ALLEN-SCOTT REPORT - TAX EXEMPT FOUNDATIONS STUDIED AS OFFSET TO PROPOSED TAX CUTS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75-00001R000100250093-8
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 1
• Document Creation Date: November 11, 2016
• Document Release Date: February 16, 1999
• Sequence Number: 93
• Publication Date: December 5, 1962
• Content Type: NSPR

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CPYRGHT
Allen-Scott Report
Tax Exempt Foundations Studied
,..As Off set to Proposed Tax .Cuts
presidentia{ panel. analyzing the ltroome,
penditares and operations of then *r-4ations,
aced for tax-exempt purposes. r''
pense accounts." partictrlarty tar atrtiy for-
eign .junkets. Patman wants the tntrxti Rev-
enue Service to thoroughly inveaUgats thlo
practice.
man's' pig of 500 major ilourxjatiorw is to be
published in a month. It wilt reve el that these
tax-exempt organizations dispersed 'lees ten
50 per cent of more than $7 bil km they re-
ceived in the past ten yeas.
The study also will aesaif the Internet Reve
nue Service for "laxness and irresponsibility,.
in checking the operations of foundations.
In Patman's memorandum to the presiden-
tial revenue-seeking panel, he contends many
foundations are properly subject to taxation
because "foundation-controlled enterprises poe-
seas the money and tax-free competitive ad-
vantages to eliminate snail businewnen."
:By 1t08ERT S. ALLEN and PAUL SCO1T
Those multi-billion dollrtr tax-exempt t faun-
It that Rep. Wright Patman, Mix, has
~rdalong been investigating lire under a new criti-
"csl l scrutiny. ..:
This latest probe ts'k by 'an unannounced
presidential panel wi h the mission of "finding
I Myer' F' ,deputy ape
chat caur et. the Pies-
dent, and ,`fitter members
f""are" offid4' of the Press-
Advisers, ,the Budget Bu-
rear, and the Treasury and
-Justice Depeirtrnents. Allen Mr. First target of this reve-
ttloii3s, wwblch have soared from 17,295 in 1952 to
tnlore than 46,000 in 1962.
Patmim, veteran anti-trust crusader who is
slated to become the chairman of the powerful
}louse Banking Committee, hies told the presi-
dential panel that in his opto'un "upwruxis of
several billion dollars in addtt.onai revenue
FOIA 3b
the tax-exempt foundations dealt with their
immense holdings, and huge proft made by
irony of them in last spring's stock market
t ]enteiii 'I%
Agtxy" true se~cvicr ` ,requFSect by Mw. He Is hiliir&y
t;DW