Arizona Republic from Phoenix, Arizona on February 18, 1941 · Page 19
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Arizona Republic from Phoenix, Arizona · Page 19

Phoenix, Arizona
Issue Date:
Tuesday, February 18, 1941
Page 19
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stsa 3-lltt Higher Wool Prices Seen wool growers are enter- annual shearing season best price prospects in 10 P vearsf Jerrie W. Lee, sec, nf the Arizona Wool Grow- ciation, reported yesterday. week the U. S. War De- through the priority n arranged to ask bids on woolens that will cost and will remove from almost one third- of clip," Mr. Lee said. Arizona Republic, PKbenix, Tuesday Morning, Fetruary 18,194T Page Tim of what the war wants the bids will uf 000 000 yards each of serge ounce shirting; 3,000,000 2,000,000 blankets, woolen socks. we have been inform- Washington, will be opened j the sales awarded within three wd K I? is evident this will have '"Sound effect upon the mar- there appears to be no dis- in Washington to deny wers an equitable price for •Out Xtt-America's Pocketbook __ -—~.-v«* o M. mjtcuKum _ Bondholders, Business, Small Incomes Seen Revenue Source w. B. In this «*»„« «f rti toiu and war proms taM»!jl " w< * '• * roore . *«™»» the government may Up, »»Uon»I Ux picture. Tomorrow: Exceu dollars of Feb> 17 - (A P>-Th* treasury Is trying to piece at least combm g through old revenue laws, studying the dimculti <* of old taxes, weighing the possibilities 300,000,000 wool to be sheared in States this year, 40,- «iin(>b"pounds alreadv have been i** 1 .:!:,.,,,] and the government's preparedness orders will 100000,000 pounds. Lack of bottoms has prevented the this country of the wool it was anticipated SdTe"s»nt here in competition Jjth our native crop." At least six outfits are shearing L. the Salt River valley or the Lrnundinsr foothills at present, STe«said. He estimated 300,$ sheep have been_ pastured ^in Ontial Arizona this winter. For. is so abundant on the desert £?, the flocks are being moved »av from the valley fields as fast'as they are sheared. Probationer Is Given Year Willie Smith, 48 years old, colored 1623 East Jefferson street, was 'sentenced to one to two years' Imprisonment yesterday after pro?"!!' ---- .„,! s bation granted four weeks „.„ on an aggravated assault charge was revoked. Smith was granted a two-year conditional release January 27 by Superior Judge Dudley W. Windes after he had pleaded guilty to assaulting Almeta Smith.also of 1623 East ceaiber 28. Jefferson street, De- SmittTwas arrested by sheriff's deputies after police received a report he set fire to a davenport in in East Jefferson street home last ek. , Clarence Williams p iiltv to assault with (leaded not guilty to assault witn a deadly weapon and will be tried April 4. Trial of 0. L. Thompson on an intoxicated driving charge also was set for April 4 when he pleaded not guilty. Cases continued of lifting the rates and broadening the scope of present taxes. So far the signs have pointed to: . \ Laying a tax upon the yield from government bond* and making another effort to tear away the shield that thus far has protected state and local bonds from taxation. 2. Lifting the tax on excess profits to make certain the defense drive builds no new fortunes. * 3. Making hew alterations in the income tax structure. 4. Increasing some of the excise taxes, laying similar taxes upon new articles. The excise tax in many respects verges closely upon the domain of the sales tax, and President Roosevelt has declared himself opposed to a tax policy which restricts general consumption so long as men and machines are idle. This does not mean, however, :hat he is opposed to using such a tax when it is laid upon selected articles. Here, the effort is to reach articles that fall into the luxury, or nonnecessity, class, so that the tax still will be garbed in the theory that men should be taxed according to their ability to Pay- to ge Nevertheless, the old maxim With' of the late Speaker Kainey still holds true: The principal job of a tax bill is to get the most feathers with the least squawk- Ing from the goose. In addition to the ideas that have been pondered by the administration, several Republicans have spoken up about the tax problem. Senator Taft of Ohio has proposed a further lowering of exemptions and a boosting of rates to provide a bigger