The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1878-04-24
GENERAL TELEGRAMS.
The PRINCIPAL Features of the Internal
Revenue Bill Ordered 10 be Reported 20


the House To day.
WASHINGTON, April 2o.-The following are
the principal features of the internal revenue
bill ordered to-day by the committee on ways
and means TO be reported 10 the house:
Be 1t enacted, etc., That on and after the
passage Of this act there shall be levied auu
collected upon all snuff, manufactured tobacco
damp, picked, scented or Otherwise and OF
these descriptions when prepared for use,
and upon all chewing and smoking To-
twist, cut or anulated, of every description;
tobacco twisted by hano or reduced condluon
to be consumed, or in a manner other than the
ordinary mode of drying, curing, prepared for
sale or cOnsump tiOn, even If prepared without
the use OF any machine or instrument anu
without Deirg pressed or sweeted; and on all
fine cut, shorts and refuse scraps, clippings
cuttings ana sweepings of tobacco tarlu OF 10
cents per pound. On cigars OF All de-
scriptioDs. which shall be manufactured
or Sold or removed for consumption. or use
made OF tobacco, or any substitute thereioT,
there shall be levied and collected tax OF .
per 1000. On cigarettes weighing rot more
than three pounds and p half per 1000 q, ana
3 cents per thousand. On cigarettes Weighing
more than three and hail pounds per LOU
Sec. = There shall be levied and collected
for 1873 and annually thereafter upon gains
profits and income of every person residing In
the United states and OF every cl'1zen tempo
rarily residing abroad. derived from any source
whatever. whether within or without the L nj
ted States, except as hereafter provided, and
gains profits ana income derived within the
United states by any person residing without
and not citizen thereof, from rents OF real
any citizen without and not citizen
thereof, the following tax, to-wit: Two
per centum IN estimating gains, profits and
income. There shall be included all inc ONE de
rived from any kind of property rents, inter-
est received or accrued upon al notes, bonds
and MORTGAGES or other forms of Indebtedness
bearing interest, whether paid or not, good
ana cOllectible. interest upon notes, bonus or
other securities of the United States, the
amount Of all premiums upon gold, gains,
profits and income OF any business, profession,
trade. EN- pIOyment, office or avoeation. includ-
ing any amount received as salary or pay for
services IN civil, mlllaly. naval OF
other service of the United States, or
az senator, represe ntative or delegate in
congress, the snare OF any person OF the gains
and profits, whether divided or not, OF all
companies or partnerships. But not includ-
ing the amount received from any corp 'ra-
tions whose officers are authorized by law TO
withhold and pay as taxes a per centum oil
dividends made. and of interest or coupons
paid by such corporations, the profits above
costs and expenses actually received in cash or
cash value realized during the year from sales
of real estate purchased within two years pre-
vious to the year for which the income Is esti-
mated. The amount of sales OF live stock,
sugar, wool, butter. cheese, pork, beef mutton
or other meats, hay and grain, fruits, vegeta-
bles or other production, being growth or
product OF the estate of such person, but
not intending any part thereof consumed
directly by the family, and with all other
gains, profits and income from any source
whatever, bat not including the rental value of
homestead owned or occupied by any person
or by his family; provided no gift, devise nor
property acquired by inheritance distTi-
button or in come shall be accounted as gains,
profits, or income. Under this section military
or naval pensions allowed to any person under
the laws OF the United States, and The sum of
two Thousand dollars, gains, profits and 10
come Ofany person shall be exempt from said
Income tax in the manner after provided after
the deduction OF 5000 shall be made from
the aggregate income OF all men,
bers of any family composed OF one
minor children or of the husband and wife.
But where the wife has BY law separate in
come beyond the control of her husband, and
is living separate and apart nom him, sucn
deductions shall then be made from her in
come, gains and profits, and guardians aud
trustees shall b. allowed to make a deduction
in favor Of each ward or beneficiary, except
in the case Of two or more wards CT beneficial
ries comprised in one family having joint
property interest. Only one deduction shall
be made in their favor, for the purpose of
allowing said deduction from the Income of
any religious or social community hold
ing their property and income there
from Jointly and in common, perchanee
comprising such society, ana any remaining
rational number OF such persons less than
five groups of five shall constitute a family.
Deductions Of S2,000 shall be allowed for each
of said families. In addition TO the eNeInp-
tons there shall be deducted from the gains
or property from any persons the insurance Of
~ and municipal tax paid by them within
year, whether such person be the owner ten
ant or MORTGAGE; all his losses act ually sus-
Iainso curing the year, arising nom fires,
floods, or INQUIRE in trade and debts aScer-
tanned 10 be worthless but excludii all esti-
mated depreciation of values; the amount of
interest paid during the year; amount paid for
rent, or labor 10 cultivate land or to conduct
any other business from tax. The income is
the derived amount paid for rent OF house or
premises occupied, residence for himself or his
family and the amount paid out for repairs
No reduction shall be made for any amount
paid out for new buildings or permanent i'm
provemeots made to increase the value of any
dent OF the United States and of all judges of
the United states and of all officers, executive,
deducted from the gains. orofiIs and income Of
any person and be exempt from said tax; and
consuls O. foreign governments. who are not
citizens OF the United States, shall be
exempt from ally income tax imposed by
this act 10 be derived from their official
from property in foreign countries; Pro-
Vided. That toe government which such con-
suls may represent shall extend similar eX-
emptiOn 10 consuls of the United States; that
the tax hersinbefOre provided shall be assessed
upon the gains and income for the half year
ending December, 1878, and of such succeeding
year as shall be levied in the year 1879, and
each succeeding year as herein provided, and
shall be after the assessment be due and pay
able upon notice and demand made as pro-
Nlded Dy section 3,lS4 OF the revised statutes
If any person signing and making return in
regard TO SAID tax snail Intentionally and
fraudulentjy sign and make "A fa.se return he
may be indicted and convicted in any court of
the Unit ed States having local jurisdiction, and
snail upon conviction be subject to a fine of
not less than $4,000 and be Imprisoned not less
than one year nor more than ten years or
both, at the discretion of the court. There shall
be levied and collected for ana during 1873,
and annually thereafter, a tax off per Cent. on
the amount of all interest or coupons paid on
DOuuS or OJner eNluenceS OF debt Issued or
payable in one or more years after date by
any corporations. in this section hereinafter
enumerated for the amount of all dividends OF
earnings, income or gains hereafter declared by
any bank, trust company, savings institution
insurance company, railroad, canal company,
turnpike company, canal navigation COM
pany and slackwater company whenever and
wherever the same shell be payable, and
to what sOever person same may be due, in
Guiding non-residents, whether citizens
aliens, and all undivided profits of any such
corporation which have accrued and been
earned and added 10 any surplus contigent or
other fund, and every such corporation hav-
. ing paid the tax as aforesaid is hereby author
lied to deduct ana withhold from any pay
ment on account of interest coupons and divi-
dends an amount equal to the tax per centum
on the same, and pay to the United states, as
provided by law. the amount Of the tax so de-
Quoted from the interest of coupons and
dividends; after paid shall discharge
the corporation from any liability for
that amount of said interest coupons
or dividends claim as due to any person ex-
cept In cases where the said corporations have
provided otherwise by express contract; Pro-
vided, That the tax upon the dividends OF the
insurance company sail not be deemed due