The Bennington evening banner. (Bennington, Vt.) 19??-1961, 1909-12-08
CORPORATION TAX
Government Taking the Steps Pre-
liminary to Collecting Money

Government Taking the steps Pre-
liminary to Collecting Money
Blanks have been sent out from the
office of the collector of internal rev.
enue in Portsmouth, N. H., asking for
information about corporations, when
organized, kind of business, amount
of paid-up capital stock, etc. prelim-
mary to assessing the tax imposed
by a law passed at the last session
of Congress. An epitome of the law
follows:
1. The law applies to every domes-
tic corporation, joint stock company
or association, organized for profit
and having capital stock or share cap
ital, and every insurance company;
also to every foreign corporation as
to business transacted and capital in
vested in the United States.
2. A tax of one per cent is impos-
ed on the entire net income over and
above $4,000 in each calendar year eX-
elusive of dividends received from
corporations, etc, on which the tax
is imposed, beginning with the year
ending December 81, 1909
8. On or before March / return
covering the preceding calendar year
shall be made to the collector of in
ternal revenue for the district in
which the principal place of business
or office is situated, in the form pres
cribed for ascertaining net income;
| and shall contain the following infor-
nation.
(a) Total paid up capital stock or
share capital outstanding at close of
the year.
(b) Total bonded and other indebt-
edness at close of the year.
Co Gross income from all sources
during the year.
I'D All dividends received within
the year on stock of corporations, etc.
subject to the same tax.
| (e) Total amount of all ordinary
and necessary expenses actually paid
within the year out of earnings in
maintenance and operations of the
business and property, stating sepa-
rately all rent, franchise and like pay
ments made as a condition to con-
tinued use or possession of property
ca All losses actually sustained
during the year and not compensated
by insurance or otherwise, stating
separately any amounts for depreci-
alton of property; also, in case of in
surance companies, sums paid with
in the year on policy and annuity can
tracts mot dividends) and net addit-
ion to reserves as required by law.
ca Interest actually paid within
the year on bonded or other indebt-
edness to an amount of such indebted
ness not exceeding paid-up or share
capital outstanding at the close of the
year; also, in case of banking insti-
tutions, all interest actuallypaid with
in the year on deposits
(h) All taxes paid within the year,
and separately the amount so paid
for taxes of a foreign government or
country
(D Net income, after making auth
orized deductions indicated in Cd to
| CHI.
4. The commissioner of internal
revenue may examine papers bearing
upon these matters and take the tes-
! timony with reference thereto. Upon
| information so obtained he may
amend the return made or make a re-
! turn where none has been made
;. The commissioner Of internal
revenue is required to add to the tax:
! (a) 100 per cent in case Of false or
fraudulent return; Oh so per cent in
case Of a refusal or neglect TO make
return. In case of sickness or abb
sence, he may grant an extension not
| exceeding 80 days
/ & Assessments ebaII no made and
notifications rendered on or before
June ! next succeeding which assess
ment is payable ON or before June 30
with penalties to be added If not so
paid.