with an embroidery edging. At $1.19 Is another lot of envelope chemise fashioned from fine soft materials and unusually attractive with trimmings of ribbon and embroidery. Em pire and straight styles. --Fourth Floor MEN Globe Brand Union Suits The New Weight for Early Spring Wear These suits are of an ex ceptional quality, made from fine white Egyptian cotton soft yarn. Made with pat ent trouser seat, long or short sleeves, three-quarter and ankle length. All sizes." And priced at $1.00 Suit Tlrst moor e I o. 0 (OontlnnedFrom Page One.) ator Garland, "but I am surprised at the request. Every legislature now in session has passed such a resolution. The resolutions adopted by the house, and which will be considered In rat I vrnereas, oucn uipiomauc Dreacn js " I fraught with the gravest possibilities. JAPAN ANTICIPATES NO ACTUAL WAR BETWEEN UO Aftirt OtT DIM A HI V I lwuse, ana wnicn win De corcsiaerea in . O. Anil) UtnlVlAlMT the senate at the same time aa the ' I senate resolution, are follows: tih' tk e jt tt!-i Whereas, The president of the Tj nited Tokio, Feb. (U. P.)-United I states has found it necesaary in pro Press cables announcing tle severance I tection of national honor and Interests. of diplomatic relations between the to declare a severance of diplomatic United States and Germany created a I relations between this country and the tremendous oensatlon in Toklo. Alllejrman empire; ana. the papers and Osakl showed AMK.,4aem TV. ,.AM1 . W 1 1 TS,. KTir-iV". may lead to hostilities between ? " V,;,, , tne two countries named; and. President Wdlson's action, evidently jca&y Katloas Xpraa.td. oipct-uuK ..wilier mw)r or mo pa- Whereas. The citizenship of these nence wnica na cnaracienzea nis united States 19 composed of many na attitude towards Germany during the tionalities. by birth or ancestry, which 30 months of the war. said nationalities have come to Amert- Marquis Okuma. former premier of c with the purpose of permanent resi Japan. said the breaking of relations dence and full participation in the ben- wlth America-may force Germany to ernmeni? ttaTOorS be it W " Burrenaer 10 in. a lies. America uocs Resolved. By the house of represent, not need to participate In any of the at Ives of tno sttte of Oregon, the sen- actual fighting, he believed, in order ate concurring, that the legislative to accomDllsh tha kaiser's defeat. J branch of this state declares its ad- PMnnTif lai rrc in Tnkin rn herence to the DrlnciDles enunciated the general optimism which has ie-1 by president of the United States suited from Americas new attitude ard..?ecres furtnr..the support rry,jn , ..V.i i..tiir UI lnls commonweaun in carrying out They do not expect any actual hostili- Such plans as may be found neceisary ties between the United States anil in the present crisis for protection and oeriuany. 0 0 ' Many Are Buying Silks for All the Year in This GREAT SALE OF BLACK SILKS In this sale we have outdistanced our best previous silk sales. For it is an outpouring of silks, the like of which it is hard to realize, under present market conditions. Not a manu-' facturer in the world could or would Undertake to duplicate these silks in qtjality and kind to. retail at the prices you may secure them for now. r i Again Tuesday interest will continue to be centered in these: 40-inch Extra Quality " Black Taffeta $1.79 35-inch Black Peau de Soie S129, $1.59, $1.79 35-inch Black Messaline vindication of American honor and rignt; and. be It further Will Forward Appeal. Resolved. That the legislature of this state appeals to the citlsenshiD of Oregon for such conduct and action as will Drove their lovaltv in tha rnnnlrv lanv III Kh H X I H 1 I 01 aaopuon or Dirtn, regardless or WHO IU DC LArtWItU orevioua rac. creert or nationnl afflH. 'neutral newspapers SAY GERMANY'S ACTION 1 . -1? - - . V - PEOPLES Alder at West Park ation and appeals further for that proof of appreciation of American citi zenship which was professed at the time or arrival here, which has been repeated in accepting citizenship, and wnicn ine very nature or conditions in dicate all honorable men felt when choosing residence in these United States. And, be it further lutions, duly attested, be sent to the president of the United States of America, the Hon. Woodrow Wilson. Mineworkers Must Defend Damage Suit against overwhelming consequences of the blockade, carefully taking into Washington, Keb. 5. (U. P.) The consideration the present condition. I supreme court today denied a petition Aftenposten (Norwegian) stares ! or the United Mineworkers for a re- that the German measures are the view of a decision of Arkansas courts answer to .the recent English decla- which held the union muet defend lt- ration of blockade by mines. The self against an action for more than $1,200,000 damages brought by Arkan sas mine companies, headed by the! Coronado company, in connection with alleged dynamiting of plants. The companies alleged the union men naa done over muu.ooj damage to plants, and asked triple damages under anti-trust laws. The union held it was unincorporated and could not be sued as a body. Berlin.