Dwight D. Eisenhower photo

Veto of Bill for Relief of Universal Trades, Inc

May 14, 1960

[Released May 16, 1960. Dated May 14, 1960]

To the House of Representatives:

I return herewith, without my approval, H.R. 1456, a bill for the relief of Universal Trades, Incorporated.

The Renegotiation Board, in 1955, ordered Universal Trades, Incorporated, to refund to the Government $50,000 in excessive profits, subject to applicable Federal tax credits. The law provides a 90-day period, after the conclusion of the Renegotiation Board proceeding, in which to apply for a review of the case by The Tax Court of the United States. Universal Trades did not file such a petition.

Under H.R. 1456 jurisdiction would now be conferred on The Tax Court--some five years after the expiration of the 90-day period.

Universal Trades claims that income of $92,481.54 was improperly included in its 1952 renegotiation proceeding. A change in the company's accounting method did move this income from 1959 to 1953 for income tax purposes, but for renegotiation purposes no such transfer was made. This treatment was equitable, appropriate for renegotiation purposes, and in accordance with the Renegotiation Act.

Finally, no valid justification appears for the corporation's failure to file a petition with the Tax Court within the prescribed 90-day period. At all times before and after issuance of the Board's order, Universal Trades was in full possession of the facts pertaining to the accounting method used by the Board.

Under the circumstances, therefore, I am constrained to withhold my approval from the bill.

DWIGHT D. EISENHOWER

Note: The veto message was released in Washington.

[APP Note: In the Public Papers of the Presidents series, this document is dated May 16, 1960, the date it was released. The American Presidency Project dates this document as May 14, 1960, the date the bill was vetoed.]

Dwight D. Eisenhower, Veto of Bill for Relief of Universal Trades, Inc Online by Gerhard Peters and John T. Woolley, The American Presidency Project https://www.presidency.ucsb.edu/node/234425

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