FOREST INDUSTRIES AND INCOME TAX 335 



the same sort of freedom of acton and is in turn held directly respons- 

 ible for the proper valuation of the forest resources of his region. 



Early in the work of the Timber Section it became clear that for an 

 intelligent audit of income tax returns and for an equitable valuation 

 of property for tax purposes it would be necessary to have considerably 

 more data available. In other words, in order to give the individual 

 taxpayer in the industry an opportunity to present the complete de- 

 tails which concern his particular case some working medium must be 

 established. Obviously, since the Bureau deals with individual and 

 specfic cases, general data could be used only in part. It was decided 

 necessary, therefore, to issue an individual questionnaire. The prob- 

 lem which confronted the section was the compilation of a series of 

 questions which would secure the fullest amount of information for 

 the purposes aimed at and the same time be the smallest burden for 

 each taxpayer concerned. 



The record presented must be complete enough to thoroughly pre- 

 sent the facts in each case clearly. Even though the regional valua- 

 tion engineer should become thoroughly enough acquainted with his 

 region to feel sure of his ground it is natural that his decision should 

 be questioned unless substantiated by written fact. Then, too, it can- 

 not be expected that one regional man may be retained indefinitely, 

 and it is necessary to have available not only the sort of data which 

 would substantiate his views, but the sort of data which another would 

 compile to the same result. 



Even though it seemed clear to the members of the Timber Section 

 that a questionnaire would be required it was considered best to check 

 this judgment in conference with the industry itself. With this in 

 mind, a tentative draft of a proposed questionnaire was discussed at a 

 meeting in Chicago, with about forty representatives of the industry, 

 including the members of the Economics Bureau of the National Lum- 

 ber Manufacturers' Association. This meeting was followed later l)y 

 a similar discussion in New York with about twenty representatives 

 of the industry in that region. It was the sense of each of these meet- 

 ings that a questionnaire somewhat silmilar to the tentative draft which 

 had been presented would be needed. It was agreed, however, that the 

 draft in its present tentativ.e form was not entirely adequate to the 

 respective needs of the industry and the Bureau of Internal Revenue. 



In response to an invitation issued by the Bureau, a committee of 

 seventeen duly appointed association representatives, together with 

 fifteen other individual hmibermen, met at Washiiigton for a ten days' 



