St. Mary's gazette., 1863-10-15

poratiuns. made up dusllg the year 1862.
and mot distributed. should not be return
ed us part of the income of stock
!. Undistributed earnings Of corporation.
made, previous to September 4. 1862.
Yheiher the corporation Is required to pay
Max 2n dividends or not, is not consid-
tked ID THE income of the stockholders,
nor is the eorporasion rsSsuired to make
return Of the reserved earnings as trustees,
under section 93 of the excise law.
- Fhs'- inco,nes Of literary. scientific. or
other charitable institutions, in the hanIs
of trustees or otheis, are not subject to
income tax.
When person boards, or rents a room
or rooms, the rent thereof, in lien of the
rent Of house. is deducted from the
amount of income subject to taxation.
Losses sustained iu business since Dec.
81, 1862. will not enter into the income
assessment for 1862.
Interest on borrowed capital used in
business may be deducted from income.
If a planter returns all his farm pro-
ducts. he will be allowed to deduct the
actual expense Of subsisting and clothing
his slaves.
Lrgaiees arc rot required to return their
legacics as inceme. The income tax 10
assessed upon the actual income of indiyid-
uals.
Firms, rs such, viii not make returns.
The profits Of manufacturer from his
business are not exempt from the income
tax in consequence of bis having paid tho
excise tax imposed by law upon articles
manufactured by him.
As bridge. express, telegraph. steam
aud fcrry-boat companies or corporations
are not authorized by Law to withhold aud
pay to the government any tax upon in
tcrest paid or dividends declared BY them,
all income Of individuals derived from
these sources is liable to the iLcomc tax.
All persons ncglecting or refusing to
make return Of income. except in cases Of
sickness. are brought within the penalties
prescribed by the eleventh section of the
act Of July |, 1862. viz: an addition of SO
per ccat to the amount asccrtained by the
assistant assessor, upon such information
as lie can obtain, and the penalty of 800.
to be recovered for the United States with
costs tf suit.
by the following it will be seen that
taxpayers are not required to give the as
SCISSORS OF internal revenue detailed state
mcnt OF their Investments They are SIM
ply required to make up the totals" aud
return them. The circular is as follows:
Trca"ry Department., Office Internal Rer.f
Washington, May 10.
Assessors and assistant assessors will
take notice that the specific statement Of
tue several subjects Of tax. on the second
and third pages of Form No. a, are in
tended merely for the convenience of tho
taxpayer, with view to facilitate the as
certHiument BY him of the tax which he in
liable to pay. 1t is not regarded 90 part
of the return TO be made by him. nor must
it be exhibited to the inspection of any
one. The income aud rate of tax being
asccrt; ined by the payer, in the mode
indicated. or any other proposed by him.
and equally likely 10 result in true state
ncnt "f INCOME subject to tax. the return
may be made in gross. as indicated on
page four.
This office does not propose TO inqnirc
int" the kind or number of any mans iu-
vestmnts
In distributing Form No. q for use
this explanation should accompany the
distribution.
JosErn j. LEWIS, Commissioner.