The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1894-08-17

S4,UOO: Provided also, That, In COMPUTE
ing the income of any person, corpora
| ton, company or associa tion, there shall
not be included the amount received
from any corporation, company or asso-
| citation as dividends upon the stock of
1 such corporation, company or ass0cla-
| tion, if the tax OF 2 per cent. has been
| paid upon it's net profits by said corpora
! ton, company or association as required
| by this act.
| The
METHOD OF PAYING
the tax is set forth that length by clause
providing that it shall be the duty of
all persons of lawful age having an in
come of more than So, 500 for the taxable
year, compated on the basis herein pre-
scribed, to make and render list or re-
turn, on or before the day provided by
law. in such form and manner as may
be directed by the Commissioner of In
ternal Revenue, with the approval of the
Secretary of the Treasury, to the collec-
tor or Il deputy collector of the district
in which they reside, of the amount of
their income, gains and profits, as afore-
said; and all guardians and trustees,
executors, administrators, agents, receiv
ers and all persons or corporations acting
In any fduciary capacity, shall make
and render a list or return, as aforesaid,
to the collector or deputy collector of
the district in which such person or cor
poration acting in fiduciary capacity
resides or does business, of the amount
of income, gains, and profits of any
minor or person for whom they act, but
persons having less than So, 500 income
are not required to make such report;
and the collector, or deputy collector
shall require every list or return to be
verified by the oath or affirmation Of
the party rendering it, and may increase
the amount of any list or return if he
has reason to believe that the sane is
understated. Appropriate penalties are
prescribed for those making false re-
turns. Tnere is, also, at the END of this
clause provision which permits the
income tax collector to waive the MAX
ing of the return provided he is satisfied
by the oath of the party that the income
in question is not up to $4,000 annual
ly, or that the tax has been paid else
where Any person or corporation feeling
aggrieved has right of appeal as far as
the Comiinssionei OF Internal Revenue
The taxes on incomes shall be due and
payable on or before the first day of July
in each year.
{ The clause relating to the taxing of
CORPORATION INCOMES,
specifies that there shall be assessed,
levied and collected, except as herein
otherwise provided, a tax of per centum
annually on the net profits or income
above actual operating and business ex-
penses, including expenses for materials
purchased for manufacture or bought
Tor sale, losses and interest on bonded
and other Indebtedness of all banks.
banking institutions, trust companies
institutions fire 70
and other insurance companies, railroad,
canal. turnpike, canal navigation. slack
water. telephone, telegraph, express
electric light, gas, water street
railway companies, and all
other corporations. companies or
associations doing business for profit in
the United States, no matter how created
and organized, but not including part
herships. The said tax shall be paid on
or before the first day of July in each
year.
The net profits or income of all corr
porations. companies, or associations
shall include the amounts paid to share
holders CT carried to the account of any
fund, or used for construction, enlarge
ment of plant, or any other expenditure
or investment paid from the net annual
profits made or acquired by said corpor-
atoms, companies or associations.
There are certain corporations which
enjoy
EXEMPTIONS FROM THE TAX,
which are enumerated in the clause pro-
viding that nothing in the law shall APP
ply to States, counties or municipalities;
nor to corporations. companies or asso-
Citations organized and conducted solely
for charitab BILE, religious or educational
purposes; including fraternal beneficiary
societies, orders or associations operating
upon the lodge system and providing
for the payment of life, sick. accident
and other benefits to the mem bers of
such soc ies, orders or associations and
dependents of such members; nor to the
stocks, shares, funds or securities held
by any fiduciary or trustee for charitab bic,
religious or educational purpose; nor to
building and loan associations or COM
panes which make loans only to their
hareholders:norstos such savings banks,
savings insti tutions or societies as shall,
first, have 10 stockholders or mem bers
except depositors and no capital except
deposits; secondly, shall not receive
deposits to an aggregate amount in any
one year of more than $1,000 from the
same depositor; thirdly, shall not allow
an accumulation or total of deposits by
any one depositor exceeding $40,
fourthly, shall actually divide and dis
tribute to it's deposltors, ratably to de-
posts, all the earnings over the necessary
and proper expenses Of such bank, insti-
tuition or society. except such as shall
be applied to surplus; filthy, shall not
possess in any form a surplus fund ex-
ceeding 10 per cent. of it's aggregate de-
posts; nor to such savings banks saw
ings institutions or societies composed
of members who do not participate in
the profits thereof and which pay inter
est or dividends only to their deDositors.
nor to that part OF the business of any
savings bank, institution or other SINH.
lar association having a capital stock
that is conducted on the mutual pIan
solely for the benefit of It's depositors on
such plan and which shall keep it's ac-
counts of its business conducted on snch
mutual plan sepala ate and apart from it's
other accounts; nor to any Insurance.
company or association which conducts