Gold Hill daily news. [volume] (Gold Hill, N.T. [Nev.]) 1863-1882, 1866-08-29
ABSTRACT OF THE ANNUAL INCOME TAX
1NNUAL Moon TAX.

Having been requested to prepare an aoslrac'
NJ what ia REQUIRED by law In reference 10 sno :.
coma Tax, and Of tho decisions by the Depai..
mept at Washington upon various quesuons .da
have arisen, we present the WHOM suUJoe'' """
its several distinct heads; a
sr,rrMrsr SHOULD BE hADE-wHERE, WHEN
AND BY WHOM.
1 The law requires every person Oh laniai HSo,
-ssidinr in the United States. to render 10 INC
Assistant Assessor Of the suo-distr-etin mpien Nv
nnshn msy ba residing on the LIST day of Nays
o-i.,.n ctatement, according to u prescribed
go ~ the amount Of his or her income, gains
~ nrot,ts during the previous year, from jan
nary LIST 10 December 3lst, Doih Gays ihciusiye'
A printed blank containing this form can DC 3D.
ta;psd from the Assistant Assessor. A person
having NO Axed residence, should make a state
ment Wherever he or she may happen to Dc; and.
i'm case of removal to another district, snoulu take
a certified copy Of such statement 10 snow any
other Assistant Assessor, who other"ise might
make q second assessment
0 Tbe statement must DO rendered on or be.
fore tho LIST day Of May, or within ten days after
a written or printed notice requiring 1t, has been
left AT the place Of residence or OF business, or de-
posIted In the pearest Post Office.
3. The annual income tax Is u personal TAX
and 1t cannot be assessed against any corporation,
company, or partnership, IN such. Every ind.
yidual membe must mako q statement OF his or
her share of or interest In the gains and profits OF
such company, etc, whether such gains and
DTOuLh VT ulNluCu VI uOtI uhu hus eAhN etFS
separately his or her income from all other
sources.
EVILS OF NEGLECT 70 MAKE OUT OR VERIFY
STATEMENTS.
s. II any person neglects or refuses to render u
written statement the Assistant Assessor IL re.
auested TO Ill out a blank with such persons
name, and taxable income estimated according to
the best information that can be obtained, and
upon this estimated income to assess the tax, and
then TO add 25 per cent, TO such tax AZ u penalty
for neglect or refusal.
& An Assistant Assessor may be misled In
making this estimate, by being misinforned AZ to
money received, or not informed as to money
paid. He must assess, however, according 10 the
best Information within his reach. The only per.
son capable of giving absolutely correct informa'
ton IL frequently the one who refuses or neglects
10 make q statement. II such person will not
take the trouble to inform the Assistant Assessor,
there IL "a bar to all complaint, should the assess.
ment prove incorrect, and n heavier tax be levied
than would otherwise be charged. Moreover
after m assessment has once been made, IL erro
neOus, II IL always troublesome to tho party In.
terested to have II corrected. AL persons, there.
fore, but especially such as haze no tdrabe income,
should not fail to render the required statement,
upon the proper blank, no An TO avoid undue tax
alton and ~troublef
4. Every statement must be verified by oath or
| affirmation. When this is not done, the Assistant
Assessor is required to estimate the income and
TO add 25 per cent. TO TO the tax
EVILS OF MAKING A FALSE STATEMENT.
9. An Assistant Assessor has power 10. ~ineredse
the amount In any statement, after giving due
information to the party interested. He IN re-
auircd, also, to add 100 per cent. to the tax when
n false statement has been rendered ; and the
party making the false statement becomes liable,
not only for this additional tax, but likewise to
two distinct prosecutions before the United States
Courts-one for making u falae statement with In
tent to deiraud the Government, and the other
for perjury.
MANNER OF MAKING UP STATEMENT OF IScoME.
