1746_1945-1949

CONTENTS

STATEMENT OF THE SECRETARY OF THE TREASURY Page

Taxation. - . 1 Debt management : 4 International financial relations __>_ 6

REPORT ON OPERATIONS /Receipts in general and special accounts 13

Receipts from income and excess profits taxes ; 15 Receipts from all other sources 19 ,

Expenditures from general and special accounts 24 ' War expenditures -_: 27 War-related expenditures ;-- 31 Other expenditures- __-__ I J 32

Deficit in general and special accounts . 33 Receipts and expenditures in trust accounts and checking accounts of

Government corporations and credit agencies 33 Financing the net budgetary deficit and other requirements .34 The public debt:

Summary of financing operations 35 War loans ' . 37 Unitisd States savings bonds 51 War savings stamps ; . 61 Treasury notes: tax series and savings series 1. 62 Market financing outside war loans -62 Other public debt transactions 65 Cumulative sinking fund . 66 Composition of the public debt ^ 66 Interest on the public debt 68 Debt limit... '. -.-__ 70

Sources of funds for Federal borrowing 72 Impact of Treasury fiscal operations on the economy in the war years 81 Securities issued by Government corporations and credit agencies " 88 General Fund , 92 Securities owned by the United States and proprietary interest in Govern-

ment corporations and credit agencies: , Securities owned 93 Proprietary interest in Government corporations and agencies 94

Monetary developments: International monetary cooperation 94 Domestic monetary events . . -96 Currency for United States armed forces _. ' 97

Taxation developments: Transition and post-war tax revision l _ lOO Other revenue legislation 101

Customs Service in the war. '_ . 103 . Special procurement activities:

Lend-lease 104. United Nations Relief and Rehabilitation Administration._^ 1 104 Surplus property disposal.. 105 Renegotiation of war contracts 105 Strategic and critical materials.__ 105

Foreign Funds Control activities . . ' 1Q6 War contributions:

Conditional gifts --. 107 Unconditional donations 108

m

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Fiscal Year Ended June 30, 1945

IV . ' CONTENTS P a g e

Salary stabilization .. .^ ' 108 Liquidation of war agencies > . :__ 109 Estimates of r e c e i p t s . . . . ._ . 110

Total and net receipts ! _ . . _ 110 Fiscal year 1946 ' i l l Fiscal year 1947 _._ _' 114

Est imates of expenditures , i . . 117

ADMINISTRATIVE R E P O R T S OF BUREAUS AND DIVISIONS

Fiscal Service of the Treasury D e p a r t m e n t . . ' 121 Accounts, Bureau of . . . 122

Oflace. of Commissioner of Accounts . 122 Division of Bookkeeping and War ran t s . 129 Division of Disbursement ^ . ._ 130 Division of Deposits 133 Section of Surety Bonds. ' 139 Section of Inves tments . ; , 140

Public Debt , Bureau of the . _ ._ . .___ 166 Washington office 166 Chicago office .^_ 174

Treasurer of the United States 179 Budget a n d Improvement Committee 184 Comptroller of the Currency, Bureau of the . 185

Changes in the condition of active national banks . .___ 185 Summary of changes in the Nat ional Banking Sys tem. ___' 186

Customs, Bureau of : ,187 Col lect ions . . . . 187 Volume of business 190 Law enforcement activities : _: 195 Miscellaneous. . : . 200

Engraving and Printing, Bureau of_ . . 202 Foreign Fun^s Control . . 205 Internal Revenue, Bureau of 206

General ._ .__ 206 ^ Income Tax Unit . _: 208 Miscellaneous Tax U n i t . . . 211 Alcohol Tax Unit .-.__ . . _ _ . _ 212 Accounts and Collections Unit 218

, Technical Staff . J . . . . - 221 Office of the Chief Counsel . . . 223 Intelligence Unit . . 225 Salary Stabilization Unit . -: 225

Legal Division . _ _ . 226 Mint, Bureau o f t h e . . . . 228

Coinage . . ' 228 Medals . 229 Gold and silver . . . . . . _ ._ 230 Income and expenses 232

Monetary Research, Division of ^ 233 Narcotics, Bureau of 233 Personnel, Division of 235 Practice, Committee on 235 Procurement Division : 236

Procurement . _ 237 Fiscal and administrat ive operations 242

Research and Statistics, Division of ___ 243 Secret Service Division _ . 244

Protective and security activities 244 Enforcement activities 245 Crime prevention program . 248

Tax Legislative Counsel, Office of the . :. 248 Tax Research, Division of 1 249 War Finance Division , 250 In terdepar tmenta l War Savings Bond C o m m i t t e e . . . . ::_- 252



CONTENTS V

EXHIBITS

P U B L I C D E B T

Issues and .redemptions of Treasury bonds, notes, and certificates Page

1. Offering and allotments of Series E-1945 certificates. . 257 2. Call for redemption of Treasury bonds of 1944-54 258 3. Offering and allotments of Series F - l 945 certificates and Series A-1946

notes (additional) 258 4. Offering and allotments of Series G-1945 certificates 261 5. Offering and allotments of Treasury bonds of 1966-71 and of 1952-54,

Series C-1947 notes, and Series H - l 945 certificates (Sixth War Loan) :___ . 261

6. Offering and allotments of Treasury bonds of 1966-71 (additional)-and of 1952-54 (additional), and Series C-1947 notes (additional), and Series C-1946 notes _. 267

7. Offering and al lotments of Series A-1946 certificates : 273 8. Offering and allotments of Series B-1946 certificates 274 9. Offering and allotments of Series C-1946 certificates. 275

10. Offering and allotments of Series D-1946 certificates j 276 11. Call for redemption of Treasury bonds of 1945-47 277 12. Offering and allotments of Series D-1946 notes 277 13. Offering and allotments of Treasury bonds of 1967-72, of 1959-62, and

of 1950, and Series E-1946 certificates (Seyenth War Loan)__ 279 Treasury hills

14. Invit ing tenders for Treasury bills dated July 6, 1944 284 15. Acceptance of tenders for Treasury bills dated July 6, 1944 285 16. Summary of Treasury bMl information contained in releases 286

United States savings bonds

17. Regulations governing savings bonds, Feb. 13, 1 9 4 5 . . . '' 288 18. Denomination of $200 of Series E bonds authorized . 307 19. Amendment, Nov. 17, 1944, relative to Series F and G bonds _. 308 20. Procedure for redemption of matur ing Series A bonds 309 21. Plan for converting, into Series E bonds, matur ing Series A bonds held

by servicemen overseas- '. 309 22. Regulations governing redemption of savings bonds by banks and t rus t

companies, Sept. 5, 1944 _. 310 23. Regulations governing redemption of savings bonds by banks and other

financial institutions, June 30, 1945 314 24. -Regulations with respect to losses in connection with redemption of

savings bonds by banks and t rus t companies 319 25. Regulations with respect to losses in connection with redemption of

savings bonds by banks and other financial insti tutions . 320

Miscellaneous 26. Public Debt Act of 1945 i 322 27. Sta tement relative to matur i ty of adjusted service bonds 323 28. Amendment, May 11, 1945, relative to adjusted service bonds 324 29. Release relative to matur ing adjusted service bonds 325 30. Letters to commercial banks in connection with war loans 326 31. Addresses to conferences of war finance workers 328

SECURITIES GUARANTEED BY THE U N I T E D STATES

32. Part ia l redemption of mutua l mortgage insurance fund debentures ' 334 33. Part ial redemption of housing insurance fund debentures > _ ' > 337

MONETARY D E V E L O P M E N T S

34. Announcement of extension of stabilization agreement with Mexico __ 339 35. Announcement of extension of gold sale agreement with Cuba 339 36. Agreements for international fund and bank 340 37. S ta tement before House committee on Bret ton Woods agreements 377



VI f CONTENTS Page

38. Statenient before Senate committee on Bret ton Woods agreements 380^ 39. Bret ton Woods Agreements A c t . . . 382 40. Act to amend Federal Reserve Act with respect to reserve require-

ments . 386 41. S ta tement relative to invasion currency in Belgium 387 42. Sta tement relative to invasion currency in Luxembourg 388 43. S ta tement relative to invasion currency in the Netherlands__1.^ 388 44. Release relative to allied military marks in German terri tory 389 45. S ta tement on invasion currency . .__ 389 46. Announcement of revocation of Hawaiian currency and securities

regulations . . . 394 47. Announcement of new series of Philippine currency and coins 394 48. Release relative to transfer to China of funds in sett lement of advances

to United States forces in China ; , 395 49(. Release relative to Mint production of raedals and foreign c o i n s . . . . . . 395 50. S ta tement relative to military currency used in Okinawa 396

R E P O R T TO CONGRESS BY SECRETARY M O R G E N T H A U

51. Summary report of Secretary Morgenthau to the Congress 397

MISCELLANEOUS

52. Treasury Depar tment orders relating to organization and procedure . _ 432 53. Act to authorize certain transactions by disbursing officers 433 54. Let ter of the Postmaster General certifying extraordinary expendi-

tures contributing to the deficiencies of postal revenues 434

TABLES

Explanation of bases used in tables . 437 Description of accounts through which Treasury operations are effected.. 438

^ R E C E I P T S AND E X P E N D I T U R E S

Summary tables on receipts and expenditures

1. Summary of receipts and expenditures, 1932-45 440 2. Receipts and expenditures, 1789-1945 444

Detailed tables on receipts and expenditures

3. Classification of monthly receipts, 1945 . 450 4. Classification of monthly expenditures, 1945 -456 5. Expenditures by major functions, 1 9 3 2 - 4 5 . . . . . . 478

Other receipts and expenditures tables

6. Receipts by major sources, 1944 and 1.945 1 . 479 7. Detailed internal revenue collections, 1944 and 1945 481 8. Internal revenue collections, by sources, 1916-45 ' 483 9. Internal revenue collections, by States, 1945 ^ . . _ - 488

10. Customs collections and refunds, 1944 and 1945 ._ 489 11. Receipts and expenditures of social security program, 1936-45 490t 12. Panama Canal receipts and expenditures, 1903-45. 496 13. Postal receipits and expenditures,' 1789-1945 497 14. Selected receipts and expenditures, 1789-1945 i 500 15. Expenses of Internal Revenue Service, 1945. . i 501

W A R ACTIVITIES PROGRAM

16. Appropriations and net contract authorizations, June 30, 1945. 505 17. Appropriations, contract authorizations, and expenditures, 1941-45 ; 506 18. Expenditures by departnients and agencies, 1941-45 508 19. Commitments , credits, and charges of the R. F . C , 1941-45 : 510



CONTENTS VII

P U B L I C D E B T

Public debt outstanding Page

20. Description of public debt issues outstanding June 30, 1945 511 21. Principal of public debt outs tanding June 30, 1853-1945 . _ : . . 531 22. Public debt outstanding June 30, 1 9 3 3 - 4 5 . . . 533 23. Composition of pubhc debt, 1916-45 . _.__ 535

Public debt operations

24. Public debt receipts and expenditures, monthly, J945_ ^ 536 25. Changes in public debt by issues, 1945 ' 542 26. Issues, maturi t ies, redemptions of interest-bearing securities, 1945 556 27. Public debt increases and balances in General Fund, 1916-45 564 28. S ta tu tory debt retirements, 1918-45 565 29. Transactions on account of cumulative sinking fund, 1945. .^ 566 30. Cumulat ive sinking fund, 1921-45 - . . . 566

War loan statistics 31; Dates of 7 war loans . .^ . 567 32. Goals and sales in 7 war loans . . . . . 567 33. Sales of securities in 7 war loans, by investors and issues 568 34. Quotas' and sales of securities in- Sixth War Loan, by States 570 35. Sales of securities in Sixth War Loan, by States and investors 572 36. Quotas and sales of securities in Seventh War Loan, by States 574 37. Sales of securities in Seventh War Loan, by States and investors 576 38. Sales of Series E savings bonds in 7 war loans, by denominations 578


