Evening star., 1943-12-15

itiation fees by David Lawrence.
labor unions alone. There are other
cooperative organizations which
also collect huge funds for legiti-
mate purposes. But the Treasury is
entitled to know how much money
is collected and, in general way,
what is done with it-how much of
it Is expended and what form of in
vestments perhaps are made with
the balance.
For more than 20 years every
business and millions of individuals
have been required to submit GER
tain data annually to the Treasury
Department. But for one reason or
another the nonproflt organizations,
including labor unions, have been
omitted from such requirement.
Now when the House proposes
their inclusion considerable
amount of protest has come from
labor union leaders. The alleged OBJ
lection is that the information will
be misused and turned over to oppo-
nents of organized labor But in
formation given to the Treasury is
supposed to be confidential The
comment is made by labor leaders
that the Treasury would keep the
confidence all right but that con-
gressional committees could call for
the data and make it public.
This is something, however, that
can always be controlled by the
members of the House and Senate.
Certain statistical summaries might
later come to light but this is con-
gressional practice with respect to all
businesses. No Individual businesses
as a rule find that their returns on
income taxes are made public unless
some controversy concerning irregu-
larity or court case arises.
1t would appear that the labor
unions should be proud Of the ex-
pansion of their memberships and
the strong financial position they
have acquired and that they should
not fear publicity. The fight against
even filing confidential returns
could lead to an impression that the
unions have something to conceal
from the Government.
One Of the principal reasons fol-
tic new provision-and 1t does not
specifically mention labor unions
but includes all non-profit organi-
zations-is that persons engaged in
private ownership enterprises feel
they are competed with by Coop
eratives which are tax-free. There
is also the point that some of the
surplus funds OF these organizations
are used to go into businesses wholly
different from that of the non-proflt
institution itself and that this is
unfair to the businesses that are
taxed.
1t is quite possible that Congress
might want to impose taxes on
some of these non-proflt organiza-
tions. But to oppose the collection
of the necessary information on
which the Treasury could base a
recommendation is merely to raise
issues that might otherwise remain
dormant.
If the amendment were taken out
OF the Dill at this time, 1t would
only lead to an effort on the part
of some committee of the House of
Representatives to collect the in
formation and then it would all be
made public 1t would appear that
the plan Of letting the Treasury
compile the data and make its own
statistical studies prevents any i'm
proper publicity with respect to in
dividual unions, local or interna-
tional, and postpones for a few years
at least the concrete issue of whether
any taxes should be levied.
Labor unions are making a mis-
take In opposing every measure that
might possibly disclose information
concerning their legitimate activi-
ties. They are unnecessarily raising
doubts In Congress which will be
intensified instead of diminished.
Labor unions appear to be making