tax take from the low- income groups. And Representative Treadway of Massachusetts introduced a resolution to create a joint congressional committee on federal finance to be composed of members of the senate finance and appropriations committees and the house ways and means and appropriations committee. It would co-ordinate the "appropriation and revenue-raising committee of congress by providing an over-all picture of the federal government's financial 'situation." "Merger" Is Favored Back in May of 1939, Secretary Morgenthau appeared before the ways and means committee of which Treadway is a member and only year of billion-dollar spending that lies between 1789 and 1914. It was in this period that the ways and means committee, after levying taxes on everything it could think of—sugar, two cents a pound; pig iron, ?9 a ton; salt, 18 cents a hundred pound—dug up the income tax. Already, the committee had put a blanket tax on everything made, from raw material to finished product. Manufacturers were taxed on the total value of their products as well as specifically on their production per ton, per pound, or yard. The bond tax problem is likely to be more difficult for the treasury, and • congress, than either a reshaping of the income tax or the various business profits taxes. Stubborn Opposition Time after time during the last 20 years, presidents and secretaries of the treasury have asked congress for power to tax state and municipal bonds. Always they have met such stubborn opposition from the cities and states that congress has backed away fearfully. The question of states' rights is involved, and a constitutional amendment might be needed—an amendment which would be hard ;et past the state legislatures, out such an amendment any government, by throwing its own securities open to both state and federal taxes, would have to pay so much more in added interest charges that it would lose most of the tax income it collected from that source. They have denied vigorously that tax-exempt bonds were a hiding place-for millionaires' fortunes. One such study said a re- . view of the assets of 3,044 estates of more than a million dollars, and with a total gross value of 10 billions, showed only about a tenth of the gross —or a billion dollars—invested in exempt bonds. But, regardless of what may happen to state and city bonds, the person who buys future issues of the federal government is likely to pay tax on the coupons he clips from those bonds. Local Fraud Case Argued LOS ANGELES, Feb. 17—(AP)— Oral arguments were heard in the ninth circuit court of appeals today in the mail fraud case of George Cornes and Earl Canning of Phoenix. They were convicted in Phoenix in connection with operations of the Union Reserve Life Insurance Company and its holding firm, the State Securities Corporation, with which both were connected. Cornes was convicted of mall fraud and conspiracy and sentenced to two years in prison. Canning was convicted of conspiracy to defraud and ordered imprisoned for one year. George T. Wilson and Charles A Carson, attorneys for the defendants, argued that evidence at their trial was insufficient to support the verdict. Frank E. Flynn, United States attorney for Arizona,, is here to represent the government in the appeal. were those of Millard Thurman, abandoning his vile, and Joseph Goon, bastardy. State Resident 35 Years Dies James Preston Hensley, 81 years old, an Arizonian 35 years and a Tempe resident 12, died yesterday morning in a local hospital after a trie! illness. He suffered a stroke Saturday. Funeral service will be held at 10 a. m. tomorrow by the First Church of Christ Scientist of Phoenix in Memory Chapel of the A. L. Moore and Sons Mortuary. Interment will be in Greenwood Memorial Park. Born in Chillicothe, Mo., Mr. Hensley was in the mining and cattle business in Colorado before coming to Arizona. He resided at 1145% Van Ness avenue in Tempe. Survivors include two sons, J. Walter Hensley, Tempe, and Rudolph H. Hensley, Laveen; two daughters, Mrs. Stella Pierce, , . and Mrs. Elnora Wright, said: "If the ways and means and appropriations committees of this house and the finance and appropriations committees of the senate could meet each session as one joint committee on fiscal policy to consider the over-all aspects of expenditure and revenue programs, simplification and greater