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Uouse of REPRESENTATIVES in 1955, $700,000

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Uouse of REPRESENTATIVES in 1955, $700,000 1956 CONGRESSIONAL RECORD -- HOUSE 641't The just and lasting peace which the tained only by the acceptance of those moral emancipation of all those nations which Christian and Judean ' world so earnestly principles which support civilized mankind today still suffer the degradation of enslave­ yearns and strives for, cannot be won by everywhere in the world. ment and tyranny by the Russian Com­ · In the true spirit of Eastertide, we .must munists. the simple utte~ances of high sounding ftnd r.enewed hope for a better future for all With a firm faith in the Fatherhood of phrases or by platitudinous promises sealed mankind. Our faith in G'od demands that God and the brotherhood of man, we will by a toast accompanied by the clinking of we never lose courage in the face of difficul­ somehow find our way through to that glasses filled with martini c_ocktails. That ties. On this Easter Sunday, man's spirits golden era of a universal, just and lasting just and lasting peace can be won and main- must · be raised up and dedicated to the peace. In 1954, Poland bought $4,000 worth; provisions. The Small Business Commit .. -uousE OF REPRESENTATIVES in 1955, $700,000. tee of the 83d Congress earnestly sup­ What did Poland buy with all these ported all of these revisions. TUESDAy' APRIL 17' 1956 other millions and where did she spend In its final report to the 83d Con .. The House met at 12 o'clock noon. these United States dollars? Your gress-House Report 2683-however, the Rev. Malcolm E. Nygren, minister, guess is as good as mine. Small Business Committee stated that First Presbyterian Church, Champaign, I hope immediate relief from this current tax rates had acted as a major Ill., offered the following prayer: flood of Red pork is forthcoming. Were deterrent to an improved competitive Poland free, as it once was, and we hope status for small-business enterprises. Bless our country, O Lord. and pray it will again be, the situation and I quote from a portion of that re .. Protect it, we pray, not only from the we face would be different. port-pages 59-60: strength of its enemies, but from the The Democrats-now in the major­ This committee is of the opinion that cur• weakness of those who love it. ity~have the votes to do it, if. they but. rent tax rates have acted as a major deter­ Quide us as we bear the dangerous re­ have the desire and will to do so. rent to an improved competitive status for sponsibility of being free men. Deliver small-business enterprises. As. mentioned. us from the temptation to degrade the earlier, many small concerns have been un-· freedom to do what we think right into SMALL BUSINESS AND THE CORPO­ able to retain sufficient earnings after taxes t1ie freedom to do as we p,lease. RATE TAX BURDEN to finance necessary expansion through addi-. Help.us to build in our country a future toins to working capital and fixed assets. that is worthy of its past. Grant us Thy Mr. SEELY-BROWN. Mr. Speaker, I Lack of capital has, therefore, placed undue ask unanimous consent to address the emphasis on longer-term borrowing which guidance for difficult decisions, Thy in itself has been difficult to obtain. It is strength in times that call for courage, House for 1 minute and to revise and ~x- felt that a healthier climate for small busi­ Thy hope when our hopes fail; that we tend my remarks. _ ness might be achieved through further re- may serve Thy will as free men ought. The SPEAKER. Is there objection to lief fom the tax burden. · Amen. the request of the gentleman ·from Many beneficial changes have resulted from Connecticut? congressional action on H. R. 8300 which pro­ The Journal of the proceedings of There was no objection. duced revisions in the Internal Revenue Code yesterday was read and approved. Mr. SEELY-BROWN. Mr. Speaker, of both a substantive and procedural na­ the need for tax relief by the small ture. · Financial benefits have also accrued· to small concerns through reduction in per­ POLISH PORK business concerns of. this country admit-. tedly is not a new subject. For years we sonal income tax rates and in excise and - Mr. SCRIVNER. Mr. Speaker, I ask­ sales taxes. Many small corporatlons also have recognized the need of these en­ benefited . by the expiration of the exce~s­ unanimous consent to address the House terprises for additional funds with which profits tax. The committee believes, never­ for 1 minute and to revise and extend my to expand operations, to modernize theless, that a continuing study must be