Gold Hill daily news. [volume] (Gold Hill, N.T. [Nev.]) 1863-1882, 1866-07-16
1RsFRacf OF srHiss.ANNUAI INCOME Tax
ANVU1IWG6iIE TAX.

=, What h reouIred-by law In reference to the In
oonn Tax. aud OF TIN deaisIons, bysthn1Depar
.h,snt 1t Washihston!up upon vafioas' questions tnat
haye arisen, We present the whole subject, under
lis several Distinct heads 8
STATEMENT SHOULD az MADETT-wHERE' WHEN
AND BY WHOM.
I Thu law requires every person oflawful age,
reading In the United States.to render 70 inc
d INFANT Assessor ofthe sub.dlstr.et IN which no
~ m. NAV BE- residing on the LIST day Of May, Q
rritten IGtaterpent. according TO q pfescrlGco
form. Of the amount Of, bis Or her income, gains
and PROFITS during sne PTevioos yS sS. InoIusIye.
4 nr,nt.d blank containing this form can DO 3D.
tstpad nom the Assistant Assessor. A person
havIno no Axed residence. should make q state
mSnt wherever be or she may happen 10 90; ana,
In case Of removal to another district, take
= Certified copy OF such statement. to sho" any
Other. Assistant Assessor, who otherwise might
make q second assessment
o The statement must be rendered on or be-
fore the LIST day Of May, or within ten days after
n written or printed notLcs requiring Il has been
len as tho place ofresidence or OF business or de'
'posIted In the pearsst Post Ufioe. T}Es
"a The annual Income tax Is q personal tax,
and II oannotbe assessed against any corporation,
company, or partnership, as such. Every Ind.
yidual member must mike o statement OF bis or
her share Of or interest In the gains and profits Of
such company, ETC., whether such gains ana
DIOUkU AI0 UNlQGA AVA ~
sepsIstely his or her income from, all other
sources.
EyILs OF naLEc TO MAKE " OR VERIFY
sTATEMENTs.
5-lf any person negleets orrefuses to render a
written statement, the Assistant Assessor Is re-
quested to all out a 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, TO such tax Us a penalty
for neglect or refusal. "
e. An Assistant Assessor may be mlsled In
making this estimate, by being misinformed as TO
money received, or not informed as TO money
paid. He must assess, however. according to the
BEST information within bis reach. TIT only per.
son capable Of giving absolutely correct informa'
ton IA frequently the one who refuses or negleets
to make a statement. II such person will not
take the trouble to inform the Assistant Assessor,
there 10 a bar to all complaint, should the assess
ment prove Incorrect, and q heavier tax be levied
than would otherwise be charged. Moreover
after an has once been made, IL Gro
pepus, Il Ia, RlwHy a Troublesome to the party In
terested TO have Il corrected. All persons. there
fore, but especially sEeh AZ hare no taIa6k income,
should not fall TO render the required statement,
upon.the proper blank, sofas 70 avoid undue tax.
alton and trouble.
T., 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 % per cent to to the tax
. EVILS OF MAKING A FALSE STATEMENT. G
u 9. An Assistant Assessor has power to increase
the amount In any statement, after giving due
information to the party Interested. He Is re.
quired, also, to add 100 per cent to the tax when
q 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 a false statement with In.
tent to defraud tho Government, and the other
MlssER on MAKING UP STATEMENT OF INCOME.
/ By the 18th section Of the law, the Commits.
siorer Of Internal Revenue Ia empowered TO pre-.
scribe. tho form and manner In which the state,
ment OF income must be made up. This he has
done In q printed blank used blythe Assistant As.
SCISSOR, and In various circulars and rulings. TIE
following is a summary Of what has been pre-
scribed:
/. Each Of the great classes into which the pur
suits 81 life and the investments of capital have
been divided must DO returned sepdrdtely- losses
In one not being allowed to Offset gains In another
Thu amerchRnt who engages In farming or 10
vpeculations not belonging to his legitimate busi
ness cannot Offset gains In the one by losses In
the other.