39. Analysis of sales and redemptions of savings bonds, by series, 1935-45. _ 579 40. Sales and redemptions of savings bonds, by series, 1935-45^ 580 41 . Sales of Series E, F, and G bonds, by denominations, 1941-45 584 42. Sales of Series E, F , and G bonds, by States J .. 586

United States war savings stamps

43. Sales and redemptions of savings s tamps, 1941-45 . 590 44. Sales of savings s tamps, by denominations, 1941-45 591

Treasury notestax series and savings series

45. Analysis of sales and redemptions of tax and savings series notes, by series, 1942-45 . . : . _ . . . . _ . 592,

46. Sales and redemptions of tax and savings series notes, by series, 1942-45 --. . 593

47. Sales of savings notes of Series C, by denominations, ^1943-45 595 48. Sales of savings notes of Series C, by type of purcliasers, 1943-45 596

Interest on the public debt

49. Interest on public debt, payable, paid, and unpaid, 1945 597 50. Interest paid on public debt, by issues, 1943-45 597 51. Interest-bearing debt outstanding, computed annual interest charge,

and computed ra te of interest, 1916-45 . 599 52. Interest paid on securities issued or guaranteed, classified by tax s ta tus ,

1913-45 . _ -_ . - . . . . ' 600

, Miscellaneous

53. Contingent liabilities of Government, June 30, 1945 602 54. Contingent liabilities of Government, June 30, 1936-45 605 55. Guaranteed obligations matured or called, and redeemed, 1945 607 56. Average yield on long-term Treasury bonds, 1930-45 _, 608 57. Prices and yields of securities, June 30, 1944 and 1945 _ 609



VIII^ . ' CONTENTS

CONDITION OF THE T R E A S U R Y EXCLUSIVE OF P U B L I C D E B T L I A B I L I T I E S Page

58. Assets and liabilities of Treasury, June 30, 1944 and 1945 612 59. Balance in General Fund of Treasury, monthly^ 1945 614 60. Assets and liabilities of exchange stabilization fund, June 30, 1944

and 1945 . . . . 614 61. Securities owned by Government, June 30, 1945 616 62. Securities owned by Governmentchanges 1945 ^ 619 63. Principal of funded and unfunded indebtedness of foreign govern-

ments to United States, Nov. 15, 1945 ~621 64. Principal of funded and unfunded indebtedness of foreign govern-

ments to United States, Nov. 15, 1928-45 . . . . . 622

T R U S T , AND SPECIAL F U N D S FOR W H I C H INVESTMENTS A R E M A D E BY THE TREASURY D E P A R T M E N T

65. Adjusted service certificate f u n d . _ . 623 66. Ainsworth Library >fund, Walter Reed General Hospital . ._ 624 6(7. Alaska Railroad ret irement and disability fund 624 68. Canal Zone ret irement and disability fund. 625 69. Civil service ret irement and disability fund . 626 70. District of Columbia teachers ' ret irement fund. .^ > 627 71. ' District of Columbia water fund ^ ____' 629 72. Assets held by the Treasury Depar tment under Workmen's Conipen-

sation Act, within the District of Columbia 629 73. Federal old-age ahd survivors insurance t rus t fund_ ^ 630 74. Railroad retirement account /631 75. Unemployment t rus t f u n d . . . ^___ ' _ 632 76. Foreign service ret irement and disability fund . 634 77. Library of Congress t rus t fund . . ^ 635 78. Longshoremen's and harbor workers ' compensation fund. ._ 638 79. National Archives gift fund . 638 80. Nat ional Cancer Ins t i tu te gift fund 639 81. Nat ional Ins t i tu te of Heal th gift fund . 640 > 82. Nat ional park t rus t fund. '_ 641 83. Nat ional service life insurance fund 642 84. Pershing Hall Memorial fund . _ . . _ 643 85. United States Government life insurance fund . . ^ 643 86. United States Naval Academy general gift fund 644

GOVERNMENT CORPORATIONS AND C E R T A I N A G E N C I E S

87. Assets and liabilities of Government corporations and certain agencies, June 30, 1945 . . 1 , 645

88. Sources and application of funds of corporations and certain agencies, 1945__._ . . . . . _ _ _ . . 662

STOCK AND CIRCULATION OF M O N E Y IN THE U N I T E D STATES

89. Stock of money, money in Treasury, Federal Reserve Banks, and circulation, by kinds, June 30, 1945 ' . . 674

90. Stock of money, money in Treasury, Federal Reserve Banks, and circulation, June 30, 1 9 1 3 - 4 5 . . . . . . . i 675

9 1 . Stock of money, by kinds, June 30, 1913-45..^ 676 92. Money in circulation, by kinds, June 30, 1913-45. 677

O W N E R S H I P OF GOVERNMENTAL S E C U R I T I E S

93. Summary data" from Treasury survey of ownership of securities issued or guaranteed by United States 678

94. Es t imated ownership of all interest-bearing governmental securities outstanding, classified by issuer, 1937-45 . . 691

95. Es t imated amount of interest-bearing securities issued by all govern-menta l units outs tanding June 30, 1945, classified by tax s ta tus and type of issuer . . . . ^ 692

96. Es t imated amount of interest-bearing securities issued by all govern-mental units outs tanding June 30, 1913-45, classified by tax s ta tus and type of issuer _ . 694



CONTENTS IX

CUSTOMS STATISTICS Page

97. Customs collections and payments , by districts, 1945 702 98. Values of dutiable and taxable imports for consumption and estimated

duties and taxes collected by tariff schedules, 1944 and 1945 704 99. Es t imated customs duties, value of imports entered for consumption,

and ratio of duties to value of dutiable imports and to value of all imports , 1935-45 . . . 704

100. Es t imated customs duties, value of dutiable imports, and ratio of est imated duties to value of dutiable imports, by tariff schedules, 1935-45 . 705

101. Value of dutiable imports for consumption and est imated duties collected, by countries, 1942-45 709

MISCELLANEOUS

102. Net expenditures for Federal aid to States, individuals, etc., 1920-45__ 711 103. Expenditures for direct payments to States under cooperative ar-

rangements and expenditures within States which provided relief and other aid, 1945 . _ _ . . . _ . . . . . . . 715

104. Awards of Mixed Claims Commission, United States and Germany, amount paid, and balance due, Sept. 30, 1945 722

B U D G E T ESTIMATES

105. Receipts and expenditures of general and special accounts, 1945-47 . . 724 106. Receipts and expenditures of t rus t accounts, 1945-47 749 ,107. Cash operations of Treasury, 1945-47 . , 762 Index 763



SECRETARIES, UNDER SECRETARIES, AND ASSISTANT SECRETARIES OF THE TREASURY DEPARTMENT FROM MARCH 4, 1933, TO NOVEM-BER 15, 1945 1 AND THE PRESIDENTS UNDER WHOM THEY SERVED

Term of service

From T o -Official Secretary of tHe Treasury President

Mar. Jan.

4.1933 1,1934

July 23,1945

May 19,1933 Nov. 17,1933 May 2,1934 Jan. 29,1937 Nov. 1,1938 Jan. 18,1940

Mar. 16,1945

Apr. 18,1933 June 6,1933 June 12,1933 Dec. 1,1934' Feb. 19,1936 July 1,1938 June 23,1939 Jan. 18,1940 Jan. 24,1945

Dec. 31,1933 July. 22,1945

Nov. 16,1933 Dec. 31,1933 Feb. 15,1936

Sept. 15,1938 Dec. 31,1939

Feb. 15,1936 Sept. 30,1939 Dec. 12,1933 Nov. 1,1937 Feb.-28,1939 Oct. 31,1938

Nov. 30,1944

Secretary ofthe Treasury William H. Woodin, New York.... Henry Morgenthau, Jr., New York.

Fred M. Vinson, Kentucky.. Under Secretaries

Dean G. Acheson, Maryland Henry Morgenthau,Jr., New York. Thomas Jefferson Coolidge, Mas-

sachusetts. Roswell Magill, New York John W. Hanes, North Carolina. _. Daniel W.Bell, Illinois

Woodin.. ,..-Woodin. . . . . . Morgenthau.

Morgenthau . . . l . . Morgenthau _. . ^ --Morgenthau, Vinson

Fiscal Assistant Secretary

Edward F, Bartelt, Illinois.....

Atmstant Secretaries Lawrence W. Robert, Jr., Georgia. Stephen B. Gibbons, New York . . . Thomas Hewes, Connecticut Josephine Roche, Colorado Wayne C. Taj^lor, Illinois John W. Hanes, North Carolina. . . Herbert E. Gaston, New York

Morgenthau, Vinson..

Woodin, Morgenthau. Woodin, Morgenthau.. Woodin -Morgenthau. _ Morgenthau-_ ---. Morgenthau-_ ---. Morgenthau, Vinson..,

John L. Sullivan, New Hampshire. Harry D. White, Maryland

Mbrgenthau---. Morgenthau, Vinson..

Roosevelt. Roosevelt,

Truman. Truman.

Roosevelt. Roosevelt. Roosevelt.

Roosevelt. Roosevelt.

Roosevelt, Truman.

Roosevelt, Truman.

Roosevelt. Roosevelt. Roosevelt. Roosevelt. Roosevelt. Roosevelt. Roosevelt,

Truman. Roosevelt. Roosevelt,

Truman.

1 For officials since 1789 see annual report for 1932, pp. xvii to xxi, and corresponding table in annual report for 1933.



PRINCIPAL ADMINISTRATIVE AND STAFF OFFICERS OF THE TREASURY DEPARTMENT AS OF NOVEMBER 15, 1945

OFFICE OF THE SECRETARY

Fred M.Vinson Secretary of the Treasury. Daniel W. Bell . Under Secretary of the Treasury. Herbert E. Gaston..- Assistant Secretary of the Treasury. Harry D. White Assistant Secretary ofthe Treasury. Joseph J. O'Connell, Jr _ General Counsel. Edward F. Bartelt Fiscal Assistant Secretary ofthe Treasury.

Williain T. Heffelfinger Assistant to the Fiscal Assistant Secretary. Edward D. Batchelder, Frank F . Executive Assistants to the Fiscal Assistant Secretary.

Dietrich, Walter F. Frese. Roy Blough, Josiah E. DuBois, Jr., J. H. Assistants to the Secretary..

Randolph Feltus, Ted R. Gamble, Paul L. Kelley, Wilbur R. Lester, Ansel F. Luxford, John W. Pehle.

Paul L. Kelley Administrative Assistant to the Secretary. Paul McDonald Assistant Administrative Assistant to the Secretary. William W. Parsons.--'..- Technical Assistant. Theodore F. Wilson Director of Personnel. Frank A. Birgfeld ChiefClerk. Denzil A. Right Superintendent of Treasury Buildings. Gabrielle E. Forbush Chief, Correspondence Division.

Charles R. Schoeneman.-_. --- Budget Officer. George H. Jones .- Chief, Budget Division.

Elmer L. Irey. _ Chief Coordinator, Treasury Enforcement Agencies. Charles P . Shaeffer , - Director of Public Relations.

