Evening star., 1940-03-24
States Urged 10 ADOPT
Districts Setup on
Tax Appeals
10 Y. Morgan Sees
Move as Reducing
Collection Expense

Move as Reducing
Collection Expense
10 v. Morgan, sole member Of the
Board of Tax Appeals for the Dis
trict, suggested yesterday that its
plan and procedure might well be
adopted by the States in relation to
local taxation Ito the great adyan-
tage of both the taxpayer and the
taxing authority"
Mr.. Morgan was one of several
offlcials who took part in the tenth
tax clinic conducted under auspices
Of the section of taxation, American
Bar Association. More than 300 at
torneys attended the luncheon
meeting at the Mayflower Hotel at
which the functionings Of various
governmental bodies dealing with
taxes were discussed.
Mr.. Morgan, who explained the
procedure of the Districts one-man
board, said its adoption by States
could be made with only slight al
terations and with practically none
In such small States as Rhode
Island and Delaware.
I'VE can so arrange" he said,
shat the taxpayer be afforded an
inexpensive, prompt and eflcient
method by which there can be de-
termined the validity and propriety
Of the taxes assessed against him.
At least, he Is entitled to know and
feel that, according to law, he is
not being illegally assessed and is
not bearing an uneven burden. I
believe the Board of Tax Appeals
for the District Of Columbia, more
than any other, comes nearer that
ideal"
Less Collection Expense.
Adoption of its procedure, he
claimed, also would insure for State,
county or city authorities the col
lection of large amounts of taxes
which would not be collected other
wise without considerable expense.
Experience here, he claimed, has
shown that the board has more than
paid its own expenses in this way,
and at the same time the procedure
has served to create in the mind of
the taxpayer "a sense of justice and
fairness"
George M. Morris, chairman OF
the Bar Association section, pre-
sided. Addresses also were made by
Assistant Attorney General Samuel
o. Clark, jr.; Representative Wes-
ley e. Disney, Democrat, of Okla
l1oma. member of the House Ways
and Means Committee: Thomas
Tarleau legislative counsel to the
Treasury Department; Farwell
Knapp of Bridgeport, Conn, chair
man of the National Tax Associa-
tion's Committee on Double Domicle,
and Francis G. Nash, professor OF
Law at Georgetown University
There seemed to be general opin-
ion that the already heavy tax bur-
den has little chance Of being eased
until expenditures and revenues are
brought into more proper balance
through reduction of the former.
Mr.. Clark, who opened the clinic,
discussed TAX Compromises in the
Department of Justice its pro-
cedure and policy. Discussing civil
procedure in detail, he admonished
the attorneys that "the door has
never been closed to anyone ap-
preaching the tax division with q
legitimate and timely compromise
YSronosal He added.
Called Best Procedure.
There may be those among you
who feel that the square corners
the late Justice Holmes said a citi-
zen must turn in dealing with the
Government, are stretched into
city blocks when it comes to COM
promising tax cases. Nevertheless
It Is believed that the present pro-
cedure is best suited to situations
in which the Judgment OF those
handling cases for the Government
Is substituted for that of the courts
Mr.. Clark sought to correct some
popular impressions about the COM
promising of criminal cases involv-
ing taxes. Criminal proceedings
are not regarded as implementing
the ordinary civil remedies availa-
bic for enforcing tax collections,
ne said. indictments are not used
as clubs to compel payment of taxes
by the individuals indicted"
He declared that when settlement
Is made it is the policy to require
the payment of the full civil liabili-
ties, including penalties and interest
or as much thereof as the taxpayer
is able to pay.
ut is hardly necessary to point
out that no agreement is ever made
with the defendant as to the degree
Of the criminal punishment that will
be imposed" he explained. THAT
Is a matter which obviously lies ex-
clusively within the discretion of the
court. Moreover, it is the stand
ing policy of the department to
make no recommendations to the
court as to either leniency or sever
tty of punishment where the civil
liabilities are settled concurrently
with the entry of the plea"
Hopes to Avoid Tax Bill.
Representative Disney said there
will not be 1910 tax bill IF We
can avoid it, He criticized the
growth of multiple taxation and op.
posed suggestions that the Fedora
income tax exemptions for married