Evening star. [volume] (Washington, D.C.) 1854-1972, 1941-05-27

Keech Declares Review
Is Of VitoI Importance
To Capitol and Nation
CORPORATION Counsel Richmond
B. Keech today characterized as of
vital Importance" the review the
United States Supreme Court
granted in two cases testing ap-
plication of the District income tax
to Federal employees residing here
but claiming domicile elsewhere.
Mr.. Keech and his legal aides
were gratif1ed yesterday when they
learned the Supreme Court had
agreed to review the decision of the
United States Court of Appeals,
which was adverse to the District
government, in the De Hart and
Murphy cases.
The cases, the first involving the
Districts income tax to reach the
Supreme Court, will be argued in
the new term opening in October.
District officials have estimated
that 10000 District residents may
be affected by the ultimate ruling
by the court.
Important to Nation.
"a decision by the Supreme
Court" said Mr.. Keech, will be of
extreme importance in the admin
istration of the District income tax
law in determining the scope of
the domicile clause. A final ruling
on this domicile question is not
only vital to us in the District but
I believe, of very real Importance
to persons throughout the United
States" District counsel had told
the court the domiciliary issue was
involved Importantly in estate tax
cases, administration of estates, di-
vorces and other matters.
Billed by the District for income
taxes on their 1889 incomes, Paul
M. De Hart, chief clerk of the Per-
sonnet and Organization Division
of the National Guard Bureau, Wal
Department, and Henry C. Murphy
Treasury Department economist
appealed to the District Board OF
Tax Appeals. 10 v. Morgan, sole
member, in rulings last October
found that Mr.. De Hart and Mr.
Murphy had demonstrated their in
tentions to reside here indefinitely
but because of the Court of Ap-
peals ruling in the James j. Swee.
ney case he ruled they were moi
domiciled here. The District ap.
pealed but lost in the Court of Ap.
peals decision handed down last
March "a. The District then ap.
piled for Supreme Court ruling.
First Review Denied.
Mr.. Sweeney, a Justice Depart
ment attorney, had contested 8
levy by the District under its OLD
and now repealed intangible per-
sonal property tax, which also was
applied to persons "domiciled" in the
District. While he had resided
here for years, he maintained he
had legal voting residence in Massa.
chusetts. The District lost the
Sweeney case in the Court of Ap-
peals and sought a Supreme Court
review, but this was denied, the
court mentioning that the law I'M
der which the issue had arisen had
been repealed.
Mr.. De Hart, a native of Penn
Sylvania, who has maintained a
room at the home of his parents
at Harrisburg and votes in Penn
sylvania, came to the District in
1914, married here and bought a
home at 1926 Massachusetts, avenue
Sc, as well as q lot in Hillcrest
and lot for q summer home at
Selby-on-the-Bay, Md. Mrs. De
Hart died about six years ago. The
District Building account is that
they had decided to build q new
home here after Mr.. De Hart re-
tired and a summer home on the
bay. Mr.. De Hart maintained he
plans to return to Harrisburg. His
1899 bill under the income tax here
was for 1885.
Born in Connecticut.
Mr.. Murphy was born in New
London, Conn; at an early age
moved with his parents to Cali
fornia, and after being graduated
from Brown University went to
Detroit, where he lived from 1928
to 1885, except for one year, wher
he was at Brown University. While
in Detroit, where he maintains vot-
ing residence, District Building In
formation states, he engaged first
q room and then an apartment
but did not own property. He came
to the District to live In 1885 rs ar
economist at the Treasury. He wa
billed for $51.10 District income tai
for 1899.
Another test case on the District
income tax measure now Is in the
making, this involving the ques-
ton of whether person in pri.
vate rather than Government en-
ployment here and claiming Legal
residence in a State is exempt from
the District income tax law. Car.
roll Beedy. former Republican Rep
resentative from Maine, in private
law practice since 1885, has noted
an appeal in the Court of Appeal.
from q ruling by the District Boarc
of Tax Appeals from . $328.22 Dis
trict income tax levy, which Is be.
ing fought by District government
attorneys.