effectiveness would result." But in May of 1939, congress was not paying much more_attention to administration suggestions than it is to those of Republicans now. For the first 76 years of congress' life, however, the ways and means committee handled both revenue producing and appropriations measures in the house. In that way, the agency of congress that was charged with okaying the spending was kept constantly aware of the fact that the money had to be raised in some manner. First Ballon-Dollar Year law which sought to collect such a tax probably would be contested in the courts. It would be easier to get permission to tax federal securities. And Secretary Morgen- thau appears to have shown that taxation will not hinder the celling: of such securities. Back in December, he issued half a billion dollars of wholly taxable defense notes—the first such issue in history. It runs for five yean, bears the low rate of three quarters of one per cent interest. He could have sold eight times as many as he offered. To crack off the shell of tax exemptions that protects long-term bonds, however, he would have to go to congress. The treasury figures that there are upward of 70 billion dollars of tax-exempt securities of all kinds outstanding, half of them wholly exempt, half only partially exempt. Of these, 47 billions are of the federal government, or guaranteed by it; two billions are of federal agencies, unguaranteed by the government; the remainder are state and local, territorial or insular. These add up to about 20 billions. Of the federal, or federal guaranteed, 19 billions are held by commercial or savings banks, six by insurance companies, seven by federal agencies and trust funds, 2% bv federal reserve banks. Almost 13 billions are held privately. Estimates of how much such a tax would net the federal government reach above 100 millions for federal securities alone. The figure would be almost doubled if state and local securities were added to the list. Opponents of such a tax argue, Picnic Arranged By Iowa Society Members of the Iowa Society of Arizona will hold, their annual spring picnic at No. 1 Ramada in Phoenix Mountain Park Saturday, it was announced yesterday by Mrs. M. A. Richardson, president. Speakers will be the Rev. C. S. Reynolds, pastor of Garfield Methodist Church; Neri Osborn, sr., and Mrs. R. K. Truesdale. The picnic is scheduled to start at 10 a. m. Entertainment features will include community singing and a concert by the Work Projects Administration band. A basket luncheon will be served at noon with the committee furnishing coffee, cream and sugar. Officers of the association, in addition to Mrs. Richardson, are Clarence H. Bell, vice-president; Mrs. Otis Paddock, treasurer; Warren H. Thomas, secretary; Mrs. H. C. Aicon. Dr. J. C. Norton and Mrs. L. D. Pedrick, directors. India has made war risk insurance compulsory. U. S. To Induct 105 Trainees A new class of 105 selective serv ice trainees will be inducted toda and tomorrow at Arizona distric headquarters, U. S. ArmyRecruil ing Service. This will be the last Februarj nduction class. Another class of 600 men, how ever, is scheduled to be inducte between March 3 and 12. Five enlistments were accepte at local headquarters yesterday. These were: Curtis Stewart, jr Young, assigned to Mather Field Jack H. Patterson, Wickenburg, t Las Vegas, Nev.; James L. Walte Phoenix, to Philippine departmen infantry; McKay L. DeSpain, Sa ford, to Fort Bliss; Mansel E Taylor, Safford, to Fort Bliss. New enlistment quotas of eigh in the Hawaiian department In fantry and two in the Hawaiia department, Field Artillery, wer received at recruiting headquarter yesterday. few Mexico Death Blamed On 'Temped SANTA'FE, N.'M^ Feb. IT- CAP)—A death certificate was filed with the state health department todar cryptically listing the cause of death for the deceased, as "high temper". Officials said the general idea was clear, anyway. Clubs To Hold Joint Meeting Members *of the 20-30 Club will e guests of the Phoenix Kiawanis 21ub at noon today in a joint meet- ng of the two service organizations n Hotel Adams. Fellowship, it is tated, will be the keynote of the oint meeting. The program will include experiments with liquid air by C. L. Riv- •rs. These will include frying a teak on ice and similar feats. The musical program will include songs by Blythe Charlet Miler, contralto, who recently appeared with the Orpheus Club in its annual concert. Bob Becker, former president o :he 20-30 Club, now a member of he Kiawanis Club, will preside. Burglars Get Prison Term Two Mesa men who stole a safe containing.