OFFICE OF THE GENERAL COUNSEL

Joseph J. O'Connell, Jr - - . General Counsel. Lehman C. Aarons . . - Assistant General Counsel. Joseph B. Friedman - Assistant General Counsel. Thbmas J. Lynch -- Assistant General Counsel. Charles Oliphant : - Assistant General Counsel. . N . O . Tietjens.-- Assistant General Counsel. David J. Speck : Special Assistant to the General Counsel. George Bronz Special Assistant to the General Counsel. John F. Anderson. _ Chief Counsel, Officeof the Comptroller of the Currency. Robert Chambers Chief Counsel, Bureau of Customs. Isadore G. Alk - Chief Counsel, Foreign Funds Control. John P. Wenchel ------ Chief Counsel, Bureau of Internal Revenue. Alfred L. Tennyson Chief Counsel, Bureau of Narcotics. William G. Helfrich _ Chief Counsel, Procurement Division. ^ Theodore W. Cunningham...- Chief Counsel, Bureau ofthe Public Debt.

DIVISION OF RESEARCH AND STATISTICS George C. Haas Director of Research and Statistics. Wesley Llndow .._.-- Assistant Director. Henry C. Murphy . . . : : - . Assistant Director. Al F . O'Donnell- ------ Assistant Director. Russell R. Reagh- . Assistant Director (Government Actuary). Sidney G. Tlckton,. i Assistant Director. Anna M. Michener ._ ~- Assistant to the Director.

. William M. Weir - Administrative Assistant to the Director. Isabella S. Diamond Librarian.

DIVISION OF MONETARY RESEARCH

V. Frank Coe .-- Director of Monetary Research. Edward M. Bernstein Assistant Director.' Harold Glasser-- _ Assistant Director. Norman T. Ness ., Assistant Director. William H. Taylor - -_. - . . . AssistanfDirector.

DIVISION OF TAX RESEARCH

Roy Blough .' Director of Tax Research. Louis Shere Assistant Director. Walter W. Heller -- Assistant to the Director,



XII PRINCIPAL ADMINISTRATIVE AND STAFF OFFICERS

OFFICE OF THE TAX LEGISLATIVE COUNSEL Robert W. Wales . . . i - _- Tax Legislative Counsel. Adrian W. DeWind - - Assistant Tax Legislative Counsel. Frederick C. Lusk .^-.- Assistant Tax Legislative Counsel.

FOREIGN FUNDS.CONTROL

Orvis A. Schmidt _ Director of Foreign Funds Control. John S. Richards . . Chief,.Licensing Division. Rella R. Shwartz Chief, Enforcement Division.

WAR FINANCE DIVISION

Ted R. Gamble. I . . . National Director. Robert W. Cojme Assistant National Director Charles W. Adams Assistant National Director. John M. Delehanty Director, Radio, Press, and Advertising Division. James L. Houghteling _--- Director, National Organizations Division. MabeUe B. Blake Associate Field Director, Women's Activities.

BUREAU OF ACCOUNTS (IN THE FISCAL SERVICE) Robert W. Maxwell ------- Commissioner of Accounts. Gilbert L. Cake - Associate Commissioner. Joseph Greenberg. _ ' Assistant Commissioner. . Harold R. Gearhart Assistant to the Commissioner.

GeorgeE. Jones } Chief Accountant. Stephen P . Gerardi Executive Assistant to the Commissioner. Albert R. Loxley ^ Chief Auditor. Austin M. Nisonger Senior Member, Commissioner's Technical, Planning and

Advisory Staff. Emmett J. Brennan Chief Disbursing Officer, Division of Disbursement. ' Wallace E. Barker, Jr Administrative Assistant to the Commissioner. Paul F. Travelstead Liquidating Officer, Central Administrative Services.

BUREAU OF THE PUBLIC DEBT (IN THE FISCAL SERVICE) ^ William S. Broughton Commissioner ofthe Public Debt. Edwin L. Kilby ..A. Associate Commissioner. Ross A. Heffelfinger Deputy Commissioner.

OFFICE OF THE TREASURER OF THE UNITED STATES (IN THE FISCAL SERVICE) William A. Julian : Treasurer ofthe United States .Marion G. Banister ._- Assistant Treasurer. Michael E. Slindee . - . Assistant to the Treasurer. Frederick L. Church . Administrative Assist8,nt to the Treasurer. Grover C. Emerson Stafl Assistant to the Treasurer.

BU.REAU OF ENGRAVING AND PRINTING Alvin W. Hall Director, Bureau of Engraving and Printmg. Clark R. Long '. .Associate Director. Thomas F. Slattery Assistant Director (Production).

OFFICE OF THE COMPTROLLER OF THE CURRENCY

Preston Delano Comptroller of the Currency. Cyril B. Upham i Deputy Comptroller. R. B. McCandless Deputy Comptroller. J. L. Robertson...! _. . . Deputy Comptroller. W. P. Folger Chief National Bank Examiner. .'

BUREAU OF NARCOTICS

Harry J. Anslinger.- Commissioner of Narcotics. Will S. Wood. Deputy Commis.sioner. Malachi L. Harney . . . : Assistant to the Commissioner.

BURE-4.U OF INTERN-\L REVENUE Joseph D. Nunan, Jr Commissioner of Internal Revenue. William T. Sherwood Assistant Commissioner. Paul A. Hankins Assistant Commis.sioner. '' Norman D. Cann . ... Deputy Commissioner, Income Tax Unit. C. B'. Allen - . . Assistant Deputy Commissioner,, Income Tax Unit. Victor H. Self Deputy Commissioner, Accounts and Collections Unit. D. Spencer Bliss. . . . . . . ' Deputy Commissioner, Miscellaneous Tax Unit. Stewart Berkshire Deputy Commissioner, Alcohol Tax Unit. Wilbur A. Gallahan Deputy Commissioner, Salary Stabilization Unit, Eldon P. King :..- Special Deputy Cominisip^pr. Aubrey R. Marrs Head, Technical Statf.' "' William H. Woolf __. Chief, InfglligenceUpit.



PRINCIPAL ADMINISTRATIVE AND STAFF OFFICERS XIII

BUREAU OF CUSTOMS

William R. Johnson. Commissioner of Customs. Frank Dow.. Assistant Commissioner. Glenn H. Griffith Assistant Deputy Commissioner. William E. H. Higman. - . . . . Assistant Deputy Commissioner. Henry E. Sweet.: Assistant Deputy Commissioner. Edson J. Shamhart Deputy Commissioner, Investigations and Patrol. A. Sidney Johnson. .__ ' Deputy Commissioner, Fiscal Administration, Charles Stevenson : . Supervisor of Appraisers. John F. Williams . Chief, Division of Laboratories.

BUREAU OF THE MINT

Nellie Tayloe Ross. .- Director ofthe Mint. Leland Howard -- Assistant Director.

PROCUREMENT DIVISION

Clifton E. Mack 1 Director of Procurement. A.J . Walsh _. Associate Director. Paul King . Deputy Director, Administrative Branch. W. M. B. Freeman Deputy Director, Purchase Branch. S. A. Snyder ,_. Deputy Director, Stores Distribution Branch. H . F . R i l e y - Acting Deputy Director, Fiscal Branch. W. MacLeod.. Acting Deputy Director, Standards Branch.

UNITED STATES SECRET'SERVICE

Frank J. Wilson Chief, U. S. Secret Service. James J. Maloney. . Associate Chief. Lawrence E. Albert Assistant to the Chief. Harry E. Neal _- Executive Aide. Walter S. Bowen ChiefClerk.

STANDING DEPARTMENTAL COMMITTEES

BUDGET AND IMPROVEMENT COMMITTEE

CharlesR. Schoeneman - Chairman. Frank A. Birgfeld . - . Vice Chairman. Michael E. Slindee.. Member. Theodore F. Wilson Member. George H. Jones.- - _ Secretary.

COMMITTEE ON PRACTICE Guy C. Hanna .-_ Chairman. Hessel E. Yntema Member. Huntington Cairns .__ Member.

WAGE BOARD Theodore F.Wilson. . . - Chairman. Charles R. Schoeneman Member.

, Elmer L. Irey .._ Member.

INTERDEPARTMENTAL WAR SAVINGS BOND COMMITTEE

Edward F. Bartelt Chairman. Head of each of the several departments. Members.

establishments, and agencies in the executive branch of the Government.

Charles A. Mead General Assistant to the Chairman Leigh E. Ore 1 ._ Director of Public Relations. Charles C. Craver \ . Departmental Coordinator. John W. Clark _ Field Coordinator.



DEPARTMENT OF THE TREASURY November 15, 1945

THE SECRETARY OF THE

TREASURY

T H E U N D E R S E C R E T A R Y O F T H E

T R E A S U R Y

ASSISTANT SECflETARY IN-eHARGE OF CUSTOMS

SECRET SERVICE AND NARCOTICS

ASSISTANT SECRETARY IN CHARGE OF FOREIGN FUNDS CONTROL AND MONETARY RESEARCH

ASSISTANT TO THE SECRETARY

IN CHARGE OF PUBUC RELATIONS


IN CHARGE OF PROCUREMENT

ASSISTANTS TO THE

SECRETARY

DIRECTOR OF RESEARCH

AND STATISTICS

GENERAL COUNSEL FOR THE

- TREASURY


IN CHARGE OF TAX RESEARCH

ADMINISTRATIVE ASSISTANT TO THE

SECRETARY


IN CHARGE OF WAR FINANCE

C H A R T 1.



: ^ - j -

CONTENTS

STATEIMENT OF T H E SECRETARY OF T H E TREASURY : Bage

Fiscal pol icv-_-_-- -___ __^_ 1 The public d e b t - - , - - - _ - - - - - - - ' _ _ _ _ 2 Foreign financial policy_ 4

R E P O R T ON OPERATIONS

Receipts in general and special accounts^_-J. . ^ 9 Expenditures from general and specifi accounts _^ 20 Deficit in general and special accounts-: i>-i-i 1^ ._ __\ 29 Receipts and expenditures in t rus t accounts and checking accounts of

"Government corporations and certain agencies_i < 29 Financing the net budgetary deficit and other requirements 30 The public debt 31 r: Summary of financing operations by periods ' . 32 . / : Bank purchases of restricted Treasury bonds ^ 42

Securities on continuous sale, - i ' 1 43 ' .. Other public debt t ransact ions : : 50

Guaranteed issues _' -_. _L 52 Cumulative sinking fund 1 53

: .; Absorption and ownership of Federal securities by investor classes 53 ti; Composition of the public debt ' 60

' , Interest on the public debt 64 Deb t limit ! 1 .' 66

Impac t of Treasury fiscal operations on the national financial s t ruc tu re - . 67 Securities issued by Government corporations and certain agencies 75 General Fund L__ 79 Securities owned by the United States and proprietary interest in Govern-

ment corporations and certain agencies __ 80 Monetary developments ^ 82 Fofeign Funds Control activities'. 1 .__ 87 Taxa t ion developments ' 89 'Salary stabilization 95 Special procurement activities:

Lend-lease 95 United Nations Relief and Rehabilitation Administration -_ 96

. Renegotiation of contracts L 96 - Contracts terminated ^ ^_.__ 97

Strategic and critical materials 97 IJ. S. Coast Guard 98 War contributions 99 Es t imates of receipts _. 100 Es t imates of expenditures i 107

