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About Capital journal. (Salem, Or.) 1919-1980 | View Entire Issue (March 21, 1957)
Salem-, Oregon, Thursday, March 21; 1957 THE CAPITAL JOURNAL . Serctiffii XPsgrSV-. BudgetjWhack Move Revives Tax Cut Talk But Delay of Reduction Until Next Year Is More LiUely By B. L. LIVINGSTONE WASHINGTON un - The nrns- poet of budget cuts today revived talk in Congress of income tax reduction. Inlluential House leaders took nonce 01 it by stating privately inai reduction of government spending by as much as three nr four billion dollars might start a Bidiiipeae- lor general tax relief But the strong Dossibihlv re.. niained that even if the budget is cut substantially, tax cuts would 'be delayed until next Vear when Congress members could learn the actual size of a surplus, rather man an estimate of it. President Eisenhower's budget estimates show an anticipated surplus of $1,700,000,000 for this fiscal year ending June 30. and i,buu,uuo,uoo for fiscal 1958. Might Go to S Billion If the President's 1958 spending budget of $71,800,000,000 is cut by mree Diiuon dollars, as some Appropriations Committee mem bers say can be done, the gov ernment would start its new bus iness year next July 1 with f prospect surplus of nearly five billion dollars. Some leaders feel that such a situation might make it impossi ble to head off demands for gen eral tax relief. Thus far, Capitol Hill has been in general agreement with the Eisenhower administration that tax reduction is "out" because of Its inflationary aspects at a time when curbs are being placed on credit expansion. The administra tion has contended also that any surplus should go toward reducing the national debt. Rep. Mills (D-Ark), influential member of the tax-writing Ways and Means Committee who 'fre quently reflects the attitude ' of House leaders, said: "If we can create three or four billion dollars of surplus through reduction of expenditures, I would want the American taxpayer to enjoy a part of that reduction." Might Have to Cut Taxes Rep. McCarthy (D-Minn), also n member of the committee, said in response to a reporter's ques tions that in the event of a large surplus Congress might have to cut taxes "Jor the sake of the economy." He said "a surplus of $1,800,000,. 000 probably would be . about all the economy could carry." : Rep. Eberharter (D-Pa), other committee member, pre dicted that a Ways 'and Means will recommend later this session a reduction in federal , excise (sales) taxes of about 900 million dollars. Rep. Reed ot New York, the senior Republican on the Ways and Means Committee, told a re porter that he didn't expect the House . to reduce taxes until 1958, an election year. Alaskans Slap At Neuberger JUNEAU m Alaska Republi cans dispute the charge of Sen. Neuberger (D-Ore) that a "raw, naked bitter struggle" within the party is holding up President Eis enhower's appointment of a new governor and that the Territory is suffering as a result. Russ Arnette, president of the Anchorage Republican Club, said Neuberger s criticism is un founded." Republican leaders in the Legis lature declined to be quoted di rectly but one commented: "It just aint so." Sid Charles, publisher of the Ketchikan News, suggested Neu berger should pay more attention to Oregon affairs and less to Alaska. He said Alaska, under an acting governor, appears to be getting along all right but that he can't say the same for Oregon, on the basis of evidence before the 'current Senate investigating committee hearing. Senate Hears '55 Resolution Not Delivered The Oregon Senate heard Wed nesday that a resolution it adopted two years ago lauding the Turkish pnvrmmrnt for ils military assist ance in Ihe Korean War hasn't been delivered yet. enn Wnrrpn r.ill (rt). Lebanon said the resolution was adopted in April, 1953. It directed tne score tary of state to transmit the Sen niA'c Bvnrpccinn. hut the docU ment never left the capitol, Gill Gill's disclosure followed adop tion of another resolution cxprtss i.n cvmnaihv tn the PhiliDoine government in the plane crash death of President namon aiag saysay on Cebu Island last Sun Gill suggested a liason system between the Legislature and the secretary of state's office to see that resolutions to foreign coun tries arc transmitted promptly. Bird Kavora Town TV OSEOXTA, N. V. tfl-A little bird KnocKea me coinmnim? Ivition antenna out of service yes leraay lor me "i,u - - vear. Just a. happened a year I. ..,.. in an am. 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