Gold Hill daily news. [volume] (Gold Hill, N.T. [Nev.]) 1863-1882, 1866-05-24
OF THE ANNUAL INCOME IA,
1NNUlL TAX.

-
Having been requested 10 prepare an abstract
Of what Is required BY law In reference to the In
come Tar, and Of the decisions by the Depart.
ment ut Washington upon various quesuons tnat
have arisen, we present tho whole subject, under
Its several distinct heads:
STATEMENT MOULD BE MADE-wHERf, WHEN
AND BY WHOM.
l. The law requires every person oflawful age,
residing In the United States, to render 10 tne
Assistant Assessor ofthe sub-diStrict In which no
or :hs may be residing on the LIST day OF Aay,s
written statement, according 10 Q prescr,peo
iorn. OF the amount Of his or her income, gains
ual p,onta during the previou. year rom jan
IAry lst to December 3lst, DO b days inclusive.
printed blank containing this form can be OBJ.
ha III - ,rom tue Assistant Assessor. A person
ua,,.s 10 n1ed residence, should make . state.
in en-. ~ rsr ne or she may happen 70 BE-; and'
IN euse " removal TO another district, should take
nSeIuuea copy Of such statement TO show any
otner Assistant Assessor, who othervise might
make a second assessment va" 30
= 40 statement must be rendered on or be.
lore ,ne Isl day OF May, or within ten days after
q written or printed notice REQUIRING r. Sss been
leh at the place OF residsnce or Of budn... or Sn.
posted In the pearest Post Once.
j. Inc annual income tax 10 q personal tax.
and II cannot be assessed against any cornor.,,on
company, or partnership. as such Eyery mi,
vidual member must make Q statement OF bIs or
her share Of or interest In the gains and prostv m
such company, ETC., whether such RaIns and
profits are divided or not, and must also s,aie
separately his or her income frop all other
sources.
EVILS OF NEGLECT TO MAKE OUT OR VERIFY
STATEMENTS.
S. II any person nrglects or refuses to render q
written statement, the Assistant Assessor Is re.
Quested to Ill out q blank with such persons
name, and taxable income estimated according 10
the best information that can be obtained, and
upon this estimated income to assess the tax, and
then to add 25 per cent, 70 such tax a. q penalty
for neglect or refusal
6. An Assistant Assessor may be misled In
making this estimate, by being mlsinformed az to
money received, or not informed as TO money
paid. He must assess, however, according to tho
brst information within bis reach. The only per.
son capable Of giving absolutely correct Informs
ton Is frequently the one who refuses or neglects
TO mako q statement. II such person will not
take the trouble to inform the Assistant Assessor.
there Ia a bar to all complaint, should the assess.
ment prove incorrect, and O heavier tax be levied
| thnn would otherwise be charged. Moreover,
after IN assessment has once been made. II Gro
neUus, It 10 always troublesome to the party In.
| terested 10 have II corrected. All persons, there
fore, but especially such a. hdrs no tarabs ineons,
should not fall to render the required statement,
upon the proper blank, 10 a. to avoid undue tax.
alton and trouble.
7. Every statement must be verified by oath or
affirmation. When this Is not done. the Assistant
Assessor Is required to estimate tho income and
10 add o5 per cent. to to the tax
EVILS OF MAKING 4 FALSE STATEMENT.
0. An Assistant Assessor has power TO fHcredss
tho amount In any statement, aite. giylng QUO
70 tne Party lnIeIesteo; No 10
qured, niso, 70 aao Nv pen cent 70 tne 'a. ~
O false statement mas oeen rendered nnu tno
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 false statement WIZ IN.
tent TO DEF aud the Government ana the otner
tor perjury: v,v, =, .-,-,.rx- a, ,.coxr
AANNEh " aAAiso VI slxiLHLHtSt 1900
BY the llsth section OF tue law, tne Conmil'
sioner OF Internal Revenue Is empowers 70 pre-
scribe the Jor" ana man"eT 10 Hn'cn tno s'sto.
inent OF income must Do maze UP. Inis no nas
done In O printed blank used oy tns Assistant A.