ADMINISTRATIVE R E P O R T S OF BUREAUS AND DIVISIONS

Fiscal Service of the Treasury Depar tment 111 " V Accounts, Bureau of 112

' ^ - "^ Public Debt, Bureau of the ' 159 ^ -^ Treasurer of the United States _'__' S ^ 1 175 Comptroller of the Currency, Burieau of the___l ' ' 180 Customs, Bureau of ^ 1- . 182 Engraving and Printing; Bureau 'of L_l 196 Foreign Funds Control 200 In ternal Revenue, Bureau" of i 200 -.,.;: T E L



tv . . . .CONTENTS \ "^

-Page: Legal Divis ion. . - - . - - -_-----_ - - - - - - - - - _ -___._.^-_^-_ ____ 212 Mint, Bureau of the _.__.____-__-___-_i\___ .__ 213 Monetary Research, Division of __ _ _ _ - - _ _ _ _ _ _ _ _________ ^ _ _ _ _ _ _. 218 Narcotics, Bureau of--__^______:_iw_uv:_^.__._^_____._______________ 219 Personnel, Division of_-_________:_-__!________.___ ___ 220 Practice, Committee on..________ ^--------_----_---_-__-_____._ 221 Procurement Division. - __ _ _______ _ _ _ _ ^ _ _ _ _ _ _ _ ^ 222 Research and;Statistics, Division of.^x_^__.::_____^_____;_ j JL_ J_____i__ 232 Tax Legislative Counsel, Office of the_ _ _ ______ _^ _____________________ 233 Tax Research, Divisibu of ____.. '_.__________________ 235 tr. S. Coast Guard...-..____^> - - - - ^ - ________ 1____^ 236 TJ. S. Savings Bonds Divisioii_.J.________j_._.__________,___,______^_ .'. 250 U . S . Secret ServiGe...--_-_-_--___._-!_______ _____________________ 251 Interdepartmental Savings Bond Committee . ___^. _ _ ^ 254

. EXHIBITS

. ; . P U B L I C " ' . D E B T . ' ; , . - . . - . ; . ' ' O ''

.r iMues and redemptions of T^^ 1. Offering and allotments of Series F-1946 certificates..___l_____^___j 259 2. Offering and allotnients of Series G--1946 certificates...____ _i. _:._ __ _ 260 3. Offering and allotnients of Series H-1946 certificates^.__.___ _ _!_.___ 262 4. Offering and allotments of Treasury bonds of 1967-72 and of 1959-62,

: and Series K-1946 certificates (Victory Loan)^^_._________;._^___ .263 : 5. Call for redemption of Treasury bonds of 1946-56...__________.___., : 268

6. Offering and allotments of Series J-I946 certificates. ^__.________-:.i 268 7. Offering and allotments pf Series A-1947 certificates..__ ^ _. _ _ ^ _ _ ^. _ _ 270

i 8i Offering and allotments of Series B-1947 certificates. ^ _ _ - - _ _ J 271 9. Call for redemption of Treasury bonds of 1946-49 and of 1946-48- _ _ _ 272

,10. Offering and allotments of Series C-1947 certificates..._________:_._ 273 i l . Offering and allotments of Series D-1947 certificates....________.._.. 274 12. Offering and allotments of Series E-1947 certificates..___________... 275 13; Offering and allotments of Series F-1947 certificates..^.-___._____._ 276

Treasury hills ] . : 14. Inviting tenders for Treasury bills dated July 5, 1945-. . . 277 15. Acceptance of tenders for Treasury bills dated July 5, 1945_^________ 278 16. Summary of Treasury bill information contained in releases_..______ 279


17. Supplements relative to designation of Series Ebbhds______________ 281 18. Announcement on maturing Series B bonds. . r_ . _ _ . _ . _ _ _ _ . _ i . . . ___ 281

Miscellaneous '

19. Public Debt Act of 1946_.^____-_._.___________-___.________j__ 2$2 20. Provisions of bank restricted Treasury bonds modifieci- _____________ 282 21. Addition of $1,000,000 denomination of Treasury bonds___.______.__ 283 22. Regulations governing excess profits tax refund bonds_--_____._____ 284 23. Amendment relative to Treasury savings notes-_..^_>^_____________ 285 24. Address' on war financing and implications for the future__.___ _^_^__ 286 25. Address on transition from war to peace and prosperity! _,. _ _ _ _ ^ _ _ _ _ _ 290 26. Statement before Senate Committee on reduction of debt limitation^. ^ '293 27. Release relative to discontinuance of preferential discount rate on short-

term Government securities..______.. _^ . . . _ _ . _ _ J 296 28. Statement by John W. Snyder on occasion of his ta,king oath of ofl&ce. . 297

SECUBITIIJS GUARANTEED BY TH3E U N I T E D STATES ^

29. Partial redemption of housing insurance fund debentures ^_.-. 298



CONTENTS V

MONETARY DEVELOPMENTS Page

30. Report of National Advisory Council and statement on foreign loan policy _, - _. L 300

31. Documents relating to the Anglo-American Financial Agreement 316 32. Act atithorizing industrial use of silver owned by the United States 325

' TAXATION DEVELOPMENTS

33. Statement before House committee in support of Treasury's program for tax reductions 326

34. Statement before Senate committee in support of Treasury's program for tax reductions : , 332

35. Comparison of estimated tax liabilities under Revenue Act of 1945 and under prior law 346

ORGANIZATION AND PROCEDURE

36. Executive order directing return of Coast Guard to the Treasury Department 346

37. Executive order transferring fiscal functions relating to lend-lease matters to Treasury Department : 347

38. Memorandum relating to duties of the Fiscal Assistant Secretary of the Treasury ^ 348

39. Treasury Department order establishing a Claim Board : 348 40. Treasury Department orders relating to procedure , 350

MISCELLANEOUS

41. Act relating to acquisition of strategic and critical materials _^_ 351 42. Regulations relative to provisions of Government Corporation Control

Act . - 354 43. Letter of Postmaster-' General certifying extraordinary expenditures^

contributing to deficiencies in postal revenues 355

TABLES /

Explanation of bases used in tables 359 Description of accounts through wjiich Treasury operations are effected 360

RECEIPTS AND EXPENDITURES

Summary tahles on receipts and expendiiures 1. Summaryof receipts and expenditures, 1932-46 - _ i - 362 2. Receipts and expenditures, 1789-1946-__^._-_i_.:-i_.c.---_---:.----, 366

Detailed tahles on receipts and expenditures ^ 3. Classification of monthly receipts, 1946. _ _ _v - - - - ------- - - _ _ ^ _ _ _ ^ _ . . 372 4. Classification of monthly expenditures, 1946__^-__-____---J- :-_-_i 378 5. Receipts by major sources, 1940-46-__^_-.-__----:-..^----_-.-_--.^- 398 6. Expenditures by major functions, 1940-46-__-.__--------------- ^^^

Other receipts and expenditures tables 7. Receipts by major sources, 1945 and 1946__.._^_..______-----_^_-.-- 401 8. Detailed internal revenue collections, 1945 and 1946__ _._- __- - 403 9. Internal revenue.collections, by sources, 1916-46-.______ 405

10. Internal revenue collections, by States, 1946___--_-_ -_-_-______ 410 11. Receipts and expenditures of social security program, 1936-46^___-^_^ - 412 12. Panama Canal receipts and expenditures, 1903-46______-_-_-- ^^ -r.;: 418 13. Postal receipts and expenditures, 1789-l946-_-^---_--.i----.,__-__ 419 14. Selected receipts and expenditures, 1789-1946-__-_-^ _--_---_--;-^; 422 15. Expenses of Internal Revenue Service, I946_--^---L-^^-----_ ---^^ 423 16. Customs^collections and refunds, 1945 and 1946--->------ . - ---- : i 427



VI CONTENTS

W A R A C T I V I T I E S PROGRAM Page

17, Appropriations and ne t contract authorizations, Juhe 30, 1946 _ _ _ : _ 1- _ _ 428 18, .Appropriations, contract authorizations, and expenditures, 1941-46:iLi 430 19, Expenditures by-depar tments and ageiicies,'1941-^46___Ji_________ji.^ 432 20, Comniitments^: credits; and charges ofithe R; F; C.- 1941-^46_!i__i;!_ 435

P U B L I C D E B T AND/ GUARANTEED OBLIGATIONS

' ^ Public debt and guaranieied obligations outstandin^^^

21 , Pubiic debt and guaranteed cbligations outstanding June 30,, i946_ _ i J^. 436 22: Description of public debt.issues outstanding June 30,, i046,V_.l^L___,_ 438 23. Descriptioii of guamfiteed "obligations and contingent liab^^^ ' ' s tanding June 30, 1946__,__ -__-____-_ - :_____J_________2 : ! ' 452 24. Principal of public debt outs tanding June ,30, 1853-1946 _ 455 25. Public debt outstanding'Jiine'30,"l934-4l5__-___-:i-___-_____ _ 457 26. Composition ofpublic debt, 1916-46_ ________,_,__^_^________^____ 459 27. Guaranteed obligations and contingent liabilities outstariding June " ' ' - 30, 1937-46._-^__..^_^^-__,^^____._:___.__;^,_..__.^.:_-,^^^^^^

^ ;!V'^ ; r^vi.^ p^-- '^ '.-^ f ,public.debtgperatipris. .;-: v: '"'î'--^;;'v^'':"':': :^:.;;''f. .:.-

28y. Public debt receipts and,expenditures, monthly',. 1946^^,_ .^^ ^ _ iA_ _ .^ ;_ _;_ / 462 29.; Chahges ih public debt,.,l>yvissues,,; 1946^^___..______.;!-!__ ' 468 30. Issues, maturit ies, redemptions bf interest-bearing securities, 1946____ 481 ^ 31 . Issues, maturit ies, and redemptions of interest-bearing securities, -

1941-46___-_ ______:_________ ___.___:________,__ 490 32.,^ Public debt increases and balances in General Fund , 1916-46__ 504 33. 'S taût6ry .debt MiremeiMs; 1 9 1 ^ 505 34.. Transactions bh account' of cuihulative smking fund, 1946__________.^ ' 506 35; ' Cumulat ive sinking fUiid; 1921-46^^^__,_ _ _._ _ _ L _.._ _ _._ _ ^.:._'-^_ _ ^ _ _ S 506 36.- Guaranteed obligations matefed or called,, and redeemed,. 1946-1 ^ _ 1 ,^^ ,/ 507

Loan statistics 37. Dates of 8 loans____ . _ _ _ _ - l _ _ _ _ _ _ _ . 507 38. Goals and sales in 8 loans ^ _ _ _ _ _ _ _ ^ _ _ i^ _ _ _ 4 _ 508 39. Sales of.Series E savings boiids jn 3 loans,; by den6inihatipns__-___i._ ; .^ 509 40; Sales of securities in 8 loans, by investors and issues___ 510 41. Quotas and sales of securities in Victory Loan, by S ta t e s . 514 42. Sales of securities in Victory Loan, by Stateb and investors____ 1 516


43. Analysis of sales and redemptions of savings bonds^ by series,-1935^46_ J ;- 518 44. Sales and redemptions of savings bonds, by series, 1935-46_______-__ 519 45. Sales of Series E , F, ,and G.bonds, by,denominations, 1941-46 524 46. Sales of Series E bondsj by States___- ^_ - - - - - - - - - - 528' 47; Sales of Series F and G bonds, .hy States,u\^_:j_____uu:i_c^_ii_v.LJ-_ ; ' 530 48; Redemptions of Series A - E hohds, by. S t a t e s - _ _ . _ - - L _ _ _ U _ ^ _ I _ I J L ; I ^ ^ ^ ' ^ ^ 49;: Percent of. savings bonds sold each y5ar redeemed each year thereafter _:.-; 534

United States savings stamps

50. Sales and redemptions of savings stamps,. 1941-46 537 51.: Sales of savings stamps, b y . d e n 6 n i i n a t i o n s , r 9 4 1 - 4 6 _ _ _ _ i j : - _ - _ - l - ; - _ - 538

^ ' Treasury notes-^tax seri'es and savirigs seHes ' '

52; Analysis of sales and redemption^ of tax and savings series notes, by , Â; series, 1942-46__^:___l_' : ' i , ;_,_^__-,--- :_-j__;_-bi-L_-- ' - . -_: .-^-l- :-- " 539 53.' Sales and redemptions of t ax and savings' Series . nbtiss, ;by series,, /;; ' ' y y .1942-46___ ____-^.__.i:iLL,:;iV.i_j_'_^^r-_:::-.--l_^.L;^^^^^ 54; Sales of savings notes of Series C- by deribminations, T943-^46_i:_'_:--L ' !, 541 ^ 5 ; Sales of savings notes of Series C, by type '6f purchasefs, 1943-46_- - - ' " 542



CONTENTS -VII.

i ' - ' ' ^ \ N " ' '

^ / ' .. : \ Interest on the puhlic debt r- ' : , .: ,.-r- Page

56. Interest on public debt, payable, paid, and unpaid, 1946_^_->^ 1 L > _ i i ^ ,542 57;i Interest paid on publie debt, b y issues, 1944-46__Liv_:_^:_.ii_i_'____;_ 543 58. Interest-bearing debt outstanding, computed annual interest charge,> : .

and computed ra te of interest, 1916-46_^_ :ii- :_^^L____-^ v_.^;_l_ 546 59. In teres t paid on securities issued or. guaranteed, ^classified by status,

. 1913-46__ ____-:_ .___________: :__.-__J_- '_ .______. j 547 Miscellaneous

60. Average yield on long-term Treasury bonds, 1930-46^ i i L - _ i^ . _ _ i _ _^_ - . ,549 61. Prices .and yields, of securities, June .30, 1945 and 1946_-i'_i;:._^i^_^__i .550

CONDITION OFTHE TREASURY-EXCLIISIVE OF P U B L I C D E B T L I A B I L I T I E S ' , ?