9. The expenses Incident TO each business re
| deductlble from the receipts Of that business.
Q, Speeula,ions lsgftimdtely belonging to any
business, and these alone. may DO carried Into III
profit and loss account. Thus q broker may spec
ulate In stocks. o dry goods merchant In cotton
hardware man In iron, etc. and such speculation
| NAV infect the gain and loss OF such legitimate
business A merchant also may make or lose oy
| exchange or the kind Of money paid for bis mer
/ chandISe, and this gain or loss belongs 10 his mer'
| chandIse account. But II he buys gold, uncurreni
| money, United States Treasury notes, or any
| other thing not One Of the articles Of trade belong
| ing TO his regular. business, for the purpose o.
REGULATION, the profit or loss from such specula'
| ton nIlnot be allowed to affect the profit or los'
| from hlst regular business. A business frn
| oinced S40, 600 In the hands Of a New York bro,
Esr, Instructing him to uss II In the purchase ant
sale Of gold. on their account and having lost
| e97. 500 In! thu venture. they claimed that u
| should be deducted from their profits In business
| COMMISSIONER Lewis disallowed the claim, and
| sah the saifora ruling had been that "v when q
| loss 10 made In any particular business, against
| which there are no gains 10 Onset, It 10 eonfd'
| cred a dead loss 81! capital iHuetsd In that bust
ness" Again, "loss Of capital cannot be dc
| Quoted from Income Return OF income must
be made on the 9dins."
4, HOW far different kinds Of business must be
returned separately Is shown by the following
| rulings Of Commissioner Rollins:
| ,n)-..Logs Incurred in the prosecution OF ont
kfHi of business cannot be deducted from gain In
business Of an sntirsly d9aeatehoraeter nor from
salary, rents, dividends, etc.
6)-"Losses incurred In tho prosecution Of on,
branch Of business cannot be deducted from gair
Ia another, since an absolute loss incurred In th,
prosecution Of Q single business Is Indispensable
| aloaa Of capital"
G)-"Losses in merchandise can be deducted
only from gains In merchandise; but. In this case
particular branches Of merchandise need not o,
s.paraied.' So In speculation, the loss or gair
ffom stocks may Offset loss or gain from produce
T~"Msrchants mus. mako return Of ihei
profits fron merchandise without regard 70 thel
losses In speculation, or gains from interest. divl
dendS, rents, or any other source
,M-"Losses In speculation cannot be deductet
Il from salaries, nor from gains In merchandise
when losses are sustained i In one speculation AM
gains made in another speculation, such losse
nav DO deducted from such gains Losses In on
branch Of merchandise may De deducted IRON
gains In any other branch Of merchandise"
n-"Where stocks, ETC., are bought as q per
mSnept Investment, and sold ngain merely u
change the Investment, q loss sustained In th,
sale maj DO deducted from the dividends from
sueA stock. But where the purchase Is made fo1
the purpose Of selling again on speculation, tn
nom dividends, but may be deducted from gain
derived from the PIrehdss sud sale Of stock, etc.
In the same year"
IEcoME FROM RENTS OF BUILDINGS
From tho total amount Of such rents received
within the year for which income Is estimated, o.
duo and collectsble on tho 3lst day Of Desembei
Sfsaid year, should DO deducted; q,
LIST. The amount paid or due. by the owner ioi
repairs made within tho year, not exceeding IN
yearly average paid out for such purposes Tor tn'
preceding Ave years, and not including any
| amounts paid or duo for new structures, or fol
new and permanent Improvement
Cd Insurance for the year paid oy the ownsi
mon The buildings rented or offered for rent, moi
| Including insurance paid upon any other prop
| srfy,, real or personal.
"A Interesi which accrued for the year on In.
cnmbranccs upon the buildings rented or offered
.ha lapda nm which tlav stand