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eu OF Ura, tol MO 10 . 2010-108 ( a om”. aT Re? ETON GLA GEM AEG NO 77 Taolson UNIFED STATES GOVERNMENT ee Mohr mR >. to coe : DeLoach Memorandum i Felt = ro Mr, Callahan ~~ DATE: 12-18-64 Rowen Sullivan _. FROM Cc. R. Davidson'/ O ae — N to i i ; ' Gandy SUBJECT: INQUIRY RE DIRECTOR'S RETIREMENT ANNUIT PAUL HONEYCUTT - INTERNAL REVENUE SERVICE Paul Honeycutt of the Pension-Trust Branch, Internal Revenue Service, telephoned the Bureau 12-17-64 requesting information as to such provision of law as permits the Director to retire with a $30, 000 tax-free annuity. Honeycutt explained to SA W. E, Clark that a letter from a constituent of Senator Mansfield to the Senator requesting clarification of this matter had been referre to Honeycutt for handling. Honeycutt told Clark he did not believe the Civil Service Retirement Act covered the situation and he wished to know what did. Clark told Honeyc he would call him back in this regard 12-18-64. In the meantime, Crime Records Division was handling a similar inquiry from Walter H. Schultz, Chicago, and had prepared a memorandum (copy attached) citing the relevant statutes and an outgoing letter to Schultz 12-18-64 based on these citations, for the signature of Miss Gandy, After checking with Crime Records Division Clark called Honeycutt 12-18-64 and utilized the contents of the Crime Records memorandum, Honeycutt was informed of the 1960 law giving the Director an annuity on retirement equal to his salary at time of retirement; and of the 1964 law which increased the Director's salary from $22,000 to $30,000 a year. Honeycutt's attention was also directed to the fact that Federal employees on retiring do not pay Federal income tax on their annuities until after they have received an amount equal to what they put into the retirement fund, Honeycutt indicated familiarity with this provision. RECOMMENDATION: 7) None, for information and record. u rr ee are 4 Beunhed __ Wisulared a _ KS i BEE BZ es J A net tt cae irme ity WEC%sas,) | (6) Xe 1 - Mr. DeLoach Xo 1 - Mr. Gunsser * ¥ 1-Mr. Row Enclosure neo Ae ep one er mcd