Evening star. [volume], November 04, 1927, Page 4, Image 4

About Evening star. [volume] (Washington, D.C.) 1854-1972

Image provided by: Library of Congress, Washington, DC

                
4
lAX REGULATION
| CHANGES URGED
pouse Committee Is Told
H Board of Tax Appeals
| Docket Is Swamped.
the Associated Press.
r-3 Having heard specific suggestions
||br readjusting taxes on corporation
fid individual incomes, the House
ays and means committee today de
ferred further testimony on tax revl
"|3on to hear recommendations apply
ing to general administrative features
■ig the revenue law and Board of Tax
Appeals.
H 5 Witnesses presented for the record
yjt number of technical proposals for
■amendments, aimed to simplify the
l|w. Tlio first witness was John M.
3turphy, New York City, representing
giti© Committee of Banking Institutions
.«n Taxation, an organization compris
ing 40 national banks. State banks,
pust companies and private banking
pstututlons in ansi around New York.
"He struck the keynote for the day
•When he disclaimed any intent to re
jjliest tax cuts. "My purpose." he
-Slid, "is to submit recommendations
$Qr revision of tax regulations which
, Jjkve proved expensive and burden
\ jipme to the taxpayer and of no ad
vantage to the Government."
2 1 ' Would Simplify Sections.
m Murphy submitted the suggestions
lis organization already had made to
tthe joint congressional tax committee.
These included proposed amendments
k> the tax on capital gains and to per
mit deductions for capital losses and
for simplification of the section ap
plying to credit on earned income and
Elimination of the requirement for list
tg tax exempt securities. He also
lied for abolition of the necessity
r prorating exemption where the
rftatus of the taxpayers changes dur
itog the year,
( ! Murphy recalled Secretary Mellon’s
proposal of tax exemptions for in
domes derived from American bank
ers' acceptances held by foreign cen
tral hanks of issue, and suggested its
Extension to exempt "profits of non
resident aliens arising from the pur
chase and holding of hanks’ accept
ances to maturity." This present tax,
l)e argued, discourages the investment
©f foreign capital in the United
States.
Immediately prior to the start of the
ways and means hearing, the Treas
ury Department advised the joint com
mittee on internal revenue legislation,
that petitions being filed with the
"board of tax appeals exceeded the
number disposed of by tndre than 200
per month. The Treasury report, in
part, adding:
"The office of the general counsel
IS literally swamped with work. Al*
though the nature of the problems re
mains substantially the same, the bur
den has been transferred from "the Bu
reau of Internal Revenue,to the gen
eral counsel’s office and the Board of
Tax Appeals.
"In cases before the board involving
•mounts of SIO,OOO or more, the Gov
ernment has succeeded in sustaining
only about 60 per cent of the deficien
cies assessed.
"The period of delay between the
date of the bureau’s action and the
final decision of the board prevents
the decision from becoming a pre
cedent for the action of the bureau
upon similar points. Taxpayers not
involved in the proceedings before the
board can protect their interests. The
bureau can protect the Government’s
interests in doubtful cases only by de
ciding against the taxpayers or, after
obtaining wavers, by fading to de
cide.
"There are only 11 attorneys in the
office of the general counsel who have
served in the office more than six
years. Since July, 1924, 52 attorneys
have resigned from the general coun
sel’s office. There have been in the in
oome tax unit alone 4,727 resignations
at professional and technical officials
during the last seven years."
While this view by the Treasury of
conditions confronting .the Board of
Tax Appeals did not become known un
til today, the legal profession and the
business world has complained for
some time about the congested con
dition of the board's machinery and
representatives from both with sug
gestions for remedying the situation
were among the witnesses called for
testimony.
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Street Driving Styles
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H4miVAJHA AVBMUB AT MVDTIK
I
.Jl v < -
Proposes $79.65
Worth in Taxicab,
But Girl Says “No”
By the Associated Press.
CHICAGO, November 4.—When
Paul Palace, 21. started his pro
posal of marriage to Miss Irene
Casteleo, 17. in a taxicab, the meter
read 35 cents. When it had reached
$79.65. about 18 hours lat:r, he had
not yet persuaded her.
He decided to continue in the par
lor of her sister s home. But arriv
ing there last night the couple was
met by the police. Besides the taxi
charge of $79.65. he faced another
charge of kidnaping in court today.
u. s. shTevacuation
SEEN BY JANUARY 1
Treasury Considers Bids for Rough
Excavation on Location of
Two Buildings.
The Government may not require
evacuation of property in the square
bounded by Tenth. Eleventh, Little B
and C streets on the site of the In
ternal Revenue Bureau Building, un
til around January 1, it was learned
today.
This property, which is being ac
quired by condemnation proceedings,
virtually complete, must now be paid
