$25 MILLION TAX BREAK ON DRUGS LIKELY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75-00001R000100390037-5
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 1
• Document Creation Date: November 11, 2016
• Document Release Date: January 29, 1999
• Sequence Number: 37
• Publication Date: December 19, 1962
• Content Type: NSPR

wwwr ~ DEC 1 9 1962
fl hIAH16ah ';edi proved For Release :
Drt,4,ys Likely
Th Kennedy admrristration isconsidering givin
drug nufacturers-including Eli Lilly &Co., an
Pitman-Moore of Indianapolis-~x d -
duc Ion on medicines donated for
prftVrrl`som, Waslinton sources said today.
$25 Million
?ax Break on
(valued in dollars at5who'lesale rates) and Pitmal -
Moore is providing $250,000 worth. I
Five trucks? of Terminal
Transport Co., Indianapolis,
left Miles Laboratories, Inc.,
Elkhart, early this morning
with a medical and nutritional
cargo valued in excess of $1
million - the contribution of
Miles.ard affiliates. The cargo
.is bound for Port Everglades,
Fla.
They and o t h e r drug
mant"~hhaurers - virtually thl
entife ?Xinerican industry -
are 1datributing drugs to
the American Red Cross for
u e,'( pieeting the $62 million
staCte shipments Monday ttoti"'fi "m1suecesstully son ht
after n tram rn.e ttienLucicy they called ransom.
Avedie plant. Pitman-Moore , Previously the a4inmis1a
A Lilly statement ycsterd ty
said the firm y,as co-operati g
with the Red cross "becaL se
it had been .nphasized by .. .
government officials- that c-
lease of the prisoners is of
paramount importance to ie,
long-range interest of ie
American people."
TAX MONEY
USE IS TICKLISH'
Administration sources id
that if the $25 million de c-
tion is granted the industry it
would be based on the wh le-
sale value of $52 million in
drugs at retail.
The tax deduction prop say
was worked out within the d,,
ministration after key in m-,
burs of Congress had mad it
clear they would not go al mg
with the direct use of fed ral
NiS
GIFT PLA
The first shipment of Lit
''~~..,, CIF. v!l oft h? t, ,r4 vcsfpr(hv
FOIAb3b
CPYRGHT
IELPED
lfts were worked out
.,.. Appropriations Committees to
gul, up IV -L~Q
g ver{ulient officials, the first able li ence av u
n
which Sanftit~ arApbrbVi6'F6-> Wg&i (IA-RDP75-00001 R000100390037-5
lowed to deduct for tax pur-
poses for philanthropy.
'tax deductions at that time, tration quarters that the t x
Washington sources said. 1deduction proposal awa is fi
It could he presumed, how- final, official approval.
ever, that drug manufacturers Among other things, a ruli g
might include the contribu. will be required by the Int r-
tions in the 5?ya of income nal Revenue Service that t e
of.. the meetings being he'd g