Evening star., 1947-01-29

STAR, Washington, D. G.
T. JANUARY ~. isAz.
and Hungary. The effect Of the state
of war on those treaty provisions
remains to be settled.
Such major powers as Great Brit
ain and Russia have to pay taxes
on any American property they own
outside Of Washington.
Pays ON Residences Elsewhere.
A spokesman for the British En-
bassy said the shortage Of houses
for rent has caused Britain to buy
residences for her consuls in San
Francisco and Detroit, where local
taxes are paid. British consular Of
dcers in other cities work and live
in rented property.
Russia has consular Offices in only
three cities-New York, San Fran
cisco and Los Angeles. The Soviet
government rents In New York and
San Francisco. Russia owns house
in Los Angeles, on which 1t pays all
city and State taxes, according to
a spokesman at the Embassy here.
The Soviet Purchasing Commission
recently bought an estate on Long
Island on which 1t also pays the
taxes, he said.
Washington is in q special cate
CORY among American cities regard
Ing tax exemption for property
owned and used by foreign govern
ments because Congress, which legis-
lates directly for the District, long
ago passed law providing for such
exemption. The Federal Govern
ment cannot legislate similar ex-
emptions in the States, and treaty
provisions for exemption with which
the States would have to comply
have not been extended generally.
On some tax matters not affecting
real estate-such as State income
levies and automobile license fees-
the State Department has urged To-
cal authorities to exempt foreign
consular officials. But it has held
consistently that the Federal Gov
ernment Is not in position to require
exemptions not provided for in
treaties.
Exemptions Denied In Cases.
The requirement that foreign
government owned property, even
here in Washington, actually be used
exclusively for governmental pur-
poses to qualify for tax exemption
has resulted in denial of exemption
in some cases.
In a recent case, the Egyptian
Legation sought tax exemption for
land on which a Mohammedan
mosque is to be built. Despite q
State Department request for its ap-
proval, the request was denied by
the District. Municipal authorities
held that the land could not be with
drawn from the tax rolls because
it Is not now being used for diplo-
matte purposes. The situation will
change when the mosque is built.
The largest pending case is a
French government application for
tax exemption on a three STORY brick
building at 2535 Belmont road NV,
used for Embassy offices. The as
Sessed valuation on the land and
building Is $181 ,450.
Other pending applications, with
the country involved, location of
the property, its use and assessed
valuation, are: Saudi Arabia, $500
Woodland drive NV, Legation and
chancery, s124,8s6; Belgium, It'll
Massachusetts, avenue NV, eco
nomic mission ofices, $2l,9 1892;
Switzerland, 3215 Cathedral avenue
NV, Legation Offices and residence
Of Military Attache, $34,O01; Iraq-
3l10 Woodland drive NV, Legation
$82,3S3; Finland, 3O0l Woodland
drive NV, Minister'S residence,
$73,361; Venezuela, 2409 California
street NV, Embassy Office annex,
$l9,632; Dominican Republic, 1856
Massachusetts avenue NV, uses not
yet determined, $17,872; Denmark,
2374 Massachusetts, avenue NV, Le-
cation Offices, $36,565; China, 1924
r street NV, Chinese Supply Com
mission, 42,3ll; Portugal. 2125 Kali
Drama road, now vacant lot, 1892;
Poland, 1924 wyoming avenue NV,
Polish Supply Mission Offices, $780,
1902; Honduras, ATS Sixteenth street
NV, Embassy Offices and Ambas-
sador's residence. $73,077.
U. 8. Expands Foreign Holdings.
The United States is engage4 in
rapid expansion Of its real estate
abroad under provisions in
many recent surplus property dis
posal agreements, providing for part
in real estate. Properties
being acquired under these agree
ments are not covered in Mr.. Lark
in's $50 ,000, 900 valuation of proper
ties now owned in foreign countries
by this Government.
Mr.. Larkin and other State De-
partment officials were unable to-
provide any definite figures on the
of real estate taxes this
government has to pay in foreign
countries. The 1913 fiscal year bud
get includes an estimate of $75, ,625
for taxes and rates Of all kinds in
foreign countries-an increase from
b60, 500 in the 1947 budget.
This budget figure includes pro-
Vision for bank taxes, fees on ne
yotiable instruments and numerous
other types OF levies varying in diff