Indian chieftain. [volume] (Vinita, Indian Territory [Okla.]) 1882-1902, 1894-01-25

Ways and Means COMMITTEES.
WAsHINoroN, Jan. TO- The full text
Of tho internal revenue bill, including
the important Income tax, has been
agreed upon by the democratic mem
bers Of the ways and means committee
The bill provides the income tax Is
10 go into effect January !, 1895. and
that the first collection on incomes is
TO be made on July : 1895. All classes
OF incomes arc included In the measure,
and the uniform rate Of 2 per cent tax
on incomes over $4,000 Is fixed.
The most important text OF the bill
Is the method provided for the levy and
collection Of taos. IL Is made obliga-
tory on all persons receiving individual
incomes Of over $500. TO make re.
turn TO the local collector OF informal
revenue. These returns are gone over
by the revenue collector. and tax list
Is made up of those whose incomes ex-
ceed $4,000 No tax Is levied on those
making return OF above 1900 and
under "a. 900, but the committee deemed
it expedient TO have this margin of $500
below the exception point in order that
the returns might be sure TO show all
who are subject 10 the tax.
In case person having an income of
over 1900 fails 10 make return, IL
becomes the duty OF the revenue asses
sor to make inquiry as to the amount
of the persons income. II this exam
ination discloses the income Is above
$4,000, the income Is subject TO twice
the ordinary tax under the law. and
the party falling TO make his return Is
deemed guilty OF n criminal offensc
and is made subject to fine and impris-
onment
The main purpose in framing the
above provisions has been to avoid an
inquisitorial operation of the law. The
committee believes It viii do away with
the necessity of having assessors pry-
ing into the private business of people
unless the latter have q taxable income
and try to evade the law. IL is esti-
mated that not more than 5000 per-
sons will be subject TO this tax, so that
the great majority of citizens will not
have 10 make returns
Provision is also made by which no
information can be made public as TO
the details of the incomes reported by
citizens II such details become public
II might injure the credit of a firm OF
an individual. For that reason any
public or private person who divulges
any part of this information concern
ing incomes is made subject TO criminal
prosecution, with heavy fine and PEN
atty.
Particular provision Is made for the
collection of the income tax due on
salaries, not only officials, but the SAL
aries of individuals received from busi-
ness firms, corporations, etc. The in
dividual receiving the salary does not
pay the tax, but IL is made the duty of
every government, state, county aud
municipal disbursing officer to retain
per cent of all salaries over taxable
amount This per cent Is TO be taken
out of the salaries for the year.
The tax upon corporations includes
every phase of corporate stock. The
tax is general and is without the "a, 900
exemption allotted TO individual in
comes. It is provided that, including
the tax on corporate stock. the corpora
tion shall pay the tax and deduct the
amount from the dividends of the stock
holder. IL is made the duty of each
TO take per cent of each
annual corporate income from the
amount set apart for the stoclkholder,
and pay the total TO the internal reve-
nue. collector in the locality. Severe
penalties are provided for failure to
make the proper reduction from the
dividends Of stockholders or for fail
ure TO make the return to the revenue
collector
The business of the levying and coll
Letting of the tax is placed in charge
Of a deputy commissioner of internal
revenue. The different revenue dis
tricts of the county and country are
also provided with deputy collectors
who viii especially manage the collec-
tion of the income tax The measure
As finally agreed upon is detailed !
Of a plan for an income tax
some months ago by Repre- |
sentative Hall, of Missouri.