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Show Make Ready for Returns Covering Income Data; Penalties for Delinquents Chicago Tribune Special Service, r- . - AriHINGTON, Dec. 2S. With the ft I "Pfilnff n' tnc new '&ar comes ft(a the first date for the filing of 9 W income tax returns. Heavy penalties are imposed for those who fail to file their returns between January 1 atid March 1Z. The full tax may be paid in full at the time of filing' the return, or, if it is desired to make the payments In four Installments, Install-ments, the first must be paid by March 15, the second by June 1 ", the third by September 15 and the fourth by December Decem-ber 1T. ; The period for which the income tax is assessed is the calendar year of 1919. The ordinary taxpayer will not be obliged to pay quite as much as last year, although the rate still is far greater than pre-war rales. The exemptions of ?1000 for single persons per-sons and for married persons and lieads of families remain the same as ior iHlS The normal rate for 1919 Is 4 per cent on the first $4uO(T of net income above the exemptions and 8 per cent on the remaining net income. Last year the normal rate was 6 and 12 per cent, respectively. Surtax Remains Same Surtax ratios are the same as last year. They start with 1 per cent on the amount of net income Between $5000 and $r,ono and increased by steps of per cent for each Jl'tHJO of net income up to and including -IS per cent on net Income in excess of $P8.000 and not over $100,000. The surtax on $150,000 is 52 per cent; on net Incomes over $150,000 and not over $-00 Oi'O It is 56 per cent; on net Incomes over $-'00,000 and not over $:S0O.O0O It Is 60 per cent; on net Incomes over $300,000 and not over $500,000 it is G3 per cent; on net Incomes over $500,000 and not over $1 000,000 it Is b4 per cent, and on net incomes over $1,000,000 It Is 65 per Ct Besides the exemption of $1000 for single sin-gle persons and $2000 for married, there is an additional exemption of $200 for each dependent under 18 years of age. Kvery person whose income eq unlet! or exreenV' $1000 for single persons or $2000 loi- those who arc married must file j. return, regardless of whether the Income Is large enough to require the payment of the tax. Forms for making returns wiil be available avail-able at offices of collectors of internal revenue and deputy collectors, postoffices and banks. What Is known as form 10I0A iy for use of those with incomes of $5000 or less, while form 1040 is for those with larger incomes. Returns Available Soon. Taxpayers must report under grrsy income in-come salaries, including bonuses, Interest received on notes and from bank deposits, dividends or stocks; profits from the rale of property, profits from -stock market transactions. Income from fiduciaries, partnership profits and royalties from mines, oil wells, patents, copyrights and franchises. Items which are not taxable and need not be Included In the return are property received by gift or inheritance, proceeds of life insurance policies, returns of premiums pre-miums on life insurance, endowments or annuity contracts, amounts received through accident or health Insurance or under workmen's compensation acts, interest in-terest on obligations of any state or any city, town, county or village, interest oh Liberty bonds to the par value of $5000, interest on securities Issued under the federal farm loan act, and amounts received re-ceived during the war by persons In the active military or naval forces up to $3500 in addition to personal exemption. As to Deductions. Deduction from gross Income in determining deter-mining Income includes all business expenses ex-penses ln the conduct of a business, trade or profession, and a reasonable allowance Is made for depreciation of business property. prop-erty. Contributions or gifts to charitable, religious re-ligious or educational societies may be deducted to an amount not exceeding 15 per cent of the taxpayer's income. The rates for the current year are to be 4 per cent on the first $4000 of net income above the exemption, which is $2000 for married persons and $200 for each child, and $1000 for single persons, per-sons, and 8 per cent on the net income in excess of $4000, minus the exemptions. The rates paid on the 101S Income were 6 per cent and 12 per cent, respectively. Surtaxes remain the same as last year. 5 |