Presto
Issue: 1928 2168 - Page 9
February 18, 1928
PRESTO-TIMES
"This is the
HERMANN IRION
ON REVENUE BILL
finest bench
of Music Industries Chamber of
you can buy" President
Commerce in Letter to Senator Smoot De-
nounces Retroactive Legislation Adverse
to Business and Urges Amendments.
BRIEF TO COMMITTEE
Finance Group of United States Senate Get Chamber
Protest Against Features of Revenue Measure
Hurtful to Trade.
TONKBENCH No. 6363\
With Upholstered Top
W
HEN you're pushing
a profitable piano
sale toward its close
and all you need is just one
more convincing demon-
stration of value-giving. . . .
That's when you'll appre-
ciate the uniform high qual-
ity standard we have main-
tained for more than half a
century.
That's when being able
to say "This is the finest
bench you can buy" will be
worth twice or thrice the
fair, reasonable price we ask
for TONKBENCHES.
Write for the latest T O N K -
BENCH Bulletin, TONKBENCH
Period Style Sheets and full in-
formation regarding the Complete
TONKBENCH Line.
P. S.
To Piano Manufacturers, now strug-
gling with the production of benches to match
their exclusive or regular models we say:
Put your problems up to us. Ask us
to prove how much we can save you; how
well we can serve you.
Man
xing
Company
1912 Lewis Si.
CHICAGO
Pacific Coast Factory
4627 E. 50th St., Los Angeles, California
to the passage of the 1926 Act in accordance with
then existing Treasury Department regulations shall
be considered to have been reported correctly."
The brief asserted that the retroactive installment
provisions of the 1926 Revenue Act were inserted
while the Bill was before the Committee for the sole
reason of protecting these very returns which are still
threatened with double taxation, as is clearly shown
by the statement of Senator David A. Reed, while
the Bill was on the floor of the Senate.
Reverses Provisions.
"After the passage of the 1926 Revenue Act," con-
tinues the brief, "the Treasury Department reversed
the provisions of its regulations governing the period
of change from accrual to the installment basis which
had been in effect for years, and which, in order to
prevent duplicate taxation, authorized the deduction
of revenue received after the change on sales made
prior to the change on the grounds that it had pre-
viously been reported as income and full tax paid
thereon. The new regulations provide that these de-
ductions cannot be made.
"In justification of them the Treasury Department
has claimed that such was the intent of Congress.
Because of the retroactive features of the 1926 Act,
these new regulations are applicable to returns filed
previously under the former regulations, thus opening
them to reaudit and imposition of additional dupli-
cate taxation. The pending bill, instead of granting
relief, makes no provision with respect to returns pre-
viously filed, but contains a new provision (Section
44, paragraph (c) which practically incorporates the
objectionable language of the new Treasury Regula-
tions for application to future returns.
Legislation Not Justified.
"We respectfully submit to your Honorable Com-
mittee that retroactive legislation of an economic
character affecting business adver«#ly--ca»Hot be justi-
fied. Such legislation constitutes a grave menace
to the welfare and prosperity of commerce and indus-
try, because there is no way in which its dangerous
results can be avoided by diligence, judgment or fore-
sight. Business cannot prosper if Congress adopts
the policy, through retroactive legislation, of impos-
ing financial burdens as a result of operations of for-
mer financial periods which are closed history.
Sales Not Real.
"Neither the need for nor the merit of the install-
ment basis is at issue, for it has been recognized for
years. We call your attention, however, to the fact
that installment sales are not real, but anticipated
sales. Tt was never intended that the income tax
should be imposed upon anticipated profit. The in-
stallment basis has been devised as a necessary means
to meet this situation. It should be recognized
definitely, as it is in the pending Bill, but it should
not be vitiated by the proposed paragraph (c).
"Accordingly, we further recommend that Section
44. paragraph (c), be amended so that the last words
shall read 'shall be excluded,' instead of 'shall not be
excluded.' "
Maintaining that the good faith of the Government
is at stake,* as well as the soundness of the nation's
retail credit structure, Hermann Irion, president of
the Music Industries Chamber of Commerce, in a
letter sent this week to Senator Smoot, chairman of
the Senate Finance Committee, denounced retroactive
legislation adverse to business and urged amendments
to the Revenue Bill necessary to prevent additional
and double taxation on returns filed on the install-
ment basis in previous years in accordance with the
Treasury Department regulations.
