Full text of District Notices (Federal Reserve Bank of Dallas) : Special Handling of Tax Payments

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FEDERAL RESERVE BANK OF DALLAS
F IS C A L A G E N T O F T H E U N IT E D ST A T E S

Dallas, Texas, November 20, 1962

SPECIAL HANDLING OF TAX PAYMENTS

To All Treasury Tax and Loan Depositaries
in the Eleventh Federal Reserve District:

The Treasury D epartm ent has announced th at the procedure customarily in effect during periods
of heavy tax payments, with respect to the special handling of large paym ents of income taxes, will be
effective for the December 1962 corporation income tax collections. This arrangem ent will be applicable
only to the extent of 50% of the amount of checks of $10,000 or more, representing paym ents of
corporation income taxes.
During the period from December 3, 1962, through December 31, 1962, (1 ) Directors of Internal
Revenue will make special deposits with the Federal Reserve banks of checks representing tax rem ittances
of $10,000 or over covering paym ents of corporation income taxes, (2 ) Federal Reserve banks will prepare
daily a “Special D raft for Credit in Treasury Tax and Loan Account” in an am ount not to exceed 50%
of the aggregate am ount of such checks drawn on each Special Depositary, and (3 ) in accordance with
conditions set forth on the face of the special drafts, Special Depositaries m ay exercise their options to
accept for deposit in their Treasury Tax and Loan Accounts funds in amounts equal to the amounts of
the special drafts.
The Treasury D epartm ent has indicated th at it m ay be necessary to either increase or decrease the
percentage amount of such checks for credit in the Treasury Tax and Loan Account from tim e to time
during the period, if such action is required, to prevent undue fluctuations in the account of the Treasurer
of the United States with Federal Reserve banks.
No distinction will be made between these special credits and other credits to T reasury Tax and
Loan Accounts. W ithdrawals of balances in Treasury Tax and Loan Accounts will be made as required
by the needs of the Treasury.
Additional copies of this circular will be furnished upon request.

Yours very truly,
W atrous H. Irons
President

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