Capital journal. (Salem, Or.) 1893-1895, 1894-09-08
THE INCOME TAX.

III Ill Jan, ], lSOO, there shall be assessed, lev
I'D, collected and paid annually upon the
gains, profits and income received In the pre-
teding calendar year by every citizen of the
United states, whether residing at homo or
alroad, and every person re iding therein,
Whether said gains, profits or income be de-
rived from any kind OF property, rents, inter
. tsi, dividends or salaries, or from any profes.
sion, trade, employment or vocation carried
on in the United States or elsewhere. or from
amy other source whatever, a tax of per ccni
on the amount so derived, over and Above
Si,t00, and like tax shall be levied, collected
and paid annually upon the gains, profits and
inC from all property owned, and Of every
business. trade or profession carried on in the
United States by persons residing without the
United States. And the tax herein provided
for shall be assessed by the commissioner of
Internal revenue and collected and paid upon
she gains and profits and income for the year
cEdng Dec. 81 next preceding the time for
cvyiDg, collecting and paying said tax.
Sec. 5h That in estimating the income Of
any person there shall be included all income
nerived from interest upon notes, bonds aud
other securities, except such bonds of the Unit
I'D States, the principal and interest of " hich
sre by the law of their issuance exempt from
Eli federal taxation; profits realized within
he year from sales of real estate purchased
Within two years previous to the close of the
year for which income is estimated; interest
received accrued upon all notes, bonds
Mortgages other forms of indebtedness
Bearing interest, whether paid or not, il good
and collectible, less the interest which has be.
come due from said person or which has been
paid by him during the year; the amount
Of all premium on bonds, notes or
coupons: the amount of sales of live
stock, sugar, cotton, wool, butter, cheese,
pork, beef, mutton or other meats hay,
and grain or other vegetable or other produc-
Hons, being the growth or produce of the es-
tale OF such person, less the amount expended
IN the purchase or production of said stock or
produce, and not including any part thereof
consumed directly by the family; money and
aift or inheritance; ali other gains, profits and
Income derived from any source whatever ex-
capt that portion of the salary, compensation
cf pay received for services In the civil, mili-
slary. naval or other service of the United
States, inc luding senators, representatives and
delegates in congress, from which the tax has
been deducted, and except that portion of any
eeiary upon which the employer ia required
bvl law to withhold, and does, withhold The tax
and pays the same TO the officer authorized to
receive It, In computing incomes the necessa-
rY expenses actually incurred In carrying
oh apy business, occupation or profession
shall be deducted and also all interest due
or paid within the year by such pf person o.; on
county, school and municipal taxes not in
cluding those assessed against local benefits,
: paid within the year. shall be deducted from
fhe gains, profits or income of the person who
has Nctually paid he same, whether sncn per
son bs owner tenant or moftgagor & Aiso s0r Loss
iii trade or arising from fires, storms or ship
wreck. and not compensated for by insurance
or otherwise, and debts ascertained to be
w0rthless, but excluding all estimated depreci-
alton of value and losses within the year on
real estate purchased within TWO years IRE
xi0us 10 the year for which income is eatt-
Provided. That no deduction shall be made
for any amount paid out for new buildings,
permanent improvements or betterments. made
to Increase the value Of any property or estate
o sbal llfsn he made from he o asgreSate in
come Of all the members OF any family. COM
posed Of one or both parents; and one or more
minor children or husband and wife; that
cuardians shall be allowed to make a deduc-
fion IN favor of each and every ward, except
that II case where Two d oi hSye oin
11terests, the aggregate deduction in their ia
VoF shall not exceed $4,000. And provided fur
tAef. that IN cases where the salary or other
compensation paid TO any person in the employ
msnf % service Of !he United States shall not
amount or In the time during which the same
eflall have accrued or been earned, snch sala~
fyor other compensation shall be included IN
estimating the annual gains, profits or income
of The person to whom the Same shall have
been PAID. and shall include that portion Of
any income or salary upon which tax has
not been paid by the employer, where the EN-
+ ploYex IS required by law 10 pay on lhs excess
over 1900: provided also, that in computing
Tie income of any person, corporation. com.
pang or association, there shall not be included
eonnt reeeiyed iom SRE gnan IN
stock OF such corporation. company or aseocihs
ton AZ the tax Of 2 per cent has been paid
upon lis net profits by said corporation, com
nnn7 on association as required Dy TINS act
Must Report His Profits.
fea. rs. That II shall be the duty OF All per-
sona on lawful Ggo haPing an Income OF more
then 5000 for The tREable year, computed on
tile basis herein prescribed, 70 make and rem
der a list or return. on or before the day pro-
YIdof by law, IN such form and mapnef IS may
b Directed by the eommissioneF Of internal rr a.
{he treasury, 10 the collector or deputy col.
l4ctor OF the district In which they reside, OF
fbe amount OF their income, gains and prohts
af nfonaeaid. And all guardians and trustees.
txecDfofe, administrators. agents. receivers
and an ueFsOn6 or corporations acting In any
hdrciary capacity. shall make and render a
lIti ~ rtfurn. as aforesaid ~ the collector or
aepeiy collector of fhs district lg which
fEcIlx resides or does business, Of the
t,eoiinf Of Income, gains and prohts Of any
,alnaf 81 person for whom they act. but per-
sana bnpii,g less than $3.50 income are not re-
..4,IT,I 10 make such report, and the collector
NePug gyetnrn 10 be- yerined by lie
9rft. a. af.Irlnation OF the party rem
I[.I.tr, "A and may increase the amount OF