The Daily clarion. [volume] (Jackson, Miss.) 1866-1888, 1866-08-29
LAWS OF THE UNITED STATES,
Passed at the first session OF TIE
THirty-,ainth Congress.
[OrFIcrAL-l
TPUBIIC-No. Ill.
TER TAX LAW.

AN ACT TO reduce internal taxation and 10
amend an act entitled AN act to provide
internal revenue to support the Govern
ment. to pay interest on the public debt,
and for other purposes, approved June
/ 30, 1864, and acts amendatory thereof.
CONTINUED
INCOME
That section one hundred and sixteen be
| be amended by inserting after the words ION
| the excess over five thousand dollars" the
| following: land a like tax shall be be levied,
collected and paid annually upon the gain,
| Orofits and income of every business, trade,
or profession carried en- in the United States
by persons residing without the United
| States, aud citizens thereof
That section one hundred and nineteen be
| amended by striking out all after the enact
/ ing clause, and inserting in lieu thereof the
/ following: That the taxes on incomes herein
! imposed shall be levied on the first day OF
/ Nav. and>be due and payable on or before
! the thirtieth day of June, in each year, until
/ and including the year eighteen hundred
/ and seventy. and no longer; and to any sum
/ or sums annually due and unpaid after the
! thrtieth of June, as aforesaid, and Tor ten
/ DAYS after notice and demand thereof by the
/ collector, there shall be levied, III addition
/ thereto. the sum of ten per centum on the
! amount of duties unpaid, as penalty, eN-
!
/ vent persons
/ That section one hundred and twenty he
/ amended by striking out all after the enact
/ ing clause and inserting IN lieu thereon the
! following: That there shall be levied ana
! collected a tax of five per ccntum on all dI-
/ vidends in scrip or money thereafter de-
| clared due wherever and whenever the same
/ shall be payable. to stockholders, polIcy
/ holders or depOSitors or parties whatsoever,
! including non-residents, whether citizens or
| aliens as part of the earnings income or
/ gains of any bank, trust company, savings
/ institution, and of any fire, marine, llte, ~
/ land insurance company, either stock or lhu-
| tual under whatever name or style known
! or called, in the United States or Territories,
/ whether specially Incorporated or existing
under general laws, and on all undlstrIbuted
| sums or sums made or added during the year
to tl1ir surplus or contingent funds; ana
SSoid hanks, trust companies, savings instl,
tntions Ind insurance companies shall pay
the said TN, and are hereby authorized to
deduct anq WltfhL6id from all payments
made on account of any dividends or sums
of money that may be due and payable as
aforesaid the said tax of five per centrum
And list or return shall be made and rem
dered to the assessor or assistant assessor on
or before the tenth day of the month follow
inc that in which any dividends or sums OF
money become due or payable rs aforesaid
aud said list return shall contain true
and faithful account OF the amount OF taxes
as aforesaid and there shall be annexed
thereto declaration of the president, CASH
Ter or treasurer of the bank, trust company,
savings institution or insurance company,
under oath or affirmation in form and man
ner as may be prescribed by the Commits
sioner of Internal Revenue, that the same
contains true and faithful account OF the
taxes as aforesaid. And for any default IN
the making or rendering of such list or re-
I. H. H.. hs
bank, trust company, savings institution, or
insurance company making such default,
shall forfeit as a penalty the SUM of one thou
sand dollars; and III case OF any default IN
making or rendering said list or return, or
of any default IN the payment OF the tax as
required, or any part thereof, the assessment
and collection OF the tax and penalty shall
be in accordance with the general provisions
of law in other eases OF neglect and refusal
PrOrided, That the tax upon the dividends
of life insurance companies shall not be
deemed due until such dividends are paya-
BILE nor shall the portion of premiums re-
turned 10y mutual life insurance companies
to their policy holders, nor the annual or
semi-lnnual interest allowed or paid to the
depositors in savings banks or savings insti-
tutions, he considered as dividends.
That section one hundred aud twenty-five
be amended by striking out all after the en-
acting clause and inserting in lieu thereof
the following: That any railroad, canal,
turnpike, canal navigation, or slack-Water
company, indebted for any money for which
bonds or other evidence of Indebtedness
have been issued, payable in one or more
years after date, upon which interest Is slip
ulated to be paid, or coupons representing
the interest, OF any such company that may
have declared any dividend in script or
money due payable 10 its stockholders,
including non-residents, whether citizens or
aliens, AS part of the earnings profits, in
come, or gains OF Such company, and all
profits of such company carried to the ac-
count of any fund, or used for constructions
shall be subject to and pay ta& of five per
centum on the amount of all such interest |
or coupons, dividends, or profits, whenever
and wherever the same shall be payable and |
to whatsoever party or person the same may |
he payable, including nOn-residents. whether |
citizens or aliens; and said companies are !
hereby authorized to deduct and withhold |
from all payments on account of any interest !
or coupons, and dividends, due and PAYABLE !
as aforesaid, the tax of five per centum and |
the payment of the amount of said tax so |
deducted from the interest, or coupons. or /
dividends, and certified by the president or |
treasurer of said company shall discharge |
SAID company from that amount of the divi- |
dehd or interest, or coupon on the bonds or |
other evidences of their indebtedness so held |
by any person or party whatever, except |
where SAID companies may have contracted |
OTHERWISE. And u list or return shall be |
made and rendered to the assessor or assist |
,anfs assessor on or before the tenth daV of |
the month folloNing that in which said in |
tefest, coupons, or dividends become due and |
payable. and as often every six months |
and said list or return shah contain a true |
and faithful account of the amount of tax.
ana there shall be annexed thereto decla- /
ratioh-of the president or treasurer of the |
company, under oath or affirmation in form
aud manner as may be prescribed by the |
Commissioners of Internal Revenue that the |
same contains true and faithful account of |
sad tax and for any default in making or
rendering such list or return with the decla-
ratloh annexed, or of the payment of the tax |
as dloreSald, the company making such de- |
1auIt shall forfeit as a penalty the sum of |
one Thousand dollars; and in case of any de-
laulU IN making or rendering said list or re-
turn, or OF the payment of the tax or ony
part thereof, as aforesaid, the assessment and
correction OF the tax and penalty shall be
lhade according to the provisions of law in
other cases Of neglect or refusal
mat section one hundred and TWENTY-FIVE
De further amended by adding thereto the
following proviso: Prorided, That whenever
any OF the companies mentioned in this sec
tlon shall be unable to pay the interest on
their indebtedness, and shall in fact fail to
pay such interest, that i'll such cases the tax
leVied by tins section shall not be paid to
the United States until said company resume
The payment OF interest on their indebted
ness.
mat section one hundred and twenty-tbrpe
De amended by striking ont all after the en-
acting clause and inserting in lieu thereof
the following: That there shall be levied
collected, and paid on all salaries of officers.
or payments for services to persons i'm the
CIVIL military, naval, or other employment
or service OF the United States, including
,f.ti 4, I
congress, when exceeding the rate of six |
hundred dollars, and n tax of ten per cent i
on the excess over five thousand dollars: and
II shall be the duty of all paymasters and all
dlsoursing Officers, under the government of
the United States, or persons in the emplov
thereof when making any payment to any
ofhcers or persons as aforesaid or upon SET
ting and adjusting the accounts of such Off
GERS or persons, to deduct and withhold the
aforesaid tax, and they shall, at the same
time, make certificate stating the name of
the officer or person from whom such deduc-