OCR Text |
Show Saliant Facts About Income Tax Returns Extensive plans for aiding taxpayers tax-payers in filing their Income tax returns re-turns for the year 1 920 nre being made by the bureau of internal revenue. rev-enue. Revenue officers will visit every coUDty in the United Stales to assist in making out the forma. Forms for filing 1920 returns of income will be sent by collectors to persons who last year filed a return. Failure to receive a form, however, doee not relieve a person from his obligation to file a return wilhiu the time prescribed.' Copies are expected expect-ed to be available on or before January Jan-uary 1. The period for filing returns is from January 1 (o March 15, 1921. The tax, this year a last, may be paid in full at the lime oC filing the return or in four installments, tho first of which is due on or before March 15, the second on or before June 15, the third on or before September Sep-tember 15, and tho fourth on or bo-fore bo-fore December 15. Tho first installment install-ment must accompany (bo filing of the return. Persons whose individual net income in-come for 1 920 was $5,000 and les should ask for form 1040:A. Those whoso individual net income was in excess of $5,000 should ask for form 1040. The requirements of the revenue act relating to returns for the year 1920 are the same as those for the year 1919. Every single person whose net income for 1920 was: $1,000 or more and every married person whose net income .was $2,000 or more must file a return, The exemptions', ex-emptions', are $1,000 for single persons per-sons and $2,000 for married persons and heads of families, plus an additional addi-tional exemption of $200 for each person dependent upon the taxpayer for chief support if such person is under IS years of age or incapable of self-support. A single person may claim an exemption of $2,000 as (lis head of a family '.if he, is the solo support of one or mora relatives living liv-ing in the same house with him, and if he exorcises control over household house-hold affairs. The bureau is emphasising this year that the requirement to file a return rests solely upon a person's marital status and the amount of his or her net income for the year 1920. Single persons whose net income was $1,000 or more and married persons whose net income was $2,000 or more must file a return regardless of whether their Incomes are nontaxable non-taxable by reason of their exemptions. exemp-tions. The normal tax rale for 1520 ):- 4 per cent on the firsli $4,000 of net income above the exemption, and S per cent on the remaining net income. in-come. The surtax rate, which j computed without the benefit, of Mm exemption, ranges from 1 per ccnl on the amount of net income between $5,000 and $(i,noo to 5 per rent on the amount of net income in excern of $1,000,000. |