Evening star., 1924-06-19
SEEKS TO REFUND
TAX ENTERTAINMENTS
Mellon Asks Mccall for Ruling on
Use of Cash Now in Treasury
to Meet Million Claims.
FUND IN DEFICIENCY BILL
Decision by Controller General to
Be Given This Week.

On behalf of more than million
taxpayers who overpaid their income
tax this year, and are now waiting for
their 25 per cent refund authorized
by Congress, Secretary Mellon today
asked Controller General McCarl If the
Treasury, under the law, may pay
these refunds Immediately, in spite Of
the failure of the second deficiency
bill, carrying for the purpose an appro-
priation of s16,00o,000.
Cash is in the Treasury for the pur-
pose of paying tax refunds, but there
are millions of dollars in claims pend
ing which are older than the 25 per
cent refund claim, dating back only
to March of this year. 4 decision by
the controller IS expected before the
end of the week.
Failure of the second deficiency bill
also is still holding UP the prospect
of the coast guards new war on rum
runners, although IL had been an
nounced by Chairman Madden of the
appropriations committee following a
conference at the White House Satur-
day that available funds could be used
Treasury and budget bureau Off
cials were in conference today over
the problem of how TO meet expenses
of the increased personnel for the
coast guafd, Wnicn WIS PROVIDED lor
in an item of about $S,000,0eo in the
second deficiency bill which failed.
The coast guard already has avail
able funds from special appropria-
tion of more than s13.00o.o00 TO build
ships and repair Navy vessels to be
by the last appropriation has caused
officials such concern that they arr
trying every means to determine how
the campaign authorized by Congress
against the rum runners. may be car
ried on In its full scope.
for each year by Congress in more
or less of a spasmodic manner. Ir
the Treasury appropriation bill, IL
has been the custom for years to in
refunds. Each year this has to be
augmented by suppleme ntal esti-
mates, and deficiency appropriations
The first deficiency bill, enacted
April 2. 1924, carried $105,oo0.0oo
which was made available as of tina,
date. In the Treasury appropriation
act for 1925 is an item of $12.o0o.o00
So rapidly have the rebates beer
flowing out of the Treasury. however
that only about $30.000,0oo remains
out of the s105. 1000, 900 of the first de-
ficiency bill. This sum plus the $12,-
600, 900 of the Treasury appropriation
LOT 1879 Hdu DecH eAPSSiSu " idS
until December.
The controller general is asked
whether the $30,000,0 900 remainder
and the s12 ,o00. 900 new appropriation
available July ] may be used to pay
back the % per cent tax refund au-
thorized by Congress.
Although legislation was pending In
Congress at the time of the tax pay
ments in March looking toward the
25 per cent reduction, a total OF l.
o5o, 900 persons paid their entire in
come taxes. the Treasury discovered
The total paid by these persons was
about 100000, Of which one-fourth
is to be repaid.
Another government department,
feeling the blow of the failure of the
second deficiency bill is the Depart
ment of Justice, which had an item
in it for the war transactions section
Of the department. Plans for pushing
this work ahead are being held in
allegiance for the time being by At
torney General Stone. until the fiscal
problem is adjusted. and the depart
ment can determine just what law
yers. under the law. it may engage