62., Assets and liabilities of Treasury, June 30, 1945 and 1946_u i _ _ _ _ - _ _;- 552 i63. Assets arid liabilities of exchange-stabihzation fiirid; J u n e 30, 1945 and

, i946,__:.:___:_..::._._z:_:____'_-r.:v..i_:____:_:_C;-.^-^^^^^ '554-64.^ Securities owned by Government, June 30, i946_- -___^_____j_____- 556 65! Securities owned byiGovernnient-changes 1946,__^__-i___i-_^__---^.--; 559 66; Principal of funded and unfunded indebtedness of foreign governments

to United States, Nov. 15, 1946__-_______-_l_____._l____-_______ 561 67. Principal of funded and unfunded indebtedness of foreign governments

to United States, Nov. 15, 1928-46_._-__-___ ____-___^_-_ . 562

T R U S T ' A N D SPECIAL F U N D S F O R . W H I C H INVESTMENTS ARE . M A D E BY .. ': ;: .THE. TREASURY D E P A R T M E N T -. r

68. Adjusted sei-vice,certificate' fund _ ^ _ _ _ _._.. _ L -,_ _______ _ _ _ _ _'_ _ - _ _ _ _ - - ; 563 69., Ainsworth Library fund, Walter Reed General Hospital_i__-___;_-^_,-. ,563 70. Alaska Railroad ret i rement and disability fund _ _ _ _ - - 564 71 . Canal Zone ret irement and disability fund_- ,_-______^___ 565 72. Civil service retiremejit and disability fund_, ^ 566-73. District of Columbia teachers ' ret i rement fund_A__-:_____-_^_.i--_-^^ 567 74 ; District of Columbia water fund- __ __^___ _ I - __ _ _._ _ _^-- _ _ f._'-i I -1 _._ _ 569 "75. Assets held by t | ie Treasury Depar tn ient Under Workmen's Compensa- ' . M-

\ tion. Act, within the District of Columbia_ _ _ _ _ - _ - _ i - _ _ _ _ i _ _ ^ _ ^ ^ - 569 76. Federal old-age and survivors insurance t rus t fund___-__-_^L:_^^:_- 569 77. Railroad,retirement-accouht-: J . - ^ , ^ _ _ - 1 _ ^ L _ _ _ _ _ _ _ - _ I ^ - _ _ - - - - ' 571 78. Unemployment ' t rus t fund J-___ i _ _ _,!_:_ ___i _ _^ __-__:- - i . _ ^L -_ ^ i _ - _ _ - 572 79:' Foreign service ret i rement and disability fund i____:___-___-_>_ 574 80. Library of Congress t rus t fund_____.:__c__'_L__i_____i_ J^_^_i-_-_.^_._ ' 575 81. Longshoremen's and harbor workers ' compensatioh-fund_^__-__^-- '-- 578 82. National Archives gift fund - ___-- 578 83. National Cancer Ins t i tu te gift fund^__^ 579 84. National Ins t i tu te of Heal th gift f u n d _ . , _ _ - . _ _ . _.__-.__,-.--,-- 580 85.; National-park t rus t fund___^___^^__-__-u_L>-_':_^__JLi:_L__j---y-ii:; 581 86v National service life insurance fund-:_i:___I_'__i___u_J^_;-;:i_l.lA-'--^ ' 582 87.' Pershing Hall Memorial fundJ___ j l :___ j___ ; ._^J - : i l i ; i _ -__ -_ : : : _ : ; - ': 583

88. United States Government life insurance fund ! _ .;A33 89. United States Naval Academy general gift fund_ _ _ ^ _ - _: - 584

GOVERNMENT CORPORATIONS AND C E R T A I N AGENCIES

90. Assets, liabilities, and capital of Government corporations and certain agencies, June 30, 1946_ . -____ _ _ l _ _ - - - - _ _ 585

91. Assets, liabilities, and capi ta lof Government corporations and certain agencies, June 30, 1939-46_-_ ._ _ - - _ - _ . - 606

92. Sources and application of funds of corporations and certain agencies, 1946 __.______,____. __^_ __;___-_ __ -__ ._ - 608



VIII CONTENTS

STOCK AND GIRCULATION OF M O N E Y I N THE U N I T E D STATES ^ ^ ' ; ' ' . . - , . . . P a g e

93. Stock of money, money in Treasury, Federal Reserve Banks, and ' circulation, by kinds, June-SO, 1946____^:._______j__:__i;_ _^_ 623

94. Stock of money, money in Treasury, Federal Reserve Banks, and circulation, June 30, 1913-46_________:_._^_.______-_--___-_ 624

95. Stock of money, by kinds, June 30, 19i:3-46__.__-_L____-u__l_._-- 626 96. Money in circulation, by kinds, June 30, 1913-46 _______- _ 627

CUSTOMS STATISTICS

' 9 7 . Customs collections-and payments , by districts, 1946-_____-_____--_ 628 \ 9 8 , Values of dutiable and taxable imports for consumption and esti-

mated duties and taxes collected by tariff schedules, 1945 and 1946_ 630 , 99. Es t imated customs duties, value of imports entered for consumption,

and ratio of duties to value of dutiable imports and to value of all ', imports 1936-46-i-L___-:________-.___-:___-___-^____L_-^--L- 630

100. Es t imated customs duties, vailue of dutiable imports, and ^^ ^^ ma ted duties to value of dutiable imports, by tariff schedules,

:'".; ' . 1 9 3 6 - 4 6 . . _ _ _ _ _ - - - _ , . . ; _ V - - - ; - : - - - - n ^ - - - - - - - - - - ^ ^ - - - . - - ; i - - ^ ' - - - - ' ' ' 631 . 101. Value of^ dutiable imports for cbnsumptiori arid est imated duties col-

lebted, b^^ countries, 1945 and 1946-:__- . -______-___ . - : :_-_- 635

_ - , . ' ' ^ ' - : ' . ' -^ - - . : , . . . . . y ; -... MISCELLANEOUS ^'7 ^ ; . - / : / ^ ; .-".--'

102. Ne t expenditures for Federal aid to States, individuals, etc., 1920-46__ 636 103. Expenditures for direct payments to States under cooperative arrange-

ments and expenditures within States which, provided relief and o ther aid, 1946____^__.______ _-_______________--___.___-- ,__ 640

104. Awards of Mixed Claims Commission, United States and Germany, amount paid, and balance due, Sept. 30, 1946_ _ _ _ - - - - __ _ _ _ _ 648

" ' ' ' ^ O W N E R S H I P OF GOVERNMENTAL SECURITIES

105. Summary da ta from Treasury survey of ownership of securities issued or guaranteed by United.States, quarterly dates, 1946_____- . 6 5 0

106. Es t imated amount of interest-bearing securities issued by ah govern-m e n t a l u n i t s outstanding June 30, 1946, classified by tax s tatus and

, ^yp^ of issuer- _ .__!_ __-__^_______________________v___ 662 107. Es t imated amount of interest-bearing securities issued by all govern-

menta l units outstanding June 30, 1913-46, classified by tax s tatus and t;^pe of issuer ; _ _ ^ _ _ L _ I ; _ _ _ _ _ _ _ _ _ ; _ _ _ _ _ : - _ _ _ _ _ _ _ _ _ _ - . _ _ _ _ 664

108. Es t imated ownership of all interest-bearing governmenta,! securities outstanding, classified by issuer, 1937-46--^-___-__-_-- .-..-.^- 672

. B U D G E T ESTIMATES ^

109. Budget and t rus t account receipts ajid expenditures, 1946-48_ - _ _ L. _ _ 673 i 10. Receipts, general and special accounts, 1946-48_ _ _ _ _ _ L 681

T i l . Cash operations of Treasury, 1946-48__-_;_. . , -^----^ - - - - - - - - - - - 695 I n d e x _ - . . . . . . . . . - . . . - . . - - - - - . - : - : - - - _ - _ - - : i _ - . - - - ^ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 697



SECRETARIES, UNDER SECRETARIES, AND ASSISTANT SECRETARIES OF THE TREASURY DEPARTMENT FROM MARCH 4, 1933, TO NOVEM-BER 15, 1946 1 AND THE PRESIDENTS UNDER WHOM THEY SERVED

Term of service

From- To Official Secretary of the Treasury President

Mar. Jan.

4.1933 1.1934

July 23.1945 June 25,1946

May 19,1933 Nov. 17,1933 May 2,1934 Jan. 29,1937 Nov. 1,1938 Jan. 18,1940

Mar. 4,1946

Mar. 16,1945

Apr. 18,1933 June 6,1933 June 12,1933 Dec. Li934. Feb. 19,1936 July 1,1938 June 23,1939 Jan. 18,1940 Jan. 24,1945

Apr.-15,1946

Dec. 31,1933 July 22,1945 June 23,1946

Nov. 16,1933 Dec. 31,1933 Feb. 15,1936 Sept. 15,1938 Dec. 31,1939 Dec. 3L1945

Feb. 15,1936 Sept. 30,1939 Dec. 12,1933 Nov. 1,1937 Feb. 28,1939 Oct. 31,1938 Dec. 2,1945 Nov. 30,1944 May L1946

Secretary ofthe Treasury William H. Woodin, New York Henry Morgenthau, Jr., New York. Fred M. Vinson, Kentucky. John W. Snyder, Missouri..

Under Secretary Dean G. Acheson, Maryland Henry Morgenthau, Jr., New York. Thomas Jefferson Coolidge, Mas-

sachusetts. Roswell Magill, New York _.. John W. Haijes, North Carolina... Daniel W. Bell, Illinois

Woodin Woodin Morgenthau-

0 . Max Gardner, North Carolina.. Fiscal Assistant Secretary

Edward F . Bartelt, Illinois Assistant Secretaries

Lawrence W. Robert, Jr., Georgia.. Stephen B. Gibbons, New York.. . Thomas Hewes, Connecticut Josephine Roche, Colorado Wayne C. Taylor, Illinois John W. Hanes, North Caro l ina-Herbert E. Gaston, New York John L. Sullivan, New Hampshire. Harry D. White, Maryland Edward H. Foley, Jr., New York..

Morgenthau Morgenthau---Morgenthau, Vinson.. Vinson, Snyder

Morgenthau, Vinson, Snyder.

