The Fulton County news. [volume] (McConnellsburg, Pa.) 1899-current, 1910-02-24
CALLS CONGRESS
TO THE RESCUE
Taft Wants Publicity in Tax
Returns.
THE PRESIDENT MAKES APPEAL

priation OF $4,000 Is Provided
For Clerical Hire-Snake Found
In A Former Act--President Rem
ders An Opinion.
Washington. ID. G. (SpeciaD The
returns made by corporations under
the law imposing a tax of l per cent
on their net incomes are not to be
open to public inspection unless Con-
gress makes an appropriation specifi-
cally providing for accommodations
and clerical help for that purpose
Somebody has discovered that'an act
| passed in 1882 expressly prohibits
the Secretary of the Treasury from
| using any part of the appropriation
of 100000 made by Congress for
the Expenses of collecting the cor
poration tax" in the employment Of
| persons within the District of Co
! lumbia.
| President Taft is of opinion that
| Congress intended that the returns,
original and corrected, should be
open to inspection as are court rec
ords, and in letter to the Secretary
of the Treasury he has suggested
| that if the construction which seems
| to him to be the right one is to be
carried into execution there must
be an appropriation of $4,000 for
! the specific purpose. Following the
Presidents suggestion, Charles ID.
| Norton, acting secretary of the Treas
ury, has submitted to the Speaker
| of the House an estimate for an ap-
preparation to the amount stated.
Strong opposition had developed
to the publicity feature of the Cor
| poration Tax Law and President Taft
and his advisers have frequently con-
| ferred on the question of reaching a
basis of administration of the act
| The issue now is squarely before
Congress and much interest is mani
tested as to whether that body in
effect will re-enact the existing pub
licity provision by granting the ap-
preparation recommended.
The Presidents Letter.
President Taft's attitude and views
on the subject are voiced in the fol-
lowing letter to the Secretary of the
| Treasury:
"The White House,
Washington, February 16, 1910.
my Dear Mr.. Secretary On the
question as to the meaning of para
graph of the Corporation Excise
Law, in section 3S of the tariff act
of August ;, 1909, have very little
doubt. 1t seems 20 me that it was
! intended by Congress that the re-
I nrioiDa1 hut
not the documents and evidence
taken upon investigation, should be
open to inspection, as are court rec
ords.
II understand the difficulty that
presents itself to you, to wit: That
Congress, in the urgent deficiency
bill of August 3, 800, appropriated
100000 for the expenses of collect
ing the corporation tax, and that il
was assumed that this would enable
you to use proper part of the sum
for increasing your clerical and other
assistance needed to give the oppor-
tunity for the public inspection spe-
| Cifically provided in the act. II will
require at least $50, 900, properly to
index and display. the returns of more
than 100000 corporations, to house
them in rooms convenient to access
for the public and to provide clerks
for the care and custody of them
under such conditions.
Was Only An Oversight.
1T now turns out, no ,Jever, that
by section of the act of August
3. 1882, the Secretary of the Treas
ury is expressly prohibited from us
ing any part of the appropriation of
100000 made in the words of the
statutes already quoted for the en-
ployment of persons within the Dis
trict OF Columbia. In other wor Is,
therefore, no appropriation exists
with which to make the returns of
corporations public record available
for public inspection in any different
manner from that in which other in
ternal revenue records are public
records.
In my judgment, the failure ia
make specific appropriation for the
purpose was an oversight, due to
the supposition that the 100000
might be applied in part to the pur-
pose under discussion, and that II
was, as already said, the intention
of Congress to make these records
different from the the ordinary in
ternal revenue records and really
subject to general public inspection
But with the situation as it is,
nothing remains to be done except
; for you to state the case to the
House OF Representatives where ap-
, preparation bills are properly intro.
duced, and to suggest that If the
construction, which seems to me to
be the right one is to be carried into
execution there must be an appro-
priation OF $4,000 for the specific
, purpose; and with a further state.
ment that II no such appropriation
Is made the only course open to those
who are executing the law in the
, department will be to treat the re.
turns as other internal revenue rec
ords.
Sincerely yours.
William II. Taft"
Wnman Nav n.-l.,n EiUa .affa.,