The times. [volume] (Richmond, Va.) 1890-1903, 1894-01-19
THE INCOME TAX BILL.
OUTLINE or THE MEASURE. DRAFT
or UHfcH Z, ABOUT COuPLETE,
The Method Provided for the Iery and
Collection Of the Ta1-The Informa-
tion viii Not lie Divulrsd.

WASHINGTON. Jan. iS-This was the
day fixed last woel, by the majority Of the
Committee on Ways and Means ON which
TO report TO the House the Internal rcve.
nue. bin. but up 20 this evening "a had
not been finally put i'm shape Tor prcseuta-
ton.
Mcssrs. McMiiin and Bryan have been
revising the text, and expect TO be able
10 have ii completed for the consideration
of their assistants tomorrow morning
Should their expectations De realized. @
will be reported 10 the House before ad-
journmert for the day one OF the NOM.
bers OF the committee. who is in favor ot
the income-tax provisions. says the sci-
Element OF the question whether or not
10 shall be proposed as an amendment t0
THE customs bin now pending VIII be
LEFT 10 Democratic caucus. iio et-
pressed a conviction that tho. caucus nlN
order il 10 be- made a part OF the measure
now being considered.
The bin provides that the incomo-.aN
is 10 go into effect on Jan. ], 1872 ana thil
the first collection en- incomes is to oe
made on July D. 1895. an classes ol ln-
comes are included I'm tn measure and
the uniform rate OF a per cent. uN on
incomes over $4,000 Is iiNed.
Levy and collection of the Taxes.
The most important detail Of the bin is
the method provided for the levy and cole
lection OF taxes 10 is made obligatory on
all persons receiving individual incomes OF
over $500 20 make a return 10 the local
collector Of internal revenue. These re-
turns are gone over 10y the revenue ,ol-
lector and a taxable list is made up of
those whose incomes exceed 5000. No tax
II levied ON those making return OF
above $500 and under $1,000. but the com
mittee deemed DO eypedicnt 90 leave tins
nnrgin OF $500 below the exemption point
In order that the returns might De sure
to show am who are subject 10 the tax.
I'm case person having am income on
oyer $3.50 fails 90 make return, 10 Boz
comes the duty Of the revenue assessor to
make inquiry as 10 the amount OF the per
sons income. n this examination dis
closes that the income is above $1,000. The
income is subjected 10 twice the ordinary
tax under The law. and che party railing
To make his return is deemed guilty "
criminal offence. and is made subject To-
fine and Imprisonment
The main purpose in framing the above
provisions has been 10 avoid au inQuisi-
t0rial operation Of the law. The come
mittee believes II Will DO away with ne
necessity Of having assessors pry inio
the private business of people unless Tie
latter have taxable income and try to
evade the law. II b. estimated that not
more than 5000 persons Wit be- SUBJ
ject 10 this tax. SO that great majority
Of citizens will not have 20 make returns
No DISCLOSURES to Bs Allowed.
Provision is also made by which no
Information can be made public as 20
the details Of the income reported ~
citizens. II such details become public
IL might injure the credit OF a. hrm ~
individual For that reason any luNn'
or private persons who dvulecs any part
OF this information concerning incomes us
made subject 10 criminal prosecution, with
heavy Gne aud penalty. This provision is
in line with the English law Of 1879.
PRIOR 10 that time the British income tax
was very unpopular, because IL maHe
public the details Of private business.
i,ut after the law OF lNi was passed
there was little further objection 10 the
tay.
Particular provisions are made for the
collection of the income tax due on sdla-
ri,s not only official salaries, but me
salaries Of individuals received from h"sl-
ness firms. corporations, etc The lndi-
viiuaI receiving the salary does not pay
the tax. but II IS made the duty OF every
state, county, and muni'ipdi
disbursing officer Ia retain per cent or
AN salaries over the taxable amount InH
. Der cent. Is TO be taken out ~ The fiit-
RIGS in bulk at the last payment OF salaty
for the year. and not at the end oi ''.,h
week or month This avoids the ,on,.
plexity which would result IRON t"n'" =,
out portion OF the salary cach "''N
month.
Tax Upon Corporations