remarks. plant and equipment, to develop new conducted to detel'.mine how more effective The SPEAKER. Is there objection to products and markets and for other legi­ relief may be achieved, with particular at­ the request of the gentleman .from timate business purposes. · The Congress tention paid to the possibility of higher ex-. Kansas? has long supported the thesis that a Fed­ emptions or reduced income-tax rates . for There was no objectfon. eral agency was necessary to fill the gap small firms. · Mr. SCRIVNER. Mr. Speaker, upori for intermediate and long-term loans to I should like to point out to my col­ occasion nearly all of us like ham sand­ small business which could not be sup­ leagues that these statements were made wic)les, but sandwiches made out of Red, plied by private financial institutions. after a careful examination of the finan­ ~pelled, with a capital '~R,'' .ham com.in~ The volume of small business loans made cial problems of small concerns, through from communistic satellite of Poland are by the RFC and the SBA has been subcommittee hearings, consultation unpalatable and leave a bitter taste in clearly indicative of the need by small with individual small-business men and the mouth. firms for this additional financing. staff studies. The majority, that is Democrat, lead­ Despite the recognized need for such As we all know the corporate tax con.. ership in the Congress, House and Sen­ credit, Mr. Speaker, it does not get at the sists of a normal tax of 30 percent and a ate, can .by a very simple. amendment root of the financial problems of small surtax of 22 percent on that part of a. stop the competition of Red Poland's business. The demand of small business corporation's income in excess of $25,000 pork with American pork products. now concerns for longer-term credit is almost and that an extension has been passed · in surplus. entirely the result of an oppressive tax which carries these tax rates through With one simple amendment, the ma­ burden. We must give these firms the March 31, 1957. It is quite obvieus that jority-Democrat-party in Congress lawful right to retain a greater portion of such high rates cannot long continue to can help not only the American farmer their earnings. If this is done, there will be absorbed by small corporations in the but the American taxpayer by making be a tremendous strengthening of com- lower income groups. We are no~ talk­ unnecessary the purchase ·of 20 million . petitive position of small business. This ing about some 80 percent of the corpo­ pounds of American surplus pork. course of action will enable small busi­ rate tax returns filed for 1952 which were Without such an amendment, the ad­ ness to make a greater contribution to on net income of $25,000 and less. But. ministration and the Department of Ag­ the defense effort and will place our it is almost as obvious for the 13.6 per­ riculture are powerless to stop the flood peacetime economy on a more firm of Polish pork into the United States of cent of corporations earning from $25, .. foundation. · 000 to $100,000. America. Tax benefits did accrue to small firms In 1954, Poland pork products arriv­ during the 83d Congress when we had an Mr. Speaker, can anyone tell me that ing in this country amounted to 20,- extensive revision of the Internal when the Federal Government takes al­ 305,000 pounds, valued at $17,483,0-00. Revenue Code. Small firms have bene­ most a third of your $25,000 that what . , .Jn 1955, the imports were 24,86~,ooo; fitted .from changes in methods of com­ remains is enough to permit the pur.. the value $19,173,000. puting depreciation, dividends received chase of even two machines, the addition Theoretically, Poland was to use the credit, ·partnership filings, handling of of a wing to the present factory struc.. proceeds of these sales to buy American research and experimental expenditures, iure or the· introduction of a new prod­ agricultural surpluses. · net operating loss deductions and other uct into the market? It is absurd to ex:. :6418 CONGRESSIONAL RECORD - HOUSE April 17 pect a small concern to improve its com- AMENDING UNITED STATES HOUS- Mr. METCALF. Mr. Speaker, I would petitive position through the use of re- ING ACT OF 1937 like to be out in Griffith Stadium this tained earnings when 30 percent of its Mr. KLEIN. Mr. Speaker, I ask unani- afternoon for the opening game of the income is taken away, if it is a poor year, mous consent to extend my remarks at American League season. and when 52 percent of its income is this point. One of the reasons is that I would like taken, if it has had a reasonably profita- The SPEAKER.
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