Evening star. [volume] (Washington, D.C.) 1854-1972, 1913-11-02
OFFICIALS DEFEND
INCOME TAX LAW
Satisfactory for Initiation of
Operations of lmpost.
They Declare.
McADOO SURE STATUTE
WILL WORK OUT RIGHT
Regulations Held to Be Clear Re-
garding Small Tenants and
Husband and Wife.

sItions and lawyers over the nation are
asserting that confusion is worse con-
ounded by the regulations for the col
ection OF the income tax promulgated
y the Treasury Department, officials
"a the government see no such opacity in
he law or incomprehensibility in the
administrative Interpretation.
The regulations are not regarded as
erfect by those intrusted with their
PREPARATION. but 1t is the view that they
&re All intelligent working basis
thoroughly consistent with the letter of
The law, and affording a satisfactory plan
l3r initiation of the operations Of the
i'npost 1t is expected that amendments.
- the light of experience. will be made
- the regulations. Fundamentally, they
"Fe regarded las correct and in accord
Nth the purpose of the lawmakers who
RATED the legislation.
McAdoo Confident of Law.
Secretary McAdoo of the Treasury De-
rArtmcnt has declared his confidence
taat the operation of the law will work
cut right Assistant Secretary Williams
Las stated his belief that the law is
Lot SO involved rs to preclude unrayeI-
Ing. Deputy Commissioner Speer of the
internal revenue bureau, in charge of the
division of income tax collection does
not see insuparab!e difficulties in trans
I2ting into regulations the mind of Con
GresS. and has said that the interprcta-
ions Will be rational
The regulations assuredly clear up
many moot questions. The small tenant
VIII not have to withhold I per cent of
liS rent unless his landlord claims eX-
nption. The employer will not have to
Keep back any part of the salary of an
lnI-e
leach the exempted amount of $4,000.
The individual is responsible when he
ewes tax to the government on an in
obme derived partly from business and
artly from interest on Investments; he
claims exemption on the interest and
makes his own returns.
These explanations We're made yester-
Jay to some Of the minor problems that
lave been giving the general public con-
siderable concern. They are largely COW
cred in that regulation which provides
tnat no tax shall be withheld by the with
hoiding agent on salaries, rentals, etc.
laid in Periodical installments. until such
payments shall aggregate 5000.
As to Man and Wife.
While man who does not live with his
her husband is entitled TO the $1,000 ex-
strangely enough, although the regula-
tions take cognizance of this right. the
form OF exemption certificate as set forth
IN the regulations fail to make provision
.Fhe certificate asks the person claiming
exemption to declare whether he or she Is
single, or whether married and living with
husband or wife. 1t does not give oppor-
unity for announcements of their condi-
IONS by grass widows and widowers al
though a parentheticai note requires the
slsnatory to make erasures in the printed
form 10 show correct status of the claim
.sDt for exemption.
Another point seemingly made clear by
the regulations is that husband and wife
earning but one income can claim only the
Exemption of $4,000: in case they earn
no incomes, each taxable, one can claim
temption OF $4,000 and the other for
kWo, or each of them for 50, 800
District Bankers to Wait.
Until the Treasury issues further ill-
structions concerning the collection Of
the income tax, the committee OF the Dis
trict Bankers Association will not at
tempt TO explain the new law to the
members of the organization This an
nouncement was made yesterday after
noon at the conclusion OF meeting of
! the committee OF which M. ID. Rosenberg
/ ! chairman.
Mr.. Rosenberg said the colnmitte is
anxious 10 call q meeting of the entire
assoc alton as soon as possible in order
10 report what it believes to be the
proper Interpretation OF the new law
and 10 give instruction concerning the
collection of the tax. He said the COM
inittee does not deem it wise to do this
however, until further instructions are
issued by the Treasury
There are many phases OF the new law
which bankers are at loss TO understand
They have asked the Treasury to issue
further explanations and Instructions
which, II is hoped, will straighten out the
tangles which now exist. Ii is believed
these additions to the instructions already
issued by the department will be forth
comm early this week.
The special committee OF the District
Bankers Association probably will hold
z meeting tomorrow or Tuesday. II fur
theF instructions have been issued by the
Jrtasury by that time meeting of the
entire association will then be called