Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1913-05-16

and employees or the United states nav.
ing control. receipt. custody. disposal or
payment of interest, rent. salaries. wages.
premiums. annuities. compensation, remu-
neration, emoluments or other dxed or de-
terminable annual gains, PROFITS and In
come Of another person exceeding 1900
for any taxable year. who are required to
make and render a return In behalf Of an
other, are hereby authorized and required
to deduct and withhold such normal tax
and pay it to the United States official au-
thorixed to receive the same.
observation-disclosures from the dividends
on the capital stock or from net earnings
, Of q corporation etc, subject to the nor
NAL tax are not to be included in the
above
Liability.-Each Of the persons. firms.
etc. above enumerated are hereby made
personally liable for such tax.
Benefit Of E9emption.-Where the in
come tax of person is paid at the source
the benefit OF the $1,000 exemption shall not
be allowed unless there shall be fled not
less than thirty days prior to the day on
which the return Is due with the person
or concern required to make such pay
ment Of tax at the source an amdavit
claiming the benefit Of such exemption.
When a taxable PERSONS TAI IL paid at the
J source. II he desires any deduction for
, losses. expense Of business. ETC., he may
either file claim together with return OF
any other income upon which the tax is
not withheld at the source either with the
collector or with the person or corpora
ton Withholding his tax. az the taxpayer
may choose.
Individual Incomes Not Exceeding $4,000
Per Annunn to Be Taxed at the Source
Incomes derived from interest on bonds.
mortgages or other indebtedness OF cor
porations Joint stock companies or asso-
Citations. insurance companies; securities
of the United States not now exempt
from taxation: incomes composed of cou-
pons, checks or bills Of exchange for or
In part payment Of interest or dividends
upon stock or obligations Of foreign cor
porations etc, engaged in business in
foreign countries; interest upon bonds OF
foreign countries: foreign mortgages or
like obligations not payable in the United
States.
Penalties Specified.
shall be released from liability for this
tax; when a return Is made and his tax
paid at the source no person shall be re-
quired to make return himself unless ne
has other net income; only one deduction
OF the 1900 shall be made in case OF any
person.
Failure or Neglect to Make Return For
Personal Tax.-Any person. corporation.
etc, liable to make q return for per-
sonai tax refusing or neglecting to make
such return shall be liable to a penalty OF
not exceeding $780,
Perhaps no part Of the income tax
bill. If it becomes law. will give
more trouble than that relating to ex.
emptions. Already there has been
much discussion OF this point and the
courts have been asked to decide GER
tain points
One reason why the collection of
such a tax must be looked upon as a
serious problem Is that the income tax.
the world over. is comparatively new
and therefore comparatively little un.
derstood form Of collecting revenue.
Conservative investors who have pur-
chased corporation or railroad bonds
with the understanding that they were
exempt from all taxation were unpleas-
antly disillusioned by the new bill.
The income tax law will be no re-
specter Of persons or corporations or
Of the promises that corporations have
made to persons.
Many issues of bonds. such as the
United States Steel corporations secu-
rites have stamped across their faces
In bold letters. mot subject to taxa
ton" And the purchaser IL assured
that he will always receive the net
price as quoted BY the broker.
All this will be changed when the
income tax bill becomes law. All bonds
will be subjected to taxation except
those issued By the states. counties and
municipalities.
It Is estimated TINT the individual