The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-04-13
IT FAVORS THE WEALTHY
Rent From Real Estate and
Interest on Bonds Are
Not Taxable.
INCOME TAX REGULATIONS.
Owners of Real Estate and Stocks
and Bonds VIII Be
Benefited.

The rush of people anxious to file their
income-tax statements still continues.
Chief Deputy Collector Loup was unable
to get any lunch yesterday, owing to the
crowds that besieged the revenue office.
Despite the enormous amount of work to
be done he never once got ruffled, and was
the same courteous and obliging gentle
man at A P. NJ. as when the days work
began.
During the afternoon telegram was re-
ceived from Washington that will throw
great volume of extra work on the en-
ployes of the Revenue Department. All
the statements that we1e forwarded to
Washington are on their way back, in
order that they may be corrected and the
affidavit of the taxpayer attached. The
new ruling was made necessary by the de-
cision of the United States Supreme Court.
1t will principally affect the owner of
stocks and bonds and real estate, and will
not relieve the middle classes in any way.
The instructions which are issued by
Joseph S. Miller Commissioner of Inter
nal Revenue, and approved by j. 6. Car
Isle. Secretary of the Treasury, are as fol-
lows:
O. IT. Welburn, Collector, San Francisco In
telest received from State, county and munich
pal bonds or securities and rents from real
estate are not taxable as income But the per-
sons and corporations receiving said interest
or rents shall include in their returns as re-
ceiving the full amount thereof received or ac-
crued within the year for which return is
made, and shall deduct the same as not sub
ject to taxation. The amount actually paid
for taxes and insurance and repairs on real
estate may be deducted from income as here
tofore provided by the law and regulations
All persons and corporations that have hereto
fore rendered income-taX returns Tor the year
1894 to a Collector or Deputy Collector, includ-
ing therein interest received from State, county
or municipal bonds or from rents from real
estate, may have the amounts OF said interest
and rents deducted from their income by duly
making an affidavit and delivering the same
to the Collector or Deputy Collector to whom
the original return was rendered.
The affidavit simply sets forth that the
taxpayer between January 1 and Deem
Der 81, 1894, actually received so many
dollars and cents as interest on stocks,
bonds and real estate, and not for the use
of any personal property or franchise, and
that the amount being included in his in
come he asks that it be decucted.
Continuing the instructions say:
The Collector, upon receipt OF the foregoing
affidavit, shall attach said affidavit 10 the
return of the affiant heretofore made and shall
make the correctNn in SAID return in con-
formity with the facts stated in said affidavit
and forward said amended return, with the
affidavit attached, to the Commissioner of In
Iernal Revenue. JOSEPH S. MILLER,
Commissioner OF Internal Revenue
Approved: j. G.. CARLISLE,
Secretary OF the Treasury.
Over 400 statements and thirty-eight
pages of report have been sent on to Sec
rotary of the Treasury Carlisle and these
are now on their way back. The necessary
changes will have to be made and the
affidavits attached, after which they Will
again be sent to Washington, accompanied
by new report, which will have to be
made. The change will make a reduction
of at least 20 per cent in the amount of the
tax and it viii principally favor the mil
lionaires.