for by the Treasury under terrms of
the court and the title completed be
fore vacation notices may be served.
Property owners then will be allowed
30 days in which to move, so that the
date for vacating the property may
be around the first of the new year.
The program of acquiring the prop
erty under condemnation terms is
now being carried forward, but will
take several days.
In the meantime, the Treasury toolc
under consideration today the bids re
ceived yesterday for rough excava
tion on the sites of both the Internal
Revenue and Department of Com
merce Buildings. Warren P. Brenlzer
of this city was low on both jobs. He
bid $14,250 on the Department of Com
merce, and $10,400 on the Bureau of
Internal Revenue.
The site to be excavated for the
revenue building under the bid is
now cleared and is about one-quarter
of the whole building site. Buildings
have not yet been completely cleared
away, however, from the site to be ex
cavated for part of the commerce
building. The Hechinger Co. has un
til November 17 to complete wreck
ing buildings on this site.
- •
Dog Shortage Worries.
The boom in greyhound racing
threatens to cause a shortage of dogs
on the newer tracks in England. That
there will be a shortage of coursing
doge in the near future if all projected
plans for proposed courses are carried
out is believed, certain.
" It is not necessary
to hove had an Ac
count at this Bank to
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THE MORRIS
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1468 H STREET, N. W.
THE EVENING STAR. WASHINGTON. D. C.. FRIDAY. NOVEMBER 4. 1927.
Woman Tax Witness Tells Committee
She Knows How Daniel Felt in Lions' Den
Levity on the part of witnesses and
committeemen alike enlivened the
usually drab and decorous sessions of
the House ways and means committee
yesterday during the tax hearings.
When Miss Martha L. Connole of
FORMER CANTON CHIEF
IS GRANTED NEW TRIAL
By the Associated Pros*.
YOUNGSTOWN. Ohio. November 4.
—S. A. Lengel, former chief of police
of Canton, convicted of first-degree
murder in connection with the killing
of Don R. Mellett, Canton publisher.
July 16, 1926, was granted a new trial
today by the District Court of Appeals,
i sitting here.
The new trial was granted on ac
count of insufficient evidence to sus
tain the verdict, error in the trial
court's charge, admission of incompe
tent testimony and a remark alleged"
to have been made by a woman juror,
before she was accepted, that she
thought Lengel was guilty.
Lengel is now in the Ohio Peniten
tiary. serving a life sentence, the jury
■which convicted him recommending
mercy.
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East St. Louis, 111., took the stand to
insist on increased exemptions on the
income tax for single persons she
said: “I've often wondered how Daniel
felt in the lions' den, and, standing
here now, I know.”
Miss Connole remarked that she
was not excluding single me t from
her appeal. In response to a sugges
tion that she might be embracing
them she said, “No, I’m not embrac
ing them, but I’m willing to. I'd be
afraid to ask a single man about h'.s
financial affairs, for fear that he
would suspect me.”
Another touch of humor enlivened
the meeting when Isaac. W. Frank of
Pittsburgh, Pa., disclaimed being a
preacher in asking that income donat
ed to charity he exempted from taxa
tion. "You certainly preach a good
sermon anyway,” said Representative
Treadway, Republican. Massachusetts.
Representative Garner of Texas,
ranking minority member, added that
Mr. Frank had displayed his lack of
theological training by characterizing
his suggested change in the tax law
as "a good bet."
"I am a modernist," said Mr. Frank,
"and believe we should reverse the
Bible in this case by not letting him
that hath keep it, and not taking it
away from him that hath not. This is
not a RefHiblican question or a Demo
cratic question, or—er—er—other
wise."
GOFF DENIES CHARGE
FILED BY YASELLI
Senator Answers Accusation Made
of “Malicious Prosecution”
While U. S. Attorney.
By the Associated Press.
Counsel for Senator Goff, Republi
can, West Virginia, have filed in the
Supreme Court a brief denying that
he acted maliciously as a special as
sistant to the Attorney General in the
prosecution of E. Paul Yaselli. on the
charge of conspiring to defraud the
Government in the purchase of the
steamship Liberty Land by the Ital
ian Star Line.
When the Government had present
ed its evidence in the suit against
Yaselli tho Federal District Court in
New York City ordered its dismissal
and Yusseli sued the West Virginia
Senator for malicious prosecution.
On Exhibition
Water Colors ot
ITALY and the TYROL
By Jane C. Stanley
GORDON DUNTHORNE
1205 Connecticut Avenue
The lower Federal court* decided
against Yasellf. holding that Federal
prosecuting officers were Immune from
personal liability in the discharge of
their official duties.
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Senator Goff's couneel asserted In
the brief that In prosecuting Yaselii he
was free from any unworthy motive
and insisted that “a corrupt or ma
licious motive should not recklessly
be Imputed to a distinguished public
servant."
Wages of many workers ip Italy
have been reduced 10 per cent.