Woodin, Morgenthau Woodin, Morgenthau. Woodin Morgenthau-Morgenthau-Morgenthau Morgenthau, Vinson., Morgenthau Morgenthau, Vinson.. Vinson, Snyder


Truman. Truman. Truman.

Roosevelt. Roosevelt. Roosevelt. Roosevelt. Roosevelt. Roosevelt,

Trumari. Truman.

Roosevelt, Truman.

Roosevelt. Roosevelt.' Roosevelt. Roosevelt. Roosevelt. Roosevelt. Roosevelt,

Truman. Roosevelt. Roosevelt,

Truman. Truman.

1 For officials since 1789 see annual report for 1932, pp. xvii to xxi, and corresponding table in annual report for 1933.

IX




OFFICE OF THE SECRETARY John W. Snyder---^ - Secretary of the Treasury. 0 . Max Gardner. Under Secretary ofthe Treasury.

John S. Graham Executive Assistant to the Under Secretary, Edward H. Foley, Jr Assistant Secretary of the Treasury:

B. E. L. Timmons, III Executive Assistant to the Assistant Secretary. Joseph. J. O'Coimell, J r . . - General Counsel. Edward F. Bartelt Fiscal Assistant Secretary ofthe Treasury.

William T. Heflelfinger Z Assistant to the Fiscal Assistant Secretary. Walter F. Frese Executive Assistant to the Fiscal Assistant Secretary. Frank F. .Dietrich-. Executive Assistant to the Fiscal Assistant Secretary. Edward D. Batchelder . . - Technical Assistant to the Fiscal Assistant Secretary.

Arthur Gardner . Assistant to the Secretary. Vernon L. Clark. . . . . .z . . Assistant to the Secretary. Andrew N. Overby Special Assistant to the Secretary. William W. Parsons.. -.- Adrainistrative Assistant to the Secretary.

Paul McDonald-- - . ' . . . . Assistant Administrative Assistant to the Secretary. Herbert E. Stats Technical Assistant. Theodore F. Wilson Director of Personnel. Frank A. Birgfeld-: ChiefClerk. Denzil A. Right Superintendent of Treasury Buildings.

Willard L. Johnson Budget Officer, George H,'Jones Chief, Budget Division,

Frank J. Wilson . Acting Chief Coordinator, Treasury Enforcenient Agencies. Charles P . Shaeffer.... . Director of Public Relations.

OFFICE OF THE GENERAL COUNSEL Joseph J. O'Connell, Jr General Counsel. Joseph B, Friedman Assistant General Counsel. Thomas J. Lynch... Assistant General Counsel, Charles Oliphant Assistant General Counsel. N. 0, Tietjens Assistant General Counsel. Stephen J. Spingarn.. Assistant General Counsel. James H.Mann. .Assistant to the General Counsel. ' David J. Speck Special Assistant to the General Counsel. George Bronz .-- Special Assistant to the General Counsel. Lawrence Linville - Special Assistant to the General Counsel, John F,^ Anderson... J.- Chief Counsel, Office.of the Comptroller ofthe Currency. Robert Chambers- -- Chief Counsel, Bureau of Customs. Isadore G, Alk.^..-.;-. - . - . Chief Counsel, Foreign Funds Control. John P. Wenchel.. Chief Counsel, Bureau of Internal Revenue. Alfred L, Tennyson.--- _.-- Chief Counsel, Bureau of Narcotics, TheodorejW, Cunningham -- Chief Counsel, Bureau of the Public Debt.

DIVISION OF RESEARCH AND STATISTICS George C. Haas- - Director of Research and Statistics, . Wesley. Lindow -- Assistant Director, Henry C. Murphy : Assistant Director. Al F. .O'Donnell Assistant Director. Russell R, Reagh Assistant Director (Government Actuary). Sidney G. Ticktoni- Assistant Director. Anna M, Michener --- Assistant to the Director. William M, Weir Administrative Assistant to the Director. Isabella S, Diamond Librarian.

DIVISION OF MONETARY!RESEARCH Harold Glasser Director of Monetary Research, William H, Taylor - . . Assistant Director.

DIVISION OF TAX RESEARCH Louis Shere Associate Director of Tax Research (Acting Director). E. Gordon Keith Assistant Director. Marius Farioletti --- Assistant Director. F. Newell Campbell _ Assistant Director

OFFICE OF THE TAX LEGISLATIVE COUNSEL Stanley S. Surrey. Tax Legislative Counsel. Frederick C, Lusk-.------ - Assistant Tax Legislative Counsel.' Adrian W. DeWind Assistant Tax Legislative Counsel.

X



PRINCIPAL ADMINISTRATIVE AND STAFF OFFICERS XI

FOREIGN FUNDS CONTROL

Orvis A. Schmidt Director of Foreign Funds Control. John S. Richards ^ Chief, Licensing Division. Rella R, Shwartz - Chief, Enforcement Division.

U, S, SAVINGS BONDS DIVISION (FORMERLY WAR FINANCE DIVISION)

Vernon L, Clark - National Director. L, M. Olniey Associate National Director, Louis J. Carow, Jr-l ^ Assistant National Director (Information). Harold B, Master . . Assistant National Director (Special Field Activities), Lawton B. Wolfe Assistant National Director (Payroll Savings). Bill McDonald --- Assistant National Director (Administration).

BUREAU OF ACCOUNTS (IN THE FISCAL SERVICE) Robert W. Maxwell - . Commissioner of Accounts. Gilbert L. Cake Associate Commissioner. Joseph Greenberg--- L.---..-- Assistant Commissioner. Harold R. Gearhart- Assistant to the Commissioner. George E. Jones-- Chief Accountant. Edmund C. Nussear : Executive Assistant to the Commissioner. Harry L. Stoudt... ------ Chief Auditor. Austin M. Nisonger- --. Senior Member, Commissioner's Technical, Planning and

Advisory Staff. Emmett J. Brennan -. Chief Disbursing Officer, Division of Disbursement. Wallace E. Barker, Jr Administrative Assistant to the Commissioner. Paul F. Travelstead Assistant Liquidating Officer, Robert W. Cavanaugh Chief, Lend-Lease Fiscal Operations.

BUREAU OF THE PUBLIC DEBT (IN THE FISCAL SERVICE) Edwin L. Kilby - Commissioner of the Public Debt. Donald M, Merritt . . . . . . . Associate Commissioner. Ross A. Heffelfinger Deputy Commissioner.

OFFICE OF THE TREASURER OF THE UNITED STATES (IN THE FISCAL SERVICE) William A. Julian-- Treasurer of the United States. Marion G. Banister... Assistant Treasurer. Michael E. Slindee-.. Assistant to the Treasurer. Frederick L, Church_ _ Administrative Assistant to the Treasurer. Grover C. Emerson Staff Assistant to the Treasurer.

BUREAU OF ENGRAVING AND PRINTING ' ^ Alvin W. Hall - ^ Director, Bureau of Engraving and Printing. Clark R. Long.. _ '.- Associate Director. Thomas F. Slattery- -- Assistant Director (Production)-.''

OFFICE OF THE COMPTROLLER OF THE CURRENCY

Preston Delano'- --- Comptroller of the Currency. Cyri lB. Upham Deputy Comptroller. R. B. McCandless---, Deputy Comptroller. J.L.Robertson Deputy Comptroller. W. P . Folger - Chief National Bank Examiner.

BUREAU OF NARCOTICS Harry J. Anslinger.. Commissioner of Narcotics, Will S, Wood 1 Deputy Commissioner, Malachi L. Harney Assistant to the Commissioner.

BUREAU OF'INTERNAL REVENUE

Joseph D, Nunan, Jr Commissioner of Internal Revenue. William T. Sherwood..- Assistant Commissioner! Stewart Berkshire Assistant Commissioner'. T. C, Atkeson Assistant to the Commissioner. E. I. McLarney ^ Deputy Commissioner, Income Tax Unit, Fred S, Martin Assistant Deputy Commissioner, Income Tax Unit. Paul A. Hankins.- - - Deputy Commissioner, Accounts and Collections Unit. Victor H. Self.. Deputy Commissioner, Employment Tax Unit. D. Spencer Bliss. Deputy Commissioner, Miscellaneous Tax Unit. Carroll E. Mealey 1 Deputy Commissioner, AlcoholTax Unit. Wilbur S, Gallahan Head, Salary Stabilization Unit. Eldon P. King.. Special Deputy Commissioner. Aubrey R. Marrs.-- --- Head, Technical Staff. William H. Woolf ----- - Chief, Intelligence Unit. Charles D. Hamel Chairman, Excess Profits Tax CouQQil,



XII PRINCIPAL ADMINISTRATIVE AND STAFF OFFICERS

BUREAU OF CUSTOMS William R. Johnson ._ Commissioner of Customs. Frank Dow Assistant Commissioner. Glenn H. Griffith Assistant Deputy Commissioner. William E. H. Higman AssistanLDeputy Commissioner. Henry E. Sweet Assistant Deputy Commissioner. Edson J. Shamhart Deputy Commissioner, Investigations and Patrol. A. Sidney Johnson Deputy Commissioner, Fiscal Administration. Charles Stevenson Supervisor of Appraisers. John F. Williams _ Chief, Division of Laboratories.

BUREAU OF THE MINT ' Nellie Tayloe Ross Director of the Mint. Leland Howard. Assistant Director.

PROCUREMENT DIVISION Clifton E. Mack _ Director of Procurement. J. D; Tompkins _ ^ . Associate Director. Paul King _ Deputy Director, Administrative Branch. W. M. B. Freeman Deputy Director, Purchase Branch. S. A. Snyder Deputy Director, Stores Distribution Branch. H. M. Kur th . . . . Deputy Director, Fiscal Branch. W. S. MacLeod i._ Deputy Director, Standards Branch.

UNITED STATES COAST GUARD Admiral Joseph F. Farley. Commandant, U. S. Coast Guard. Rear Admiral Merlin O'Neill Assistant Commandant. Rear Admiral Ellis Reed-Hill Engineer-in-ChieL

UNITED STATES SECRET SERVICE James J. Maloney Acting Chief, U..S. Secret Service. John J. McGrath Acting Assistant ChieL JohnH. Walker Assistant to the Chief. Harry E. Neal _ Executive Aide to the Ohief.

STANDING DEPARTMENTAL COMMITTEES COMMITTEE ON PRACTICE

John L. Graves _ Chairman. Hessel E. Yntema Member. Huntington Caims Member.

WAGE BOARD Theodore F. Wilson Chairman. Willard L. Johnson . . . M e m b e r . Vacant _ Member.

INTERDEPARTMENTAL WAR SAVINGS BOND COMMITTEE Edward F. Bartelt Chairman. Head of each of the several departments. Members.

establishments, and agencies in the executive branch of the Govemment.



DEPARTMENT OF THE TREASURY November 15. 1946

THE SECRETARY OF THE

TREASURY

THE UNDER SECRETARY OF THE

TREASURY

ASST. SECRETARY IN CHaRGE SECRET SERVICE. NARCOTICS.

PROCUREMENT. COMPTROLLER OF CURRENCY. ENGRAVING AND PRINT-ING. MINT. COAST GUARD. COORD.

