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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (Dec. 25, 1945)
PACE TEH V V - 7 ' -I: L .--Vi -f - The OREGON ; STATESMAN. Salem. Oregon. Tuesday Morning. December 25. 1345 Lifting of Wartime Taxes to Break Business 'Shackles' '-. WASmNGTON; Dec. 23.-UrVAtthe turn of the year two words that danced to the jingle of billions of dollars in wartime will bow out of the Intricate drama of Ux law. These' simple words, "excess - profits," inserted " into the statutes in -1941, brought about $40,000,000,000 into the treasury during the war years. It might be well now, to take a look at ' the magic they worked and what their repeal may mean. . ' By , the testimony., of Fred ; M. Vinson, treasury secretary, this ly. could be Justified only as means of curbing "war profiteer Ing." So congress struck them out, effective Jan. 1(1946. ; Two major implications of this and other tax revisions now are engaging the attention of Wash ington tax authorities. They are: Withholding Renamed 1. Persistent rumors, reported to congressional committees, that some manufacturers in the excess profits brackets are withholding reconversion 'goods from the mar ket until January. ' V" For any such companies any further profits this year will be taxed up to 85.5 per cent, where as after Jap. 1 the maximum rate will fall back to 38 per cent the new combined normal and surtax rate. The civilian production ad' ministration, however, has report i -xs 1 1 .1 ' w v. ed.no larger tendency In this -direction. . - if .' e .''A -. ;L 2. Concern that recent tax re vision may damage' the future competitive j positions of i various corporations. . Some " experts are arguing that companies that had huge profits during -the war will be able to weather virtually any foreseeable financial storm, while new concerns and businesses with small wartime profits, may not do so welL"The experts attribute this condition to the ' unused excess profits credit ; "carry-backs" and loss carry-back and carry-for ward provisions, of the tax law Stock Tax to Co In - clipping $3,136,000,000 'off the burdens of business next year, congress also voted to repeal next July 1 the! capital stock ( tax and the declared value excess profits tax. J ' !: ! , This will? leave the 260,000 tax able corporations subject to three levies: (1) normal tax, (2) surtax on income; (3) surtax on "im proper accumulation of surplus;' 1 The normal tax and Surtax are graduated las to the size of cor porate income. The recent tax re duction law cut the combined nor mal-surtax rate on businesses earning above $50,000 from 40 to 38 per cent. It gave a graduated 2 to 4 pef cent cut on i earnings below $50,000. l i The surtax on "improper accu' mulation of surplus," which .re mains in the. law, is a penalty imposed on corporations : that re tain earnings and profits in excess of reasonable needs of. the busi ness. Thiif . would . permit their, stockholders to "avoid the individ ual income taxes on dividends. On not more, than $100,000 . of excess undistributed: income the rate is 27.5 per cent: Above $100, 0000 the rate of 38.5 per cent '? ZFo't au o(d fdiihimiecl i AMERICAN ; CHRISTMAS 9( ft 0 Mi ti4A .-- SALLY'S Court St South Dakota Woman Visits : In Qoverdalel CLOVERDALE Mrs. 1) i c k Vickers of . Ethan, South Dakota is . visiting . her daughter. Mrs. Floyd Pence, - and family. " Mrs. Vickers plans to remain here un . t .. . -i til the middle f of. January, land - . i ...... , . will, alio visit in Salem with an -v . . ... -i other daughter, and granddaugh ter Dorothy and Bonnie BarteiL - i ,r . -- - - j - ; Mrs. Frank Schampier, who! un derwent a ' sinus 'operation three weeks, ago, is getting along nicely; although still under a physician's care and has to go to Salem fori treatments each week.: i . Laretta Starr arrived on Sat urday from Detroit on the Santi am where she is a teacher, to spend the holidays with her sis ter Mrs. Nellie. Hamilton. . j. j Mrs. Wesley - Goodlander has been confined to her bed for sev eral , days. She fell on the icy street in Salem last Thursday1 and injured her -leg and hip. She is reported as improving slowly. Edith Schifferer, a student at Oregon State college, is at home for the holiday vacation with her parents, Mr. and Mrs. Fred Schif4 ferer. . ' -. ! ; I Rickey School Holds if Christmas Program j. . FOUR CORNERS, Dec 24 (Special) Rickey school held) its program Friday night The teach ers, Mrs. R. B. DeLapp and Mrs. Guilespie were in charge and Mrs. Frank South assisted at the piano. dwelling at 2095 N. .liberty, st, la permit to repair and a 15S00 dwelling.at 360 Co- 1718 S. High st at a 1?B n-nr-m U.mu tnnV'mit' A nrmit to rerOOl I.OWflUC 915 N. X8th st wis issueo w '. Fair, who Indicated be would f Ml Building Permits Given r. Housed ; Two ! new residences (or - gift certificates for same) were under the Christmas tree for the houses- short Capital city today, f-jf v Permits were issued Monday, by the city building inspector's office to E. B. Houser to erect a $5700 II0V7. . . In Oar New Locstiou 141 S. Liberty St. j Watch Repairing, All Makes Diamonds - . Jewelry- II. G. UARREII r.' ' " ' Jeweler I ' 141 S: liberty St j Former Location of H. T. Love Ij I ! SALEI1 TIIIE CO. I I ! i SAM BARRY JOHN VERSTEEG , ' - I I I 55 Marion Street 341 Monitor School - Program Given MONITOR The annual Christ mas program of the grade school was giveni Thursday night at the I.O.O.F. hall. !.' Recitations were given by jane Pacquin, Thelm Bitikofer, Ar lene Sprague, Duane McHollck, Myron Mohn, Wilnia Hanson, Shirley Ann Homan, Bobby Ver steeg, Delores and Erma JLee Brayles. Songs were sung by Bob by Sprague, Thelma Bitikefer and Arlene Sprague. .1 A group" of . four, presented "Dopey's Christmas Fish". They were Thelma Bitikofer, Joe Cole, Arlene Sprague and Clifford. Da vis, and others presented two oth er Christmas plays. Udene Rush old played a piano solo.'-; -iSj After the program Santa Claus distributed presents and treats to all the Children. , Mrs. Georgia Versteeg and Mrs. Viola Nybakke are the teachers. - ii f 1 k iWB i It's Christmas and peace has once again returned to the orld . . . our men are coming home ... the little people of the world are binding up their wounds .... some . of these wounds will be a long time healing ... men of good will are striving for a world without war ...they are trying to cast out greed and envy from ; the minds and hearts of men . . . that they may succeed is our hope at this Christmastide. . 'el -1 (f --'".'v A: ", j-i . . !: (SU-'-t's I . I ' -.: 1 vX-jr I :rr-; l-: I . i... ; vFT. i5CS?Va. - I I - Wf t'--W ' : ' I I ..... till jjtk (-'-'Wr:- r- ii. if II I ; m niT - -i i- I s ' , ! ' : i;twt i :.vv I I . .. I ' Hr; V V - I L V,':-;i-;i V ';. . - i - - CDIPdDILmrAK I The fragrance of the evergreen; the holly wreaths bidding welcome in the windows; the .mirth ana gladness in our hearts : the gay laughter and happy words that fill the air ... these are the ingredients of a merry American Christmas. And this is : v ' ; ; .'!--' " the kind of a Christmas that we wefnt everyone to enjoy. A very merry Christmas; to one and allr MHlll rilltAI IfOSIT 136 North Commercial -I