-via Sayville, Feb. 5 (1. K. S.) Following . are excerpts from newspaper comments In neutrtfl coun tries regarding the German sub marine situation: National Tldende (Danish) It Is only natural that the blockade of the North. Sea announced by England, to gether with the entente's answer to the German peace offer, matured the decision in. Germany that the extreme measure must be used in the struggle. For neutrals it is necessary to keep cool blood and await the development of events and obtain by negotiations with the belligerents guarantees 36-inch Black Taffeta $1.19 32-inch Black Taffeta $1.09 Six Qualities Black Taffeta at Six Sale Prices $1J29, $1.39, $1.49, $1.55, $1.69 35-inch Black Duchess Satin $1.49 0 O. ' n U $1.19 and $1.39 looad rioot Linens Direct From' Belfast, Ireland A Special Shipment of Over 1000 Fine Table Cloths Are Being Sold at Less Than Regular Wholesale Cost Cloths in all sizes to fit the small breakfast table to the large dining table; of genuine double damask, pure linen; union linen, and cotton cloths. Because they are slightly soiled, or because on some there is an extra heavy thread or some other slight imperfection is the only reason for these particularly low prices but please note that the imperfections in every instance are so slight as to in no way impair their real worth and wearing qualities, or appearance. 1 0 newspaper advises Norwegians to await events calmly. ' Aftonbladet (Swedish) character izes the German measure as the un avoidable consequence of the entente's refusal of the central powers' proffer and as the natural answers to the English war of starvation against the Germans. Nieuwe Courant (Dutch) What was to be expected after the entente's re fusal of the German peace proposals has happened. The German measure is exactly in the same? relation to international law as is the British blockade of the German bay declared several years ago. Intelligenz Blatt (Swiss) nolnts nut that the German decision is Ger many's answer td the British starva tion blockade which is contmrv t the law of nations. STATE MORALLY BOUND - TO GIVE ITS HELP TO CHEVVAUCAtt SETTLERS (OonHnoetf from P(te Om.) 2 by 3-yard Cloths Very Special $7.95 22by 2j4-yard Cloths Very Special $9.00 2 by 2-yard Cloths Special $3.95, $5.69, $6.75 Vthy 3-yard Cloths Very Special $10.85 2 by 3-yard Cloths Spl. $3.29, $5.75, $6.79, $8.25 24 by 2-yard Cloths Special $5.95, $7.25 70 by 70-inch Cloths Very Special $1.45, $2.19 2 by 2-yard Cloths Special $3.45, $4.49, $4.75 70 by 88-inch Cloths ' Very Special $1.79, $2.50 i 0 Hemstitched Table Cloths, $1.95, $2.10, $2.75 Sizes Gi by T3 inches, 64 by 81 inches and 64 by 105 inches. ooma nwi I "WHERE YOU SPEND THE LEAST AND GET THE MOST FOR IT A photoplay that will live everlastingly in your mem ory enjoy it tonight! Yoncalla Reports a Barber Shop Burglar Yoncalla, ' Or.. Feb. 5. Burglars en tered the barber shop of S. A. Watkia- shaw some time between Saturday night and Monday morning, taking some laundry. Entrance was effected by breaking a back glass door. Money, tills were left open by the proprietor,! but the burglars 'broke one off anyway. New Suits New Coats New Dresses The first displays for Spring, sent to us by our buyer front New York Come See These New Garments Tomorrow Suits vvo01 poplin, in navy, light blue and mustard shaded. New; styles, pleated and belted, white silk poplin collars, fancy silk Northwest Townsite company, which undertook to complete the construction of the irrigation project, declared lat night that the appeal already has been perfected and will be takeji from the circuit court of Lake county to the Oregon supreme court. Vy'hy the state Itself should help the settlers In their contest' against the cattle barons for a share of the waters of Chewaucan river for irrigation pur poses is self-evident. In the fir.it place, , the state water board, adjudl- Aviatrix Offers' to Serve Her Country 1 m Osaka. Feb. 5. (U. P.) Miss Cato. erine Stinson, Los Angeles aviatrix, who has been making exhibition flights here, tcday cabled Washington, offer ing ber services as an aviator to the United States In case of war with Germany. , . - Nothing Like That. 8 unings extraordinary suns, at only 19.00 ana i.od. r Coats In flaring; styles, with large collars. Belted button trimmed. 1 1 Made of fine wool poplin. Price $10.75. Also finest rose and ' U mustard colored velours, at $13.85. Dresses wool serge, in navy, Copenhagen, Burgundy and green, embroidered, pleated and trimmed with white serge, $10.75. Silk taffeta dresses, in Copen, navy, black, green, sand, embroidered in":' gold. Georgette collars, and new pockets. $14.85 from the' Baltimore American. I understand your husband is some. thine- ef a valet unidaflarL Mrs. Coma- cated the water rlrht allowing, t H I . v ' i - . . ) settlers eufflcient water from the river!' "OK dear tne, noMIo eat meat rec to meet aii requirements ana at . tne 1 ular three times a .dy.; Oar 25c Lunch hot, delicious and quickly served. 5 Try it! n - Buwot New 2-Piece Breakfast Sets98c Of checked gingham and plain percales, pink, blue and lavender. Open front, belted jacket, full gored skfrt. OEcomoxay BiMmut; . Men's New Shirts 50c Just arrived remark able shirts with stift cuffs. Coat style. Great variety of colors and patterns. AH sizes. Zoonoxny Baaemeat 7 Cakes Crystal White Soap 25c and FREE -with each purchase a 10c bar of : U Olive Oil Toilet : Soap - Limit 7 cakes to a cus tomer, no phone. C. 'O. !-. approvals, deliveries. .EaoBftmy Bamat ft5 V it