The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1919-02-19
STRICT PENALTY
FOR TAX DODCE'S
PROVIDED BY BILL
Deliberate Evasion Of Income
Tax Law to be Punished to
Limit.

How does Uncle Sam deal with tax
dodgers? This inquiry. which was
prompted by the severe penalties pro-
vided in the new revenue bill. has
brought from Commissioner Daniel G.
Roper a frank statement as to the
Internal Revenue Bureaus attitude to
those who attempt to evade taxation.
ANY person who deliberately con-
ceals Availability or who falsides q
return in order to reduce or evade the
payment Of any internal revenue tax.
or who deliberately abets such con-
cealment or fraud. finds arrayed
against him the entire strength OF
this bureau. pressing for the full civil
and criminal penalties. That 10 the at
titude toward the tax-dodger, express
ed in one sentence. Whether ne Is
moonshiner, stealthy tranicker IN
habit forming drugs, or juggler OF In
come figures, a delinquent In making
the sworn return the law requires. or
a revenue violator of any other kind.
the bureau Is charged with the duty
of hunting him out and exacting the
full punishment provided in the law.
Toward the taxpayer who means
to comply with the internal revenue
law, fully and honestly, the bureau
extends helping hand. Cooperation
with the taxpayer Is our watcnword
and objective.
Classification Different.
These two contrasts-the teeth OF
the law for the tax dodger and the
yiolator, and the aid Of every lawful
agency for the voluntary taxpayer
are policies necessary to the admin
lo-v unAaP modern
conditions.
"One of the most difficult Of the
many problems in tax collecting Is
to classify those who fail to fulfill the
obligations imposed by law. The bu-
reau Is Obliged to maintain a large
staff and to use the utmost discre-
ton in properly labelling these cases.
Even-handed justice is heavy re-
sponsibility and only through careful
siftings can delinquents be classified.
There are three distinct classes OF
delinquency with which we have to
deal: First, the taxpayer who had
reasonable cause, brought about by
exceptional conditions beyond his con-
troll: secondly, the fellow who didn't
look IN and didn't realize his obliga-
tons: and thirdly, the person who
wilfully evaded compliance with the
law.
DeIinauents Investigated.
"As for the man who shows rea-
scnable cause within certain lines es'
tablished by the bureau. no penalties
are asserted. All other delinQuents
are more carefully investigated before
prosecution is begun. Many of these
offences are caused by ignorance and
negligence Failure to make the re-
ports required by law may in some
cases warrant sever penalty, as where
the delinquent continues his delin-
I auency after being warned OF the
penalty for failure to make return.
However, If the delinquent takes i'm
mediate corrective action, and 1t Is
clearly established through investtga-
lion that he did not wilfully violate
the law, the bureau allows him to com
promise his liability to specific pen.
atty by rendering a nominal sum OF
money. In such instances the money
is not really in compromise but as
sessed to impress the taxpayer against
future violations.
But there Is no relief, no com
promise, for the man who w1lfully
evades, wilfully neglects. or wilfully
falsifies. He Is classed with other
laW-Dr6dkeTS III Iuo CyCc VI LILO wa
au, is vigorously prosecuted In the
courts. No other course Is open tc
the bureau, in meeting fairly and
souarely the demand Of the wiling tax
payer II will-the other man must.
There is a solemn responsibility thus
existing between the honest taxpayer
and the bureau to locate and pun1sf
the dishonest tax-dOdger.
For a decade the drift Of fedora
taxation has been from the indirec
tax toward direct payment by eacl
citizen and resident Of his Just shar'
of the cost of government. Gradual!
the circle Of direct taxpayers has beef
3 Increased, and under the new revenue
law the extension will include hun
dreds of thousands who never before
filed declarations with the govern
ment.
New Test Of Ideals.
1--WE are therefore now come to an
other milestone in national progress
We approach new test OF the sound
ness OF American ideals OF o govern
ment of, by and for the people. tn
test is whether our wonderful victor.
of liberty is worth the cost as appol
toned to the private pocketbook b.
the peoples representatives.
1T is such big thing. this collet
ton Of taxes directly from privat
funds and business funds, that notf
ing short of our best American CT
operative effort can make 1t success
full and hence just. The bureau seek