New Britain herald., 1928-10-22
'C0NFERE|NCE MEETS
 ID HIT TAXATION
Object to Plyhs Dss h lu'
 ColB1i6

Geneva, Oct. F WOAh anteFna. tional conference met today in m effort to deliver an effective blow at double taxation by which . peSson comiciled abroad must pay taxes both in his home country and in his place of residence.
 The conference was composed Of governmental delegates, the United States being represented by Profes- sor T. s. Adams of Yale University: Ellsworth C. Alvord of the treasury department and Mitchell B. Carroll of the department of commerce.
 For years taxation expertA on tn- vitation from the League of Nations. have been devising means for meet ing tlnally the complicated problem of double taxation. With the as- sistance of American economists they framed four model conventtons. two on double taxation. and two on tax evasion. The first of the con. ventions on double taxation has to do with direct. real or personal taxes and the second is concerned with death duties which under the exast- ing system two or more countries often seek to collect.
 Not Official
 Such vast sums of money are a3- fected that governments have been careful to tell the league in ad- vance that their presence It the con- ference cannot officially engage their future policy. The great aim of the conference was to weave gem eral underlying principles out of the existing chaos and approve treattes which will serve as models and be observed as far as possible when na- tions negotiate direct bilateral treaties on double taxation and tas evasion.
 No hope was held of agreeing upon | general multilateral treaty. because tax systems differ in prac- tically all countries. Hence . treaty good for . given two countries would not be adapted to three or four. The controlling principle Of the main model convention before the conference was that people ltvtns abroad will pay taxes to the country whence comes their revenue. There would henceforth be no double im- position of taxes, or if there was double levy. 1t would be divided 50 that the taxpayer would not have to "pay-up" twice.
 Explains Draft
 MT. Mitchell, who is chief Of the tax section at the department of commerce. explained the draft con vention in this way: s1sevies on in. comes are classified as personal and 'impersonal." The impersonal taxes are to be levied in respect of particular source of income in the country where the source is located. The personal taxes arc to be levied on the individuals total income by the country where he resides.
 Double taxation is prevented through allowing the state of origin to subject the item of income de- rived by | nonresident to only tts impersonal tax. exempting such in come from its personal tax. The state of residence of tho recipient ol the income is to exempt the foreign income from its impersonal tax bu! to subject such income to its per- sonal tax.
 Professor Adams. held the con. ference was of real importance tc the people of the United States Pointing out that several countries have already negotiated conventions reducing or eliminating double taxa ! ton. He wrote that unless the United States participates effectively in the movement, American business concerns might ind themselves com peting with foreign rivals who are relieved from & substantial burder of double taxation to which Amert can citizens or residents Wer'