SCISSOR, and In various circulars ana runnsh tne
following 10 summary OF "nat mas ocen PFe'
scribed:
/. Each Of the great classes into which the pur.
suits Of life and the Investments Of capital have
been divided must DO returned sspdrdtely- losses
in one not being allowed TO Offset gains In another.
Thus = merchant who engages In farming or In
speculations not belonging TO bis legitimate busl.
ness caunot Offset gains In tho one by losses In
tho other.
2. The expenses incident to each business re
deductlble from the receipts OF that business.
3, Speculatlons k9fttmdttly belonging TO any
business, and these alone. may DO carried Into It's
profit and loss account. Thus q broker may spec.
ulate In stocks, o dry goods merchant In cetton, .
hardware mar In IRON, ETC., and snen specuinuoh
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 bis ner.
chandise, and this gain or loss belongs TO bis mer.
chandIse account. But II he buys gold. uncurrent
money, United States Treasury notes. or any
other thing not one Of the articles Of trade belong.
ing 10 his regular business, for the purpose Of
speculation, the profit or loss from such specula.
ton will not be allowed to affect the profit or loss
from his regular business. A business firm
= Al ~ l. a. A. v..1 h.N
ker, lnstructing him to use It In the purchase aud
sale OF gold, on their account and having lost
s27, 500 In this venture, they claimed that Il
should be deducted from their profits In business.
Commissioner Lewis dlsallowed the claim, and
said tho uniform ruling had been that ~ hen n
los. IA made In any particular business aguinst
which there are no gains to Offset, IL Is consid.
cred a dead loss Of capital infested in that bust.
ness" Again, ''loss of capital cannot be dc.
Quoted from income" Return Of income mus,
be made on the gains"
4. How far different kinds Of business must be
returned separately Is shown by the following
rulings Of Commissioners Rollins:
aJ-"Loss incurred In the prosecution Of on,
Lind of busine.s cannot be deducted from enin Ir
bushes, of an entirely diSe,snteharaeter nor from
saIarn rcn,, dividsnds ST."
"M%ZN.Iosses ineurred In the prosecution Of ON,
brSnc6 Of business cannot he deducted rom eair
n,aaacn,Son ~ n sinoIo bnsIn.ss q. inSisnspsabIv
y Ios. of eapital"
nioss Iop"s in merchandise can bo d.duc,.d
nHv. f,om roJn, In msrcbandl.e I'm, In this cas-
osr,,cpInr Sraneb,s Of mrTcbnndI,e need moi h.
pnaro,.d 90 IN snscniatJon' tho los. or cain
S.am stocks NAV oss,t ioss or gain from nroSuc,
sn.culnted in"
pSu".. N.rchor,, nina, msks r.,urn NJ thai,
Ia from msTcbandiss Ti,hout regard 70 their
p a. snocnis,Son ~ Gain. from intere,t dTyI,
S"nds r.nts A. Snv otb.p .oprcc"
"a" Losses In Ejaculation cannot be deducted
.,iasI.. No. from esirs IN ms,cbsndiss
Wym au4..sr ~ .r.,oInsd in nns sn.cnie,ion ma
Mnen Iosses v sahs. sn..Ui : snah ios...
gains maui VI aIo'nes s. sus. ZEE.
may DC oeaue.ea llon sucn saihs Los,or y ons
branch OF mercnnhaise may DC ueouete1 ""m
gains In any otner oIanch Oh metenanuise.
% Mnere s.oeks, e,c,. Sie ooasn' = pe ~
manent ,nves,mens, . ' in.. s,.,r.S ~ ,ss
enanse y S.Sno,sd fron ~. dIvidsnd. from
sa.g may W tnt vSsS. he nnrchs.s /. made for
.Ne" s.oss. y ..,iInn .ss,p an snscr,stJon tbe
INC puipot n.J hS ,hs ssie eonnof he deducted
Jose a.SnnS ~, n.s hs dsdncisd from gain,
derived from the purehdss and sale OF stock etc.
In tho same year, mgr, NJ nr,, n,sa,.
iScIat o ,HU ononn, 90 sneb rents Received
uI,ssIn he wear for which income Is animated. OF