$4,000 and-other valuables from- the home of J; ; A. Bailie in Mesa New Year's Day and were arrested by deputies of Lon'Jor- dan, sheriff, four days later, were sentenced-to prison yesterday. They are Walter O. Parviri, 30 years' old, a federal agricultural inspector's helper, 138 West First street, and Winston G. Carter, 23, a truck and tractor driver, father of a' two-year-old son, resident of Harvey Auto Court on East Main street. • Superior Judge Dudley W. Windes sentenced,them tc two.years' imprisonment for grand theft, to which they pleaded guilty. The pair, who said they never be- th* 'ore were arrested for'! assisted deputies- in recovering safe from the desertrnear Pt ville, where they had bimea.!*, all but $20T of the moneyar* as a $300 diamond'ring and able papers. , .. . , o-——— : Germany, has 'banned .wofflttt ms> drivers. ' • ' ' DR. W. A. AMMONS DENTIST Formerly In Fox Thtmtre Bide. , Nowat308LuhrsBldg. Phone 3-4860 HOT WATER A*ywktr* FIVE POINTS Fret I-E-S Zelte* Siifht LAMPS GIVE Bet ten at LOW COST LE.S. Lamps are scientifically designed to provide the right amount and the right tona of light for all strenuous seeing tasks. Tn«y falter the glare from all light directed dowv ward and allow enough light to be reflected upward to provide general illumination. LE.S. Lamps are more attractive and give better light, yet cost no more than ordinary lamps. See them demonstrated today at your Favorite Store. 1.1 S. LAMPS ARE AVAILABLE IN A WIDE VARIETY OF TYPES AND MODELS. PRICES START AT ONLY $4.95. EASYTERMSI Sold By^Your Favorite Store and The Light however, that the increased interest the states and cities would have to pay would amount to more than the federal goyernment would be able to collect in taxes. Thev . have argued also that the federal nancing the house turned the ]ob of appropriating over to an appropriations committee. The fact may not be significant when the needs of that final year of .the war are cons.d- AT 3;3O P. M. TODAY 1865 is the TRY IT TODAY! { i o vn LIFEBUOY H"S NEW...different...dellghtftil ITS zephyr-fresh, tangy scent will •Might you ITS rich, creamy lather will give you a glorious zing and zip IT'S "in a class by itself," users *>y, for real cleanness LIFEBUO/'S •B.O. 1 PROTECTION WON ME LONG AGO ...NOW THAT r ZEPHyR-FRESH SCENT MAKES THE SOAP IVE, ALWAYS THOUGHT THE BEST I BETTER ST7LL, RRST TIME I TRIED LIFEBUOY (KNEW , IT WAS FOR ME! THAT SWELL, . GLOWING-CLEAN j FEELING.' MARVELOUS. 1 ITS THE ^MODERN I THAT HEAD-TO-TOE DAINTINESS VOU SET FROM NEW L ZEPHXR-FRESH LJFEBUOy. 1 SUCH GENTLE | .LATHER/TOO/ • New, better-than-ever Zephyr- &esh Lifebuoy, yes—but with die *«me reliable Lifebuoy virtues—those deodorizing and germ-removing properties that have made Lifebuoy the bath soap of millions! Warm fooms and heavy clothing are sure causes of perspiration. Don't let "B.O." follow. Use delightful new Zephyr-Fresh Lifebuoy in your daily bath for all-over, all-day protection! DEALERS NOW HAVETT.-.i IN THE SAME FAMILIAR CARTON AT NO EXTRA COST TO YOU! ON THE MAIN FLOOR We're in a holiday mood, celebrating the arrival of hundreds of yards of the season's newest Luxabla fabrics. See them actually worn in our glamorous fashion show Today and Tomorrow. Every costume is easy to make, and you can get the patterns in our pattern section. All the fabrics have been Lux- tested to insure safe, easy washing. Suede finished printed pique it new. See it in fine wale, fresh multi-colored stripes and florals. Almost an unlimited selection of new Talk-o-th«-Town and La Jerz. prinh. Beautiful colorings. I Californian and Ha* waiian Exotic prinh in told, colorful designs of great beauty. MAIN FLOOR FABRICS CONSULT LUX FASHIOMISTl MISS SLOAN, about your I style, color, or washing prop- 1 leims. Her hints will hep you keep washables lovely longac— as .will .the. tegular-. sized box of Lux (one to a customer) she'll jfive to every woman- attendtaz- the ••how. TALON-FASTENED Be sure to we a special mix-match ETfe^c to show. It. to you, wardrb* tor £v\ FASHION SHOW ON THE MAIN FLOOR Washington at Second Strtet Dial 4-5533

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