The Hawaiian gazette., 1896-04-24
INCOME TAX.

Representative Winston's bill ito pro
vide revenue for the Government by
the assessment and collection of tax
on income" is, by the courtesy of that
gentleman, now before US.
The bill contains twelve sections. Sec
| ton / is as follows:
Section 1. That from and after the
| first day Of July, one thousand eight
hundred and ninety-seven, there shall
be levied, assessed, collected and paid
annually upon the gains, profits and in
come derived by every person residing
in the Republic, and all servants and
officers of the Republic wherever re-
siding, whose total gains, profits and
income shall not have exceeded the sum
of four thousand dollars for the preced-
ing twelve months, from all property
owned and every business, trade, pro-
fession, employment or vocation carried
on in the Republic, tax of per cent
um on the amount so derived over and
above two thousand dollars, and like
tax shall be levied, assessed, collected
and paid annually upon the gains, prof
its and income from all property owned
and every business, trade, profession,
employment or vocation carried on in
the said Republic by persons whose to-
tai gains, profits and income shall have
exceeded the sum of four thousand dol
lars for the preceding twelve months,
or by persons who shall reside without
the said Republic, not being servants
and officers of the Republic. And the
tax herein provided for shall be as
sessed by the assessors and collectors
for the time being for the several tax
divisions of the Republic, who shall be
called the ASSESSORS" and collected and
paid upon the gains and profits and in
come for the ye1r ending the Both day
of June nczt Preceding the time for
levying, assessing, collecting and pay
ing the said tax.
Section II. taxes the incomes of all
corporations, mo matter how or where
created or organized" but exempts the
incomes of associations conducted for
charitable, religious, educational or
scientific purposes, and those of frater-
nal societies.
Section III. shows how the incomes
of persons and corporations are to be
calculated, and provides that the neces-
sary expenses incurred in carrying on
the business, trade or profession, shall
be deducted. 1t also provides that when
allowable only one deduction of $4,000
shall be made from the aggregate in
come of all the members of any fam
lily composed of one or both parents,
and one or more minor children, or
husband and wife.
Section w. provides for full return
of the business of all corporations.
First, the gross profits; second, the ex-
penses, inclusive of interest, annuities
and dividends; third, the net profits;
fourth, the amount paid in interest,
annuities and dividends; fifth, the am
cunt paid in salaries under 81 900 per
annum; sixth, the amount paid in sal
aries over $4,000.
Section V. provides that persons hav-
ing an income of 81, 800 or less are not
required to make any report to the as
SCISSOR. Those whose incomes exceed
that sum are to make report during the
month of August, and if the report is |
regarded as false or fraudulent, the as
SCISSOR shall have the right to summon
the parties and have the books of the
business or corporation produced.
Section vi. provides that corpora
lions, etc., must keep proper books,
which can be inspected If corporation
refuse to have it's books inspected, the
assessor is to make an estimate of the
income and add 100 per centum thereto.