"In 1920," said Mr. Irion, "the Treasury Depart-
ment issued regulations permitting taxpayers to
adopt the so-called installment basis. Now, after
many have made the change and are definitely com-
mitted, the Treasury Department has adopted radi-
cally different regulations, which are retroactive, and
which will compel these unfortunate taxpayers to
make substantial additional payments on income
which has already paid its taxes in full."
Scores Adverse Legislation.
The Music Industries Chamber of Commerce, in its
brief accompanying Mr. Trion's letter, scores adverse
retroactive economic legislation as a menace to busi-
ness in the following language: "Retroactive legisla-
tion of an economic character affecting business ad-
versely cannot be justified. Such legislation consti-
tutes a grave menace to the welfare and prosperity
of commerce and industry, because there is no way
in which its dangerous results can be avoided by
diligence, judgment' or foresight. Business cannot
prosper if Congress adopts the policy, through retro-
active legislation, of imposing financial burdens as a
result of operations of former financial periods which
are closed history."
Mr. Irion's letter and the brief of the Chamber fol-
low :
Mr. Irion's Letter.
February 13, 1928.
Honorable Reed Smoot, Chairman,
Finance Committee, United States Senate,
Washington, D. C.
My dear Senator Smoot:
In transmitting herewith brief of this Chamber
with reference to the provisions of Section 44 of the
Revenue Bill, relative to reporting income from in-
stallment sales, I wish to call your personal attention,
and that of your Committee, to the great importance
of the installment method of financing retail pur-
chases, and, consequently, the very real danger to
the retail credit structure of the nation's business
from the bill in its present form.
However, more is involved even than this, for the
good faith of the Government is at stake.
In 1920, the Treasury Department issued regula-
tions permitting taxpayers to adopt the so-called in-
stallment basis. Now, after many have made the
change and are definitely committed, the Department
has adopted radically different regulations, which are
retroactive, compelling these unfortunate taxpayers
to make substantial additional payments on income
which has already paid its taxes in full.
As a matter of good faith, Congress should amend
this Bill so as to protect from further taxation prior
returns filed in accordance with then existing Treas-
ury Department regulations.
Trusting that this matter will receive your favor-
able consideration, I am
Respectfully yours,
HERMANN IRION, President,
Music Industries Chamber of Commerce.
The Brief.
The brief addressed "To the Honorable Members
of the Finance Committee of the United States Sen-
ate," said, "Section 44, of the Revenue Bill of 1928,
fails to protect returns filed on the installment basis
in past years in accordance with then existing Treas-
ury Department regulations from reaudit and conse-
quent imposition of heavy additional taxes on income
which has previously been reported and full tax paid
thereon.
The Music Industries Chamber of Commerce, rep-
resenting the various branches of the music industry,
and especially the music merchants of the country,
specifically urged that:
"A provision be inserted in Section 44 to the effect
that income reported on the installment basis prior
SETH FOSTER MADE A
CELCO CORP. OFFICIAL
Expert Authority on Art Designs and Period
Models Elected Vice-President at
Recent Meeting.
At a recent meeting of the recenth' formed Celco
Corporation, Norwalk, Ohio, Seth Foster was elected
vice-president. Mr. Foster, who has had an extensive
experience in the piano field, is an authority on art
styles and I'eriod models. His course in Columbia
University included such studies. Other officers of
the corporation are J. Harry Shale, president; Walter
E. Hall, secretary, and E. D. Button, treasurer.
The Celco Corporation will continue to manufac-
ture the three fine pianos of its line at Xorwalk which
has been for several years known as the production
point of the A. B. Chase, Emerson and Lindeman &
Sons. The policies announced by Mr. Shale will
safeguard the reputation of the fine instruments.
Stuart H. Perry, well known traveler, has been
western traveling representative for the company and
left last week on a trip through his territory.
BELA BARTOK USES BALDWIN.
Bela Bartok, who uses and endorses the Baldwin
piano exclusively, the leading composer of contem-
porary Hungary, makes his first visit to America
this season. His coming has been awaited for some
time, but until now the pressure of creative work
and of concert engagements has prevented Bartok
from taking the time necessary to cross the ocean.
Although he has never appeared here in person, his
music is, however, as well known here as in Europe,
where it is constantly offered by every orchestra,
chamber organization, pianist, and singer of note.
Enhanced content © 2008-2009 and presented by MBSI - The Musical Box Society International (www.mbsi.org) and the International Arcade Museum (www.arcade-museum.com).
All Rights Reserved. Digitized from the archives of the MBSI with support from NAMM - The International Music Products Association (www.namm.org).
