Presto

23
PRESTO
December 25, 1920.
the continuance of the special wartime excise taxes,
or any effort to increase such taxes.
All Should Help.
We are sending a similar communication to every
member of each of the national trade associations of
the music industry, comprising this Chamber. We
are sending you enclosed a brief statement of argu-
ments against retaining or extending the wartime
All Dealers Are Cocerned in the Most Impor- excise taxes, which may assist you in your local
activities in regard to the tax.
tant Issue Which Will Have the Careful
During this important tax fight on behalf of the
Attention of Music Industries
industry, the Chamber will be in constant touch
with all its members, and will require their assist-
Chamber of Commerce.
ance locally. oFr this reason, please make every
effort to keep informed by material which we send
At a meeting of its Advisory Committee to the you, and otherwise of the tax situation and the argu-
Legal Bureau, the Music Industries Chamber of
ments for and against the various tax propositions
Commerce decided upon definite plans for present- which may be advanced.
ing the case of the music industry at Washington
War Taxes Will Not Produce.
with respect to proposed tax revision.
Many of the suggestions concerning methods of
Arrangements have been made for proper repre- raising additional Federal revenue have included the
sentation at Washington pending the recovery of
retention and even the increase of the wartime excise
Counsel Geo. W. Pound, who, it is hoped, will re- taxes. These recommendations must have been
turn to his work within two or three weeks. Mr. made without any study of the probable business
Smith, the general manager, will also be in Wash- conditions of the particular industries so taxed, and
ington every week or ten days. Every effort will be their inability to continue to produce the revenue
made to have representative members of the industry obtained from them by the Government during the
in Washington to appear before congressional com- last year, to say nothing of producing additional
mittees at the proper time.
revenue.
An outline of the plan to fight the musical tax is
Cannot Stand It.
printed on page 6.
The great problem of taxation, especially with
Chamber Will Watch.
such forms as our special taxes on certain indus-
To arouse the entire industry of the country to tries, is to obtain the revenue without seriously cur-
the necessity of co-operating in the intensive cam- tailing the production of the industry. There are
paign it is waging on proposed tax revision inimical very few industries at the present time, and probably
to the music industry, the Music Industries Chamber will be few within the next year or two, which can
of Commerce has sent to every member of the withstand special taxation of 5 or even 3 per cent,
Chamber and others an identical letter calling atten- and continue without serious curtailment.
tion to the critical situation, and urging prompt local
If the present wartime excise taxes are continued,
action. With the letter was enclosed an argument our Government may find it necessary to abolish
against retaining or extending wartime excise taxes, them later, as has been the case in Canada, in order
prepared by the Chamber for assistance in local to keep those industries operating. That these indus-
activities. The letter says:
tries have been able to pay their excise taxes during
The chamber of Commerce of the United States is the last year or two is because they have been abnor-
today submitting to its entire membership a referen- mal ones for these industries. Many of them are
dum upon methods of revising the present Federal now beginning to feel seriously the effects of their
taxation laws. It is essential for the protection of
excise taxes.
the music industry that all important organizations
May Hinder Progress.
like the Chamber of Commerce of the United States
realize the injustice and danger of retaining many
The greatest of care should be exercised by the
of the present wartime excise taxes, or of increasing Government in determining which industries should
them, as has been proposed. Threfore, we hope that be subject to excise taxes. No industry will be able
business men all over the country will unite in voting to continue normal production in the next year if
on this referendum in such a way as to show that
the injustice and dangers of the wartime excise taxes subject to such special taxes, unless it is an industry
whose products are of comparatively small unit
are understood.
value, of constant and widespread use, sold almost
Business Men Should Act.
entirely for cash, distributed through well-estab-
Undoubtedly many votes will be cast in the af- lished means of distribution, and on which the tax
firmative on this proposition, with the idea that it can be passed entirely to the consumer in such small
refers particularly to the pre-war tiype of excise
taxes. Whether or not fhis is the intention of the amounts as to be of no serious consequence to him.
