Manchester Democrat. [volume] (Manchester, Iowa) 1875-1930, 1913-11-05
INCOME TAX Plan
TOLD BY ] TREASURY n i !: A
Details Of New Law Explained
in Statement. A..
TELLS WHO ARE 4. {, k: E: }
Method Of Collection at Source Ex-
planned for Those Who Are Liable
Deductions to Be Made &
.si 81 by Debtors. 81
TELLS WHO ARE EXEMPTED

. % %
planned for Those Who Are Liable n
.ss: Deductions to Be Made
II. by Debtors. .f
Washington, Oct 27.-On next Sat
urday the treasury department will
begin the collection Of the income tax
at their source. Treasury officials
made public its regulations governing
the collection. NJ 55 Is 4; MI
The tax applies to- every citizen.
whether residing at home or abroad,
and to every alien residing in the UNI
ted States. # ID AZ {3
y Divisions Made in Rulings.
The regulations cover the following
heads: IS 81 OK a 4 q: II .5j
When the tax shall be withheld by
the debtor. Il j: 3fs
When the tax shall be withheld by.
the first collecting agency. 81, Z.
4 Payment OF registered interest by
debtors. e
Designation OF fiscal agencies.
Certificates claiming exemption.
Organizations whose interest cou-
pons are not taxed at the source.
4 IN License required for collection Of
income from foreign countries.
BY whom the tax is withheld
Penalties Cor false statements.
Partnerships.
TAX to Be Deducted at Source.
Under the income tax law, enact
ed October 3, 1918, a tax of one per
cent, designated in the law as the
normal tax, shall be deducted at "the
source, beginning November 4, 1913,
from all income accruing and payable
to-. \, s u $ 8
(A) Every citizen Of the United
States, whether residing at home or
abroad, and to- 5s 81 a3y z
OBJ Every person residing in the
United States, though not a citizen
thereof, which may be 4 derived from
interest on bones and mortgages, or
deeds Of trust, or other similar obli-
cations, including Il equipmen trust
agreements, and receivers certificates
OF corporations, joint stock companies
or associations, and insurance com,
panies, although such interest does
not amount to $4,000; excepting only
{ the interest upon the obligations OF
the United States or its possessions,
i or a state or any political subdivision
|; thereof. I b q
III. The term I'd ebtor" is heretin before
used shall be- construed to cover all
corporations, joint stock companies
or associations and insurance com
4 panies. 81 N III :t x 55s
Tax Withheld BY Debtor.
ss For the purpose Of collecting this
tax on all coupons and registered in.
terest, originating, or payable, in the
United States the source shall be the
debtor Cor its paying agent in the
United States which shall deduct the
tax when same is to be withheld, and
no other bank, trust company, bank.
ing firm, or individual taking coupons
for collection or otherwise, shall
\ withhold the tax thereon; provided
( that all such coupons, or orders fol-
registered interest, are accompanied
by certificates Of ownership signed by
the owners OF the bonds from which
the coupons were detached. & I,
These certificates shall be In the
forms hereinafter prescribed and q
separate cert icate shall be made out
by each owner Of bonds for the cou-
pons Of interest orders for each sep
arate issue OF bonds or obligations Of
each debtor. ;5.i KS
Withheld BY Collecting Agency.
If, however, the coupons are not ac-
companied by certificates as pre-
scribed heretofore, the first bar k.
! trust company, banking firm, or indi-
-vidual or collecting agency receiving
the coupons for collection, or other
wise, shall deduct and withhold the
tax and shall attach to such coupons
it's own certificate giving the name
and address Of the owner Of or the
person presenting such coupons If the
owner is not known, with descrip-
y ton Of the! coupons; also setting forth
! the fact that they are withholding the
Z tax upon them; whereupon the debtor
shall not again withhold the tax on
said coupons, but in lieu Thereof shall
deliver to the government the certifi-
I cate of such bank, trust company, ETC.,
which is Withholding such tax money.
Designating Fiscal Agents.
5 The debtor may appoint paying or
4 fiscal agents to act for it in matters
pertaining to the collection Of this
tax, upon filing with the collector Of
internal revenue for its district a
proper notice OF the appointment of
such agent or, agents.
II the owners Of the bonds are indi-
%viduals who are citizens or residents
of the United States, the certificates
shall accompany the coupons, or with
4 respect to the interest on registered
bcnca shall be filed with payer Of
4 ~>-~..>~-~~,.--.--.
My Book.
My book hath been so much my
pleasure, and bringeth daily. to me
more pleasure and more, that in re-
spect of it all other pleasure in very
deed, be but trifies and troubles unto
me.-Lady Jane Grey.
% New to Mr.. Cumrox. i.
Does your daughter play Vein
lawski?" asked the musical guest. IF
she does,' replied Mr.. Cumrox, "she
always loses. She never says word
to me about t.''-Washington Star.