Additional enhancement, optimization, and distribution by the International Arcade Museum. An extensive collection of Presto can be found online at http://www.arcade-museum.com/library/
PRESTO-TIMES
"This is the
HERMANN IRION
ON REVENUE BILL
finest bench
of Music Industries Chamber of
you can buy" President
Commerce in Letter to Senator Smoot De-
nounces Retroactive Legislation Adverse
to Business and Urges Amendments.
BRIEF TO COMMITTEE
Finance Group of United States Senate Get Chamber
Protest Against Features of Revenue Measure
Hurtful to Trade.
TONKBENCH No. 6363\
With Upholstered Top
W
HEN you're pushing
a profitable piano
sale toward its close
and all you need is just one
more convincing demon-
stration of value-giving. . . .
That's when you'll appre-
ciate the uniform high qual-
ity standard we have main-
tained for more than half a
century.
That's when being able
to say "This is the finest
bench you can buy" will be
worth twice or thrice the
fair, reasonable price we ask
for TONKBENCHES.
Write for the latest T O N K -
BENCH Bulletin, TONKBENCH
Period Style Sheets and full in-
formation regarding the Complete
TONKBENCH Line.
P. S.
To Piano Manufacturers, now strug-
gling with the production of benches to match
their exclusive or regular models we say:
Put your problems up to us. Ask us
to prove how much we can save you; how
well we can serve you.
Man
Company
1912 Lewis Si.
CHICAGO
Pacific Coast Factory
4627 E. 50th St., Los Angeles, California
to the passage of the 1926 Act in accordance with
then existing Treasury Department regulations shall
be considered to have been reported correctly."
The brief asserted that the retroactive installment
provisions of the 1926 Revenue Act were inserted
while the Bill was before the Committee for the sole
reason of protecting these very returns which are still
threatened with double taxation, as is clearly shown
by the statement of Senator David A. Reed, while
the Bill was on the floor of the Senate.
Reverses Provisions.
"After the passage of the 1926 Revenue Act," con-
tinues the brief, "the Treasury Department reversed
the provisions of its regulations governing the period
of change from accrual to the installment basis which
had been in effect for years, and which, in order to
prevent duplicate taxation, authorized the deduction
of revenue received after the change on sales made
prior to the change on the grounds that it had pre-
viously been reported as income and full tax paid
thereon. The new regulations provide that these de-
ductions cannot be made.
"In justification of them the Treasury Department
has claimed that such was the intent of Congress.
Because of the retroactive features of the 1926 Act,
these new regulations are applicable to returns filed
previously under the former regulations, thus opening
them to reaudit and imposition of additional dupli-
cate taxation. The pending bill, instead of granting
relief, makes no provision with respect to returns pre-
viously filed, but contains a new provision (Section
44, paragraph (c) which practically incorporates the
objectionable language of the new Treasury Regula-
tions for application to future returns.
Legislation Not Justified.
"We respectfully submit to your Honorable Com-
mittee that retroactive legislation of an economic
character affecting business adver«#ly--ca»Hot be justi-
fied. Such legislation constitutes a grave menace
to the welfare and prosperity of commerce and indus-
try, because there is no way in which its dangerous
results can be avoided by diligence, judgment or fore-
sight. Business cannot prosper if Congress adopts
the policy, through retroactive legislation, of impos-
ing financial burdens as a result of operations of for-
mer financial periods which are closed history.
Sales Not Real.
"Neither the need for nor the merit of the install-
ment basis is at issue, for it has been recognized for
years. We call your attention, however, to the fact
that installment sales are not real, but anticipated
sales. Tt was never intended that the income tax
should be imposed upon anticipated profit. The in-
stallment basis has been devised as a necessary means
to meet this situation. It should be recognized
definitely, as it is in the pending Bill, but it should
not be vitiated by the proposed paragraph (c).
"Accordingly, we further recommend that Section
44. paragraph (c), be amended so that the last words
shall read 'shall be excluded,' instead of 'shall not be
excluded.' "
Maintaining that the good faith of the Government
is at stake,* as well as the soundness of the nation's
retail credit structure, Hermann Irion, president of
the Music Industries Chamber of Commerce, in a
letter sent this week to Senator Smoot, chairman of
the Senate Finance Committee, denounced retroactive
legislation adverse to business and urged amendments
to the Revenue Bill necessary to prevent additional
and double taxation on returns filed on the install-
ment basis in previous years in accordance with the
Treasury Department regulations.
"In 1920," said Mr. Irion, "the Treasury Depart-
ment issued regulations permitting taxpayers to
adopt the so-called installment basis. Now, after
many have made the change and are definitely com-
mitted, the Treasury Department has adopted radi-
cally different regulations, which are retroactive, and
which will compel these unfortunate taxpayers to
make substantial additional payments on income
which has already paid its taxes in full."