The music industry may be taken as an example
committee which framed the proposition, business
men should make it evident in their votes that they of one which is now subject to an excise tax, and
approve such excise taxes only, and do not approve which does not conform to the above conditions,
TO PROTECT TRADE
IN TAX REVISION
WESSELL, NICKEL & GROSS
Manufacturers • !
PIANO ACTIONS
HIGHEST GRADE
ONE GRADE ONLY
FACTORIES:
W««t Forty-Fifth StfMt, Tmpth AvantM a»4 W«st
Forty-Sixth Stroot.
OFFICE:
457 W « t 45th 3tr~t
with the result that a continuance of the present
excise tax must inevitably result in serious curtail-
ment of production and consequent loss of revenue
to the Government. The two great products of the
industry subject to excise taxes are the piano and
the phonograph. These products are of high in-
trinsic value. They are products which the pur-
chaser buys with the expectation that they will last
a lifetime. Musical instruments are investments.
The great bulk of them are bought as houses are
bought, that is, by a small cash payment, and fu-
ture payments until the instrument is entirely paid
for.
Effect on Installments.
The Music Industries Chamber of Commerce is
now ascertaining what proportion of such instru-
ments in normal times are purchased by an initial
payment of not more than 5 per cent. It is safe
to say that possibly 80 per cent of such instruments
are bought on the installment plan and that most
of them are purchased with a very small initial pay-
ment. Therefore the music industry cannot continue
its volume of sales if it must pay a 5 per cent excise
tax, because in such circumstances the initial cash
payment in effect goes in whole or in part to the
Government, without leaving the industry funds
necessary to carry on the business.
For the music industry, the installment method,
if conducted properly, is economically sound. Irre-
spective of this, however, to say that larger initial
cash payments should be demanded does not meet
the argument from the Government's standpoint,
because, as a practical matter, a universal demand
on the part of the industry for larger payments
would immediately result in decreased volume of
sales, and consequently less revenue for the Gov-
ernment.
The results of continuing the wartime excise taxes
on industry demand the urgent attention not only of
Congress, but of the general public, whose opinion,
after all, is what controls in the* making of our tax
laws. It is necessary that all industries pay their
share of the Government's expenses, but unwise
special taxation will defeat its own purposes.
WON ADVERTISING PRIZE.
The Wm. H. Rankin Company, of New York and
Chicago, advertising agency, has been awarded the
first prize for American Exhibits at the London
Adv. Show. The exhibit comprised over 150 separate
advertisements of leading American firms, among
which were the Cheney Talking Machine Co., Steger
Phonograph Co., and Starr Pianos and Phonographs.
It is proposed to hold the next International Adver-
tising Exhibition either in Chicago or New York
in 1921. Over 100,000 persons attended the London
exhibition, and every country in the world was rep-
resented.
The Forbes & Meagher Music Co., Madison, Wis.,
handles the Lyon & Healy line.
CABLE-NELSON PIANO CO.
Manufactures fine pianos and player-pianos and
Wholesales them at fair prices and terms.
The agency is a source of both
profit and prestige.
REPUBLIC BUILDING, CHICAGO
NEW YORK
Com stock, Cheney & Co.
Ivory Cutters and Manufacturers
Piano Keys, Actions * Hammers
iVORY AND COMPOSITION-COVERED ORGAN KEYS
Tht only Contf iny Furnishing' tha Keys, Aotions, Hammers and Braokets ComplMt
The Best High-Grade Piano for the Money
Newman Bros. Pianos have tonal quality second to none.
Their many superior points and their forty-six years of pres-
tige give the dealer interesting facts to tell his prospects.
When you take on the Newman line of pianos and players you
become one of us, and we give you real help when you need it*
Don't just think we are a fine firm to deal with, find out for
sure and you will stay right with us.
Newman Bros. Company
Ifefegraph a n d R . R. S t a t i o n : Essex, C o n n .
Factories, 806-16 Dix St.
Chicago, Illinois
Office a n d F a c t o r i e s : I v o r y t o n , C o n n .
FOR TONE. BEAUTY
AMD LASTING
fi
ACCOMPLISHMENT
The WERNER INDUSTRIES CO.
Cincinnai
P I A N O S
AND
P r A Y F R S
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