CONTENTS Page Schmults, Edward C., Deputy Attorney General, Department of Justice.......... McNamar, R. T., Deputy Secretary, Department of the Treasury. Egger, Hon. Roscoe L., Jr., Commissioner of Internal Revenue PROPOSED LEGISLATION TO DENY TAX EX EMPTION ΤΟ RACIALLY PRIVATE SCHOOLS DISCRIMINATORY MONDAY, FEBRUARY 1, 1982 U.S. SENATE, SENATE FINANCE COMMITTEE, The committee met, pursuant to notice, at 10:42 a.m., in room 2221, Dirksen Senate Office Building, Hon. Robert J. Dole (chairman) presiding. Present: Senators Dole, Packwood, Danforth, Heinz, Wallop, Symms, Grassley, Byrd, Matsunaga, Moynihan, Boren, and Representative Charles B. Rangel. [The press release announcing hearings, the prepared statements of Senators Dole, Symms, Grassley, and Hart, and background material prepared by the Joint Committee on Taxation follow:] [Press Release No. 82-104, January 18, 1982, Committee on Finance, U.S. Senate] SENATE FINANCE COMMITTEE SCHEDULES HEARING ON PROPOSED LEGISLATION TO DENY TAX-EXEMPTION TO RACIALLY DISCRIMINATORY PRIVATE SCHOOLS The Honorable Robert J. Dole, Chairman of the Committee on Finance, announced today that the Committee has scheduled a hearing on legislation that would deny the benefits of tax-exempt status to private schools maintaining racially discriminatory policies. Chairman Dole stated, "The President has specifically asked that Congress act to assure that private schools that discriminate on the basis of race will not be exempted from income tax. I have assured the President that the Finance Committee will act expeditiously to consider the Administration's proposals in the area.” Dole added, "Today the President sent proposed legislation to the Vice President in his capacity as President of the Senate. I intend to introduce this legislation when the Senate returns next week. "In his cover letter transmitting the proposed legislation, the President reiterated his desire for early Congressional action in the following way: 'I pledge my fullest cooperation in working with you to enact such legislation as rapidly as possible, and urge that you give this matter the very highest priority.' The hearing is scheduled for Monday, February 1 at 10:30 a.m. in Room 2221, Dirksen Senate Office Building. STATEMENT OF CHAIRMAN DOLE Today we open the first round of hearings on legislation to deny Federal taxexempt status to private schools that discriminate on the basis of race. We will hear today only from Administration witnesses; however, we expect to set soon a hearing date to receive testimony from the many public witnesses concerned about this matter. Racial discrimination in any form is abhorrent. Nevertheless, such discrimination is particularly repugnant where it restricts the availability of educational opportunity, which is one of the basic underpinnings of American democracy. Because I be (1) |