Scores Adverse Legislation.
The Music Industries Chamber of Commerce, in its
brief accompanying Mr. Trion's letter, scores adverse
retroactive economic legislation as a menace to busi-
ness in the following language: "Retroactive legisla-
tion of an economic character affecting business ad-
versely cannot be justified. Such legislation consti-
tutes a grave menace to the welfare and prosperity
of commerce and industry, because there is no way
in which its dangerous results can be avoided by
diligence, judgment' or foresight. Business cannot
prosper if Congress adopts the policy, through retro-
active legislation, of imposing financial burdens as a
result of operations of former financial periods which
are closed history."
Mr. Irion's letter and the brief of the Chamber fol-
low :
Mr. Irion's Letter.
February 13, 1928.
Honorable Reed Smoot, Chairman,
Finance Committee, United States Senate,
Washington, D. C.
My dear Senator Smoot:
In transmitting herewith brief of this Chamber
with reference to the provisions of Section 44 of the
Revenue Bill, relative to reporting income from in-
stallment sales, I wish to call your personal attention,
and that of your Committee, to the great importance
of the installment method of financing retail pur-
chases, and, consequently, the very real danger to
the retail credit structure of the nation's business
from the bill in its present form.
However, more is involved even than this, for the
good faith of the Government is at stake.
In 1920, the Treasury Department issued regula-
tions permitting taxpayers to adopt the so-called in-
stallment basis. Now, after many have made the
change and are definitely committed, the Department
has adopted radically different regulations, which are
retroactive, compelling these unfortunate taxpayers
to make substantial additional payments on income
which has already paid its taxes in full.
As a matter of good faith, Congress should amend
this Bill so as to protect from further taxation prior
returns filed in accordance with then existing Treas-
ury Department regulations.
Trusting that this matter will receive your favor-
able consideration, I am
Respectfully yours,
HERMANN IRION, President,
Music Industries Chamber of Commerce.
The Brief.
The brief addressed "To the Honorable Members
of the Finance Committee of the United States Sen-
ate," said, "Section 44, of the Revenue Bill of 1928,
fails to protect returns filed on the installment basis
in past years in accordance with then existing Treas-
ury Department regulations from reaudit and conse-
quent imposition of heavy additional taxes on income
which has previously been reported and full tax paid
thereon.
The Music Industries Chamber of Commerce, rep-
resenting the various branches of the music industry,
and especially the music merchants of the country,
specifically urged that:
"A provision be inserted in Section 44 to the effect
that income reported on the installment basis prior
SETH FOSTER MADE A
CELCO CORP. OFFICIAL
Expert Authority on Art Designs and Period
Models Elected Vice-President at
Recent Meeting.
At a recent meeting of the recenth' formed Celco
Corporation, Norwalk, Ohio, Seth Foster was elected
vice-president. Mr. Foster, who has had an extensive
experience in the piano field, is an authority on art
styles and I'eriod models. His course in Columbia
University included such studies. Other officers of
the corporation are J. Harry Shale, president; Walter
E. Hall, secretary, and E. D. Button, treasurer.
The Celco Corporation will continue to manufac-
ture the three fine pianos of its line at Xorwalk which
has been for several years known as the production
point of the A. B. Chase, Emerson and Lindeman &
Sons. The policies announced by Mr. Shale will
safeguard the reputation of the fine instruments.
Stuart H. Perry, well known traveler, has been
western traveling representative for the company and
left last week on a trip through his territory.
BELA BARTOK USES BALDWIN.
Bela Bartok, who uses and endorses the Baldwin
piano exclusively, the leading composer of contem-
porary Hungary, makes his first visit to America
this season. His coming has been awaited for some
time, but until now the pressure of creative work
and of concert engagements has prevented Bartok
from taking the time necessary to cross the ocean.
Although he has never appeared here in person, his
music is, however, as well known here as in Europe,
where it is constantly offered by every orchestra,
chamber organization, pianist, and singer of note.
Enhanced content © 2008-2009 and presented by MBSI - The Musical Box Society International (www.mbsi.org) and the International Arcade Museum (www.arcade-museum.com).
All Rights Reserved. Digitized from the archives of the MBSI with support from NAMM - The International Music Products Association (www.namm.org).
Additional enhancement, optimization, and distribution by the International Arcade Museum. An extensive collection of Presto can be found online at http://www.arcade-museum.com/library/
Future scanning projects are planned by the International Arcade Museum Library (IAML).