Show FRAUD FOUND IN II I INCOME RETURNS I Department Adds to Revenue Reve Reve- nue by Prosecutions WASHINGTON Jul July 16 16 Approximately twenty million dollars was wa added to the governments government's revenues during the fiscal year ear just ended through recoveries from false and fraudulent Income tax returns return Commissioner Com Corn missioner loner Blair announced toda today Indictments Indictment have been returned I during the year car in every even section of oC tho thoU tho country countr he said and many Jail jai sentences havo have been Imposed ranging ranging rang rang- ing ing- from sixty 1 days 1 to a year ear In addition to the fines and penalties which were ere also assessed Fraud upon the revenue by wa way of oC filing fing false falO and fraudulent tax returns appears in man many unique ways Mr lr Blair said Somo Some taxpayers taxpayers tax tax- payers are arc extremely crudo in their tax tax-I methods and reduce their taxes b by merely omitting large Irge Items of oC Income from their returns Thus in one oia ono in- in stanco a n prominent merchant in one ona I of ot our larger cities owned and cites op operated operated operated op- op two stores For three years straight he omitted entirely from his I returns the tho Income of one of ot the stor stores sIn s. s I In another instance a prominent man rec received approximately one half i his Income as ns saint salar salary from a n corporation corpora corpora- tion ton of ot which he was president and II of ot which corporation ho he owned practically I all al the stock The Tho corporation took this salary as a Cl deduction and anda a necessary expense tho the man himself himself himself him him- self entirely omitted to report this salar salary never thinking that the tho corporations corporation's cor cor- porton's return would be checked against his individual return Manipulations of Inventory Inventor are not Infrequently found and these can always be checked accurate accurately by the examiners and no business of oC any size can keep accurate books hooks and at atthe I tho the same time manipulate tories I |