Maryland independent. [volume] (Port Tobacco, Md.) 1874-current, 1913-10-03

When the new tain bill becomes
a law the people Of this country for
the first lime in fifty years will be
subject to an income tax.
Few persons in this age have ever
felt the effect Of direct taxation by |
the federal government hence, de-
spite the effects Of the new tariff
which promises so much and parti-
cularly to reduce the cost Of living
this new feature Of the law more d.
rectly interests the people Of this
country.
On the Let Of January next every
citizen in this country, whether re-
siding hsme or abroad, and every
person residing here, even though
not citizen, must prepare to pay
upon his net incpms a tax Of / per
cent, with certain exemptions. This
tax will be due on that date for FIVE
slxths Of the calender year 1913 and
theceforth will be due for each full
calender year.
While the income taxs bears most
heavily andimportantly upon persons
of large income, large number Of
the people are concerned in it to a
large extent. Every unmarried per-
son with net income---and by net
income is meant that enjoyed over
aud above the cosu of maintaining al
business, and not the cost Of personal
or family living---mvst pay a tax of
| per cent year on the excess Of the
income over $4,000. Thus an I'M
married person with an income Of
$4,000 year must pay a tax on
$1,000 year, or SO annually, or
i've dxths Of that amount for the
current calendar year.
\ married person with an income
of s., 900 a year, or a man and wife
whose joint income is $4,000, must
pay * Of l per cent on 81 200, or
$40 anaaally. No exemptions are
made fr children, though they were
originaay rrPaaed. The only ex-
snptions, indeed, are those Of $4,000
N the case Of the unmarried person
nd $4,000 in the case of TIE married
person or husband end vile living
ogether.
With respect to the husband and
sife it is important to note that the
pint Income is COMPUTE as whole
With but one exen. stion of $4,000.
That is to say, if the husbands in
-ome is $4,000 and the wife's income
$500 they must jointly pay / per
sent on $1,000, the amount Of their
joint income over the exemption. If
the income Of the husband is $4,000
and that of the wife 81, 900 they must
still pay $40 year tax even though
zach is covered by the exemption
| This is provided to prevent the shift
ing of the individual incomes of bus
band aid wife TO bring the total be-
low the exemption point.
| II the law is enforced in the spirit
of its enactment the overnment will
be exacting in the collection Of min n
sums in small incomes as well as in
the major sums from the large IL
comes, upon which taxes are levied
IN increasing ratio as the income in
creases. II is of course from the
larger incomes that it is expected to
raise the bulk of sS3,0O0,000 which
Las been estimated as the product Of
this new mode of taxation. The
average individual income OF the
United States is probably well below
the exemption named by the law, so
that minority will pay this tax
Nevertheless, it will bear indirectly
upon all in its effects, as ii is impos-
sible to afses a tax upon any class of
the pc ,ple without in soma measure
distributing the burden universally
through readjustments of prices,
rents and wages.