OF ENFORCEMENT

GENERAL COUNSEL FOR THE

TREASURY


IN CHARGE OF PUBLIC RELATIONS

SPL.ASST.TOTHE SECRETARY IN CHARGE OF FOREIGN FUNDS CONTROL

ANO MONETARY RESEARCH

DIRECTOR OF RESEARCH

ANO STATISTICS

ASSISTAAa TO THE SECRETARY

IN CHARGE OF TAX RESEARCH

ADMINISTRATIVE ASSISTANT TO THE

SECRETARY

ASST TO THE SECRETAHY IN CHARGE OF U.S. SAV-

INGS BONOS DIVISION

BUDGET OFFICER

0 ( f i c of he Comptroller sfihe Currency

S. C o a d Guard | T^^^ Office of the

Treoiurer of the United Stotee Le^islotive CounMl

Monetary Reseorct) the Public Debt Ouel ClerV of the

CHART 1.



iLnJ CONTENTS

Transmittal and statement by the Secretary of the Treasury 1 Fiscal policy i 1

.Public debt ^ .__ 2 Foreign financial pohcy 1^ 3

REPORT ON OPERATIONS Budget results 6 Budget receipts 1. . 6 Budget expenditures .i ^^ _____ 15 General Fund _,__. ' 20 = Application of budget surplus and financing of cash requirements 21 Public debt operations 22 Ownership of interest-bearing Federal securities 41 Securities owned by United States ^ and proprietary interest in Government ,

corporations and other business-type activities 46 Monetary developments 47 Foreign Funds Control activities 53 Taxation developments 55 Special procurement activities 62 Estimates of receipts 63 Estimates of expenditures 70

ADMINISTRATIVE REPORTS OF BUREAUS, DIVISIONS, ETC. Comptroller of Currency, Bureau of 73 Contract Settlement 75 Customs, Bureau of . 76 Engraving and Printing, Bureau of 81 Federal Supply, Bureau of 83 Fiscal Service 89 Foreign Funds Control (Office of International Finance) 123 Internal Revenue, Bureau of 124 Legal Division 127

Tax Legislative Counsel__ . . 128 Mint, Bureau of 129 Monetary Research, Division of (Office of International Finance) 132 Narcotics, Bureau of " 132 Personnel, Division of - . 134 Practice, Committee on__ . 134 Research and Statistics, Division of (Office of Technical Staff) 135 Tax Research, Division of _^_ _ 136 U. S. Coast Guard 136 U. S. Savings Bonds Division 1 '_ 1 141 U. S. Secret Service - . . - 142

EXHIBITS PUBLIC DEBT

Issues and redemptions of Treasury certificates of indebtedness, and call for redemption of Treasury bond issue

1. Offering and allotments of Series G-1947 certificates._. . ' 147 2. Offering and allotments of Series H-1947 certificates 148 3. Offering and allotments of Series J-l947 certificates 150 4. Offering and allotments of Series K-1947 certificates :__ 151 5. Offering and allotments of Series L-1947 certificates 152 6. Offering and allotments of Series A-l948 certificates 153 7. Offering and allotments of Series B-1948 certificates_ 154 8. Offering and allotments of Series C-1948 certificates :. . 155 9. Offering and allotments of Series D-1948 certificates_____i ___- 156

10. Offering and aUotments of Series E-1948 certificates 157 11. Offering and allotments of Series 1^^1948 certificates 158 12. Call for redemption of Treasury bbnds of 1947-52. -- 15ft

m



IV CONTENTS

Treasury bills Pago

13. statement on reduction in offering of bills 159 14. Announcement concerning exchange of maturing bills 160 15. Inviting tenders for bills dated May 1, 1947 160 16. Acceptance of tenders for bills dated May 1, 1947 161 17. Summary of bill information contained in releases ^ 162 18. Amendments to circular relating to bills : 164

Miscellaneous 19. Regulations governing armed forces leave bonds j _ 165 20. Amendment in connection with redemption of savings bonds 169 21. Statement on interest rate policy of Government 169 22. Act to amend Public Debt Act of 1941 170 23. Amendment to circular relating to Series C savings notes 170,

SECURITIES GUARANTEED BY THE UNITED STATES

24. Partial redemption of housing insurance fund debentures 171 25. Partial redemption of mutual mortgage insurance fund debentures___ 173 26. Partial redemption of war housing insurance fund debentures. Series G. 175 27. Partial redemption of war housing insurance fund debentures. Series H . 178

MONETARY DEVELOPMENTS

28. Report ofthe National Advisory Council, October 31, 1946 180 29. Report ofthe National Advisory Council, March 31, 1947 186 30. Announcement, May 13, 1947, of stabilization agreement between

United States and Mexico . 216 31. Joint statement, July 18, 1947, by Secretary of Treasury and Board of

Governors of Federal Reserve System on foreign speculative markets in gold . 217.

TAXATION DEVELOPMENTS

32. Statement of Secretary of Treasury before House Ways and Means Committee, March 13, 1947, on H. R. 1 _. 217

33. Statement of Secretary of Treasury before Senate Finance Committee, April 22, 1947, on H. R. 1___ . 224

34. Statement of Secretary of Treasury before House Ways and Means Committee, May 19, 1947, on comprehensive study of tax system__ 237

35. Message from President, June 16, 1947, returning without approval H. R. 1 - 244

36. Message from President, July 18, 1947, returning without approval H. R. 3950 246

ORGANIZATION AND PROCEDURE

37. Executive Order 9801, November 9, 1946, removing wage and salary controls . . 248

38. Portions of Executive Order 9809, December 12, 1946, transferring to Treasury Department certain functions relating to contract settle-ments and wage stabilization 248

39. Portion of President's Reorganization Plan No. 1 of 1947 relating to contract settlement and National Prohibition Act functions 249

40. Establishment of Treasury Department Committee on Awards 250 41. Treasury Department orders relating to organization and procedure.. 250

MISCELLANEOUS

42. Proclamation, April 7, 1947, amending proclamations of March 6 and 9, 1933.. . _. . ._ 258

43. Transfer to Treasury of excess earnings of Federal Reserve Banks..~_. 259 44. Act to amend Federal Reserve Act__.__ 260 45. Letter of Postmaster General certifying extraordinary expenditures

contributing to deficiencies in postal revenues 261



CONTENTS V

TABLES Page

Explanation of bases used in tables 265 Description of accounts through which Treasury operations are effected. _ 266

RECEIPTS AND EXPENDITURES

Summary tables on receipts and expenditures 1. Receipts and expenditures, 1932-47 . . -___ _. 268 2. Receipts and expenditures, 1789-1947 . . 272

Detailed tables on receipts and expenditures 3. Classification of receipts, 1946 and 1947 .. 278 4. Classification of expenditures, 1946 and 1947 284 5. Budget receipts by major sources, 1941-47 . 304 6. Budget expenditures by major purposes, 1941-47 306

Other receipts and expenditures tables 7. Detailed internal revenue collections, 1946 and 1947 308 8. Internal revenue collections by sources, 1916-47 310 9. Internal revenue collections by States, 1947.. 316

10. Receipts and expenditures of social security program, 1936-47 318 11. Panama Canal receipts and expenditures, 1903-47 320 12. Postal receipts and expenditures, 1911-47 321. 13. Selected receipts and expenditures, 1789-1947 . 322 14. Expenses of Internal Revenue Service, 1947 ;__ 323 15. Customs collections and refunds, 1946 and 1947.. : . 328

NATIONAL DEFENSE AND RELATED ACTIVITIES

16. Appropriations and net contract authorizations, June 30, 1947., 329 17. Appropriations, contract authorizations, and expenditures, 1941-47 330 18. Expenditures by department and agencies, 1941-47^ 332

PUBLIC DEBT, GUARANTEED OBLIGATIONS, AND CONTINGENT LIABILITIES

Public debt, guaranteed obligations, and contingent liabilities outstanding

19. Public debt and guaranteed obligations outstanding June 30, 1947 333^ 20. Description of pubfic debt issues outstanding June 30, 1947. . 335 21. Description of guaranteed obligations outstanding June 30, 1947.. 352 22. Description of contingent liabilities outstanding June 30, 1947 354 23. Principal of pubhc debt outstandihg June 30, 1853-1947 . 355 24. Public debt and guaranteed obligations outstanding June 30, 1934-47. 356 25. Pubhc debt outstanding by classes, June 30,1937-47 . 357 26. Guaranteed obhgations outstanding by agencies, June 30, 1937-47 359 27. Contingent liabilities outstanding June 30, 1937-47 360 28. Composition ofpublic debt, 1916-47 _.._ . 361 29. Classification by type and maturity of interest-bearing public debt

and guaranteed obligations, June 30, 1946 and 1947 ._ 362

Operations in public debt and guaranteed obligations 30. Pubhc debt receipts and expenditures, 1946 and 1947.- , 364 31. Changes in pubhc debt by issues, 1947 372 32. Issues, maturities, redemptions of pubhc debt securities, 1947 386 33. Public debt changes and balances in General Fund, 1916-47____ 399 34. Statutory debt retirements, 1918-47 ___._._____.- 400 35. Transactions on account of cumulative.sinking fund, 1947 401 36. Cumulative sinking fund, 1921-47 ._ . ._ 401 37. Guaranteed obhgations matured or called, and redeemed, 1947 402



VI ^ CONTENTS

United States savings bonds and stamps and Treasury tax and savings notes

N Page 38. Analysis of sales and redemptions of savings bonds by series, 1935-47. 403 3^ 9.f Sales and redemptions of savings bonds by series, 1935-47 404 40.~^Sales of E, F, and G bonds by denominations, 1941-47 408 41. Redemptions of E, F, and G bonds by denominations, 1941-47. 410 42. Sales and redemptions "of savings bonds by States, 1941-47 411 43. Percent of savings bonds sold in each year redeemed each year there-

after 412 44. Sales and redemptions of savings stamps, 1941-47__. 416 45. Sales of savings stamps by denominations, 1941-47 416 46. Sales and redemptions of tax and savings notes by series, 1942-47 417

Interest on the public debt and guaranteed obligations 47. Interest on public debt, payable, paid, and unpaid, 1947 419 48. Interest paid on public debt by issues, 1945-47 419 49. Interest-bearing debt outstanding, computed annual interest charge,

and computed rate of interest, 1916-47 423 50. Interest paid on public debt and guaranteed obligations, 1913-47 424

Miscellaneous 51. Average yield on long-term Treasury bonds, 1930-47 . 426 52. Prices and yields of securities, June 30, 1946 and 1947 427

CONDITION OF THE TREASURY EXCLUSIVE OF PUBUC DEBT LIABILITIES

53. Assets and liabilities of Treasury, June 30, 1946 and 1947___-___ 430 ,54. Balance in General Fund, 1946 and 1947 431 55. Assets and liabilities of exchange stabilization fund, June 30, 1946 and

1947 - . : 432 56. Securities owned by Government, June 30, 1947 434 57. Securities owned by Governmentchanges during 1947 436 58. Indebtedness of foreign governments to United States, Nov. 15, 1947__ 439 59. Indebtedness of foreign governments to United States, Nov. 15, 1928-

47 : 440 TRUST AND SPECIAL FUNDS FOR WHICH INVESTMENTS ARE MADE BY THE

TREASURY DEPARTMENT

60. Adjusted service certificate fund 441 61. Ainsworth Library fund, Walter Reed General Hospital 441 62. Alaska Railroad retirement and disability fund '. 442 63. Canal Zone retirement and disability fund . 443 64. Civil service retirement and disability fund . 444 65. District of Columbia teachers' retirement and annuity fund 445 66. District of Columbia water fund. . 445 67. Assets held by Treasury under Workmen's Compensation Act, within

the District of Columbia '___ _._ 446 68. Federal old-age and survivors insurance trust fund 446 69. Railroad ret^iremeht account.. 448 70. 'Unemployment trust fund 449 71. Foreign service retirement and disability fund 452 72. Library of Congress trust fund ^ : 453 73. Assets held by Treasury under Longshoremen's and Harbor Workers'

Compensation Act 455 74. National Archives gift fund 455 75. National Cancer Institute gift fund 456 76. National Institute of Health glftfund. 457 77. National park trust fund 458 78. National service life insurance fund 459 79. Pershing HaU Memorial fund . 460 80. United States Government life insurance fund 460 81. United States Naval Academy general gift fund 461



