The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1894-05-05
Several Important Notifications Are
Prepared by Senator Vest,
Of Missouri.
Relating Largely to Incomes OF
Corporations, Associations
and Companies
Tuesday, Tariff Talk Was Rife
Ia the senate.

WASHINGTON, May 4.-Senator Vest to-
day offered amendments 20 the income tax
feature of the tariff bill. the object being to
relieve Individual investors Of inoorpora-
tions, and have the profits OF corporations
taxed. Instead OF compelling individuals TO
exhibit their books. the assessor may estt-
mate the amount OF income. aud the person
30 Aasesssd may appeal and Prove he has
been assessed TOO high. II such is the case.
The changes In detail are; Sections %. co
and 81 are stricken out and the following
sections substituted;
That there shall be levied and collected
tax Of two per cent per annum on the
profits or income Of the ordinary working
OF operating capital OF all banks. banking
institutions trust companies. savings in
stitutions. Gre. marine. life and other in
surance companies. railroads, canals. turn
pike, canal navigation, slack water.
telephone. telegraph. electric light
gas. water, street railway COM
pAnies. aud all other corporations. com
panies or associations doing business for
profit In the United States, no matter how
created and organized. That said tax shall
be paid on or before tho a 81 OF July. each
year. and IL the president or other chief
officer OF any corporation, company or
association shall neglect OF refuse TO file
with the collector Of internal revenue for
the district in which the corpora
tion. company or association
shall be located or engaged
In business. q statement, verified by his
oath OF Affirmation, showing the amount Of
not prohts or income received by said oor-
poration, company or association, during
he mlsIa IL NaW tmr ha hnN Ia
OF the filing of said statement as herein
after secured, the orporation. company OF
association making default shall forfeit as
a penalty the sum OF 81, ,OOO and 10 per
cent of the amount OF taxes due for each
month until the same is paid. payment Of
said penalty to be enforced as provided in
other cases OF neglect and refusal 90 pay
penalties and taxes.
The profits or income OF all corpora
tiona, companies or associations shall in
cludo the amounts paid to shareholders and
bondholders, or holders of certificates OF
Indebtedness Of any kind, or carried on ao-
count OF any funds used for construction,
enlargement OF plant, or any other ex-
penditLTes OF investment representing the
net annual profits made or acquired by
said corporation, company OF asaooiation.
"Ihat nothing herein contained shall
apply 20 states counter or municipalities,
nor corporations. companies or associations
organized and conducted solely for charity,
religious or educational purposes. nor to
stocks. shares. funds or securities held by
any judiciary or trustee for charitable, rsli-
gious or educational purposes, nor TO such
building OF loan associations IS are organ
izsd under the laws Of any state OF terri
tory. or OF the Dist let OF Columbia, which
makes loans 10 their shareholders TO enable
them 20 provide for themselves homes"
Other amendments insert the wori will
fully" in providing penalty for false
a.. In.
ments put corporations. companies and as
aociAtions upon the same level as individu-
ais. giving them the privilege of proving
the amount Of income, where q statement
Of income has been increased by the rey-
enus agent. IL also gives TO corporations,
companies and associations tue rights
granted TO individuals to sppsal from a
deputy collectors, aud from collectors,
decision TO that OF the com missioner of she
internal revenue. That relieves them from
tue assessment penalties. as IL does indi-
viduals. except upon reasonable notice of
the time and place OF the bearing.
Salaries Of state. city and municipal Off
oials are relieved from operations of the
proposed tax law. An amendment pioVid-
ing for a time limit OF the O. Grafton OF the
act ia made In sections 90 and 60; tue levy
ing of the tax shall begin on June !. 1895.
aud end on Jan. !. 1900.
An important amendment is made 20 sec
tion %. which is az follows: Provided.
also. that IN compiling the income of any
person. corporation, company or hssocia-
tion, there shall not be included the amount
received from any company, corporation OF
association as interest or dividends on
bonds or stocks OF such corpo alton. com
pAny or association, II "a tai Of two per cent
has been laid on its net prohts 10y said cor
poration. com. ANY or association, as re
quired bV this act"
The clause in paragraph 80 requiring esti-
m stss TO be made upon the shares of per-
sons In the gains or profits Of companies IN
lavying the income tax 10 stricken out.
The intention of the amendments is 10
prevent double taxation upon incomes re-
ceivered from corporations. Amendments
are made to section Co. providing for re-
turns of corporations, as 10 include com
pAnies aud associations aud place them
under the same terms under the same law
as corporations