The Holly chieftain., 1910-03-04
LEGAL QUESTION
CAUSES DELAY
enforcement Of Corporation Tax
Law Necessarily Must Be Put
or for Some Time.
APPROPRIATION NOT IN ORDER

Must Ds Specific, and csnsrsss viii
y Called On 70 Make Il Regular
-psoersssivss Fear NuIiihea-
tlsn u Law.
Washingtcn-Because the appropri-
alton Of 100000 for the enforcement
Of the corporation tax law did not con-
form to the requirements OF the act
OF 1852. which says that appropria-
tions for clerk hire to be expended In
the District of Columbia must b spo-
cifIc, the president has discovered that
1t will not be possible to give force
and effect to the pubAcity features OF
the law. unless there be q specific ap-
preparation OF $4,000 to pay for the
clerks needed to properly hle and in
dex the returns.
The president made known his
views IN the matter in letter to the
secretary Of the treasury. Because
they fear the laying open Of their
Affairs to commercial rivals men inter-
ested in corporations have for months
been importuning the president and
congress to bring about modification
Of the publicity feature Of the corpora
tion tax law. The president and the
attorney general have been at work
upon the matter and while the presi-
dent desires to uphold the publicity
feature Of the law. he, at the same
time, was moved by the complaints of
these business men, and In his let
ter he clearly pointed the way to
avoid the enforcement Of that fea-
ture.
The Presidents Position.
In his letter to the secretary Of the
treasury. the president explains that
| under section Of the act Of August
| s, 1882. the secretary Of the treasury
Ia prohibited from using any part of
the special appropriation of 100000
for the employment Of persons within
the District of Columbia.
I'm my judgment. the failure to
make SPECIFIC appropriation for the
purpose was an oversight due to the
supposition that the 100000 might be
| applied In part to the purpose under
discussion. and that It was, as already
said, the intention Of congress to make
these records different from the ordi.
nary internal revenue records. and
really subject to general public In
spection. But with the situation as 1t
is nothing remains to be done except
for you to state the case to the house
Representatives, where appropriation
bills are properly introduced. and to
suggest that II the construction which
seems to me to be the right one IL
to be carried into execution, there
must be an appropriation OF $4,000
for the specific purpose, and with q
further statement that II no such ap-
preparation is made, the only course
open to those who are executing the
law in the department will be to treat
| the returns as other internal records. /"
In the letter of Charles D. Martin,
acting secretary OF the treasury, to
the speaker OF the house, submitting
the estimate for the appropriation.
this significant language occurs: I'm
the absence Of the appropriation
above described. the secretary of the
treasury will treat the corporation
tax returns as other internal revenue
returns are treated"
In the letter of r. E. Cable, commits
sioner of internal revenue, to the sec
retary of the interior, of same date
as that Of the acting secretary of the
treasury and of the president, this lam
\ guage Is used: III 1t was the intent
of congress that the returns made un-
der this section OF the tariff act were
not to be open to general inspection,
this appropriation need not bs
| granted"
As Congress Looks at II.
Members of congress regarded this
as an invitation to them not to take
action. Immediately there arose all
kinds Of objections to the adoption
of legislation making the appropria-
tion. Chairman Tawney Of the appro-
priation committee said there need
be no rush and pointed out to sew.
eral members that such legislation on
an appropriation bill would be sub
ject to point Of order. for the rea-
son that it changed existing law. 1t
was also said that there would be NO
move to make the appropriation un-
less the committee on ways and
means first brought in bill authoriz.
ing the rental of quarters and the en-
l