CONTENTS VII

CORPORATIONS AND CERTAIN OTHER BUSINESS-TYPE> ACTIVITIES OF THE GOVERNMENT

Page 82. Combined net investment of United States with respect to corporations

and other business-type activities, June 30, 1939-47...__- 462 83. Balance sheets of corporations and other business-type activities, June

30, 1947 . 464 84. Income and expense of corporations and other business-type activities.. 468 85. Sources and application of funds of corporations and other business-

type activities ^ . ^ . 472 86. Borrowing power and outstanding issues of corporations and other

; business-type activities, June 30, 1947 : 476

STOCK AND CIRCULATION OF MONEY IN THE UNITED STATES

87. Stock of money, money in Treasury, Federal Reserve Banks, and circulation by kinds, June 30, 1947 477

88. Stock of money, money in Treasury, Federal Reserve Banks, and circulation, June 30, 1860-1947 478

89. Stock of money by kinds, June 30, 1860-1947 482 90. Money in circulation by kinds, June 30, 1860-1947 485

CUSTOMS STATISTICS

91. Customs collections and payments by districts, 1947 488 92. Value of dutiable imports and amounts of duties collected at various

rates, 1938-47 489 93. Values of dutiable and taxable imports for consumption and estimated

duties and taxes collected by tariff schedules, 1946 and 1947 490 94. Estimated customs duties, value of imports entered for consumption,

and ratio of duties to value of dutiable imports and to value of all imports, 1937-47 491

95. Estimated customs duties, value of dutiable imports, and ratio of estimated duties to value of dutiable imports by tariff schedules, 1937-47 . 492

96. Value of dutiable imports for consumption and estimated duties col-' lected by countries,. 1946 and 1947 496 '

97. Number of entries of merchandise, 1946 and 1947 497 98. Number of vehicles and persons entering United States, 1946 and

1947 : 497 99. Number of airplanes and passengers entering United States, 1946 and

1947 498 100. Drawback transactions, 1946 and 1947 498 101. Principal commodities on which drawback was paid, 1946 and 1947__ 499 102. Seizures for violations, 1946 and 1947 499 103. Seizures for violations classified by agencies participating, 1947 500 104. Investigative and patrol activities, 1946 and 1947_ i 500 105. Summary of customs collections and expenditures, 1947_ 501

MISCELLANEOUS

106. Expenditures for Federal aid to States, individuals, etc., 1920-47 502 107. Expenditures for direct payments to States and expenditures within

States, 1947 507 108. Awards of Mixed Claims Commission, amount paid, and balance due,

Sept. 30, 1947 515 109. Status of war contract settlement program, June 30, 1947 517 110. Federal fiscal activities and relationship to Nation's financial struc-

ture, 1941-47 - 517



VIII CONTENTS

OWNERSHIP OF GOVERNMENTAL SECURITIES Page

111. Estimated ownership of governmental securities outstanding June 30, 1937-47.. - - 519

112. Estimated distribution of governmental securities outstanding June 30, 1937-47 . _- 520

113. Summary of Treasury survey of ownership of securities issued or guaranteed by Government, June 30, 1946 and 1947^ 522

BUDGET ESTIMATES

114. Budget receipts and expenditures, 1947-49 524 115. Trust account receipts and expenditures, 1947-49 ^ ' ; 528 116. Effect of flnancial operations on public debt, 1947-49 529 Index . . . . _ . - 531



SECRETARIES, UNDER SECRETARIES, AND ASSISTANT SECRETARIES OF THE TREASURY DEPARTMENT FROM MARCH 4, 1933, TO NOVEM-BER 15, 1947,1 AND THE PRESIDENTS UNDER WHOM THEY SERVED

Term of service

From To Official Secretary of the Treasury President

Mar. 4,1933 Jan. 1,1934 July 23,1945 June 25,1946

May 19,1933 Nov. 17,1933 May 2,1934

Jan. 29,1937 Nov. 1,1938 Jan. 18,1940

Mar. 4,1946 Jan. 23,1947

Apr. 18,1933 June 6,1933 June 12,1933 Dec. 1,1934 Feb. 19,1936 July 1,1938 June 23,1939

Jan. 18,1940 Jan. 24,1945

Apr. 15,1946

Mar. 16,1946

Dec. 31,1933 July 22,1945 June 23,1946

Nov. 16,1933 Dec. 31,1933 Feb. 15,1936

Sept. 15,1938 Dec. 31,1939 Dec. 31,1945

Jan. 14,1947

Feb. 15,1936 Sept. 30,1939 Dec. 12,1933 Nov. 1,1937 Feb. 28,1939 Oct. 31,1938 Dec. 2,1945

Nov. 30,1944 May 1,1946

Secretary ofthe Treasury William H. Woodin, New York.... Henry Morgenthau, Jr., New York. Fred M. Vinson, Kentucky.. John W. Snyder, Missom-i...

Under Secretary Dean G. Acheson, Maryland.. Hem-y Morgenthau, Jr., New York. Thomas Jefferson Coolidge, Mas-

sachusetts. Roswell Magill, New York John W. Hanes, North Carolina--. Daniel W. Bell, Illinois .

Woodin Woodin Morgenthau-

0 . Max Gardner, North Carolina.. A. L. M. Wiggins, South Carolina.

Assistant Secretaries Lawrence W. Robert, Jr., Georgia.. Stephen B. Gibbons, New York. . . Thomas Hewes, Coimecticut Josephine Roche, Colorado Wayne C. Taylor, Illinois John W. Hanes, North Carolina-.. Herbert E. Gaston, New York

Morgenthau _ -Morgenthau. _ Morgenthau, Vinson.. Vinson, Snyder. Snyder

John L. Sullivan, New Hampshire. Harry D. White, Maryland

Woodin, Morgenthau-Woodin, Morgenthau. Woodin -Morgenthau -.'.. Morgenthau--Morgenthau. _ Morgenthau, Vinson..

Morgenthau Morgenthau, Vinson..

Edward H. Foley, Jr., New York.. Fiscal Assistant Secretary

Edward F. Bartelt, Illinois

Vinson, Snyder:

Morgenthau, Vinson, Snyder.


Truman. Truman. Truman,

Roosevelt. Roosevelt. Roosevelt.

Roosevelt. Roosevelt. Roosevelt,

Truman. Truman. Truman.

Roosevelt. Roosevelt. Roosevelt. Roosevelt. Roosevelt. Roosevelt. Roosevelt,

Truman* Roosevelt. Roosevelt,

Truman. Truman.

Roosevelt; Truman.

1 For officials since 1789 see annual report for 1932, pp. xvii to xxi, and corresponding table in annual report for 1933. . ^




OFFICE OF THE SECRETARY

JohnW. Snyder.. Secretary of the Treasury. A. L. M. Wiggins ...". Under Secretary of the Treasury.

John S. Graham Assistant to the Under Secretary. Edward H. Foley, Jr - Assistant Secretary of the Treasury.

B. E. L. Timmons, III - - - . Assistant to the Assistant Secretary. Vacant - Assistant Secretary of the Treasury. Thomas J. Lynch. - Acting General Counsel. Edward F. Bartelt --- Fiscal Assistant Secretary of the Treasury.

William T. Heffelfinger -_- Assistant to the Fiscal Assistant Secretary. Edward D. Batchelder - Technical Assistant to the Fiscal Assistant Secretary. Martin L. Moore Technical Assistant to the Fiscal Assistant Secretary. Frank F. Dietrich - Technical Assistant to the Fiscal Assistant Secretary. Walter F . Frese .- Head, Fiscal Service Operations and Methods Staff.

Andrew N. Overby-.. - . . - Special Assistant to the Secretary. Vernon L. Clark -- Assistant to the Secretary. Arthur Gardner Assistant to the Secretary. William W. Parsons : Administrative Assistant to the Secretary.

Paul McDonald Director of Administrative Services. Denzil A. Right _ Superintendent', Division of Treasury Buildings. Edward E. Berney . . - - Chief, Division of Treasury Space Control. Vacant... Chief, Division of Office Services.

Willard L. Johnson.- . Budget Officer. George H. Jones Assistant Budget Officer.

James H. Hard, II Director of Personnel. Joseph A. Jordan .' - . . Assistant Director of Personnel.

Malachi L. Harney -- - Acting Chief Coordinator, Treasury Enforcement Agencies. Charles P. Shaefier Director of Public Relations.

OFFICE OF THE GENERAL COUNSEL

Thomas J. Lynch Acting General Counsel. Joseph B. Friedman - - - Assistant General Counsel. Norman 0 . Tietjens - Assistant General Counsel. Stephen J. Spingarn Assistant General Counsel. Adrian W. DeWind Tax Legislative Counsel. Frederick C. Lusk -- Assistant Tax Legislative Counsel. Vance N . Kirbyl - Assistant Tax Legislative Counsel. James H. Mann _ -_. - Assistant to the General Counsel. George Bronz Special Assistant to the General Counsel. Lawrence Linv ille - Special Assistan t to the G eneral C ounsel. Kenneth S. Harrison Chief Counsel, U. S. Coast Guard. ^^ Elting Arnold. Chief Counsel, Foreign Funds Control.

John F. Anderson Chief Counsel, Officeof the Comptroller of the Currency. Robert Chambers. Chief Counsel, Bureau of Customs. Charles Oliphant - Chief Counsel, Bureau of Internal Revenue. Alfred L. Tennyson.. Chief Counsel, Bureau of Narcotics. Theodore W. Cumiingham Chief Counsel, Bureau of Public Debt. . Philip Nichols, Jr - Chief Counsel, Bureau of Federal Supply.

OFFICE OF THE TECHNICAL STAFF

George C. Haas - Director of the Technical Staff. Henry C. Murphy -._-. Assistant JDirectoi;. AIF . O'Donnell J -. - .- Assistant Director. Russell R. Reagh Assistant Director (Government Actuary). Sidney O. Tickton Assistant Director. Anna M. Michener Assistant to the Director. William M. Weir.. . Administrative Assistant to the Director. Isabella S. Diamond Librarian.

OFFICE OF INTERNATIONAL FINANCE

Frank A. Southard, Jr . . Director, Office of International Finance. Vacant : L Deputy Director. JohnS. Richards. .-- Director of Foreign Funds Control. Lowell M. Pumphrey ------- Special Assistant to the Director. James J. Saxon.- . - . Special Assistant to the Director. Chester L. Callander: Executive Assistant to the Director. Mary C. Hall Administrative Assistant to the Diiector.

DIVISION OF TAX RESEARCH

Louis Shere -- - Associate Director pf Tax Research (Acting Director). Marius Farioletti ^ Assistant Director.' F . Newell Campbell - Assistant Director. L. Laszlo Ecker-Racz..- Assistant Director.



PRINCIPAL ADMINISTRATIVE AND STAFF OFFICERS XI

U. S. SAVINGS BONDS DIVISION Vernon L. Clark National Director. Laurence M. Olney _ Associate National Director. Louis J. Carow, Jr . . - Assistant National Director (Radio, Press, and Advertising). Harold B. Master Assistant National Director (Special Field Activities). ' Leon J. Markham .__ Assistant National Director (Payroll Savings). Bill McDonald Assistant National Director (Administration).

BUREAU OF ACCOUNTS (IN THE FISCAL SERVICE) Robert W. Maxwell.. .-- ----- Commissioner of Accounts. Gilbert L. Cake - Associate Commissioner. Joseph Greenberg Assistant Commissioner. Harold R. Gearhart Assistant to the Commissioner. Ge

1746_1945-1949

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Transcript of 1746_1945-1949