Monday, May. 02, 1955

Rock 'Em, Sock 'Em

When Pennsylvania's outgoing Republican Governor John Fine last year said that the state urgently needed some $300 million in new taxes, no one was more indignant than George Leader, Democratic candidate for governor. Efficient (Democratic) administration and strict (Democratic) economies, cried Leader, would solve Pennsylvania's fiscal problems. He won election by campaigning against new "broad-base" taxes, including income taxes.

Last week Governor Leader sent to the state legislature a proposal for a tax with as broad a base as Pennsylvania itself. Calling for $620 million in new revenues, Leader set up five income-tax classifications: 1% on wages and salaries; 2% on the incomes of unincorporated businesses and professional men; 4% on interest, rents and royalties; 5% on dividends; 6% on long-term capital gains.

Republicans made the most of Leader's turnabout. Jeered U.S. Senator and ex-Governor James Duff: "The Leader tax program is sure enough a rock 'em, sock 'em plan, a regular Donnybrook Fair idea. When you look around to see who is getting hurt, you get socked right on the button yourself--more of a tax smack by hundreds of millions than was ever before proposed in Pennsylvania, most of it in direct violation of definite campaign pledges." But George Leader stood his ground. He snapped: "I have just begun to fight."

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