By the 18th section Of the law, the Commits.
| sloner of Internal Revenue IL empowered to pre-
| scribe the form and manner in which the state.
| ment Of Income must be made up. This he has
done In u printed blank used by the Assistant Az
SCISSOR, and In various circulars and rulings. The
following Ia n summary Of what has been pre-
scribed:
/, Each Of the great classes into which the pur.
suits Of life and the investments of capital have
been divided must be returned separately losses
In one not being allowed to offsst gains In another.
Thus u merchant who engages In farming or In
spcculatIons not belonging TO his legitimate busi-
ness cannot Offset gains In tho one by losses In
the other.
. The expenses Incident TO each business re
deductible from the receipts Of that business.
3. Speculations i~s9itimaidy belonging to any
business, and these alone, may be carried into It's
profit and loss account. Thus "a broker may spec
ulate In stocks, a dry goods merchant In cotton, u
hardware man In Iron, etc. and such speculation
may affect the gain and loss Of such legitimate
business. A merchant also may make or lose by
exchange or the kind of money paid for his mer.
chandlse, and this gain or loss belongs TO his mor.
chnndIsc account. But II he buys gold, uncurrent
money, United States Treasury notes. or any
other thing not one tthe articles OF trade belong,
ing TO his regular business TOT 'he purpose i
speculation, the proht or loss rom such speeulh.
ton whine De MIoweu 20 ahecl tue PLDna Ut sos s
nlaced $40 600 In the hands of q New York bro.
ker, instructing MIN 10 use IL IN the purchase anu
sale OF gold, on their account; ana having Iost
$4,000 In this venture. tney CLAIMED tnht u
should be deducted from tneir pronts III ousiheSs;
Commissioner Lewis dlssilowed tns elaiin, ana
SAID tho uhVorm luinB . Deen 'nn. ~ -
loss Is made IN any particular business, asnns'
when mere are no Brns = onsy', " - n.N!
cred q dedd to's y eHpIat nUes'u 70 'aat o"s
nes. Agnn, IoSs OF saPnai aano. oe y,
duc'eu rom ihcome, Ne'u'" '"e'"s "u'
DO mace on INC 4aIh..
=. HOW iar ulneIens kihuso Du u .he s1 ~ ~
reinrnea ssparaleiy ~ S Po,,In. W u ''0''"i"S
ruinSso nnnO - ..
al-"Loss incurred In the prosecution Oh one
KIND oil business ehnnoh &c aeaucteu rom gun III
business OF an Shttrety Wnen1e''ae'' U D
saifIy, ngn,s, ncrrrsJ IN IN. nrosecr,,or NJ on.
- - bns,nssS cannot be deducted from cain
~ nnn,S.r since an absolute loss incurred in the
~ aNsnian 81 a .incIo hnsIn.s. i. jndjsnensnhIv
Ioss ~ c%anitn"
D "ToSs.. 4, merchandise can he deducted
g. naIn. IN msrchand,se. I'M, In tbIs case
onty y nn,has - r,.rcbordisa ned not bo
parueuinI orsn' ny y ,h" inss or coIn
sePaia.eu. a., 10 ~ ,aJn from nrofnra
from sa'sS' %ay 'n'' . Vi "
'PreNy u '"SI, NINA, mota rs,rrn NJ THAR
.herenants must maSo te.uIn y, .nen
profits from merchandlse without regard olmeir
losses In speculation OF gains rom interest," dlN'
dends' rents OF any otner source.
o. Losses IN speeuIa'Ion e"iho' = ueuuS,eu
from salaries, nor from gains In merchandise;
When losses are sustained IN one speculation and
gains made In another speculation, such losses
may be deducted from such gains Losses ID one
branch OF merchandise may De ueduetea from
gains In any other orancn OF meichandise
Where stocks, etc, are bought asa per-
manent Investment, and sold again merely to
change the Investment, a loss sustained IN the
sale may be deducted from the dividends from
such stock. But where the purchase Is made for
the purpose OF selling again on speculation, the
loss sustained 6y the sale cannot DC deducied
rom dividends, out may DC dedueted rom gains
yScowH pRos Rysrs OF BUILDINGS.