Evening star., 1952-08-21
Bureau Maps Policy
As Truman Lifts Tax
Compromise Secrecy
By George Beveridqe

Internal Revenue Bureau off,
cials today worked on procedures
to give the public full information
on all tax cases in which the
Government accepts compromise
settlements.
The move to break down tight
secrecy barriers - unprecedented
in scope during the bureaus his
tory-got its big push from a
White House order late yesterday.
President Truman, in effect,
told Treasury Secretary Snyder
he may disclose whatever tax in
formation is necessary to explain
reasons why the Government ac-
ceptS compromise payments. be-
low the amounts of tax claims.
Mr.. Snyder, in a subsequent state
ment, indicated Revenue Com
missioner John B. Dunlap is TAX
ing over the procedural job.
HOW IL May WORK.
While details have not been
developed, this is the way off,
cials expect the new policy to
work.
l. Basic information on each
new compromise settlement will
be made available, probably in
capsule form, as the settlements
are reached. On cases that merit
further investigation, newsmen
may request additional data from
the files.
2. .Newsmen will be able to see
past compromise settlement files.
on request, by identifying the case.
At present, all compromise set
Elements. including some involving
very, small amounts, clear through
the Office of Commissioner Dun
lap. One official estimated there
were about 1900 such settlements
last year.
About two weeks ago, Mr.. Dun
lap made available files on cases
in which propriety of the compro-
mises had been publicly chal-
lenged.
Goes Further.
The new action goes further in
two respects. It removes the ques-
ton of public challenge. It also.
If expectations are borne out, will
make public all compromises,
without the need for q request
that they be seen.
The settlements involved are
those in which the Government
agrees to compromise for a lesser
amount than it originally claimed.
Bureau officials have insisted that
the settlements, usually based on
how much the taxpayer has, are
made only if there are no chances
of getting more money through
court action.
A large number of such COM
promises deals have been made
public during the last several
months by Senator Williams, Re-
publican, Of Delaware. With
previous policies in effect, Federal
officials felt they were unable to
get their side Of the argument
across to the public.
Returns Still Secret.
The actual tax returns of In.
dividuals are not expected to be
made public. But materials from
the returns that figure in the set
clements will be disclosed, it was
understood.
Newspaper groups, particularly
the American Society Of News
paper Editors, have centered much
attention on the tax bureau in
campaigns to lift some Of the
Governments secrecy bans. Last
week, James S. Pope Of the Louis
vile Courier-Journal, head of the
ASNE's Committee on Freedom
of Information, charged that the
decision to open only publicly
challenged settlement cases was
not sufficient.
The move also follows these
previous developments to make
more tax data available:
/. To open hearings and make
public data on applications for
liquor licenses.
2. To advise State and local
control officials about dealers who
water down alcoholic drinks.
3. Furnish more information on
tax-exempt organizations. includ-
ing applications for exemption,
names of attorneys and provisions
of law under which exemption is
granted.