The Madison journal. (Tallulah, Madison Parish, La.) 1888-current, 1913-10-11

/ National, state. county, school O
municipal taxes paid within the year
Trade losses, or storm or fir,
losses, not covered by insurance.
Worthless debts charged eff durinl
the year.
A reasonable allowance for the de
probation of property.
Dividends from companies whose in
comes have already been taxed.
Interest from state. municipal OF
government bonds.
Must be Entire met Income"
1t is clear provision of the law.
however, that the taxable person must
make a return to the internal revenue
collector for his entire net income, "
and exemptions claimed under the law
must be submitted TO the federal Off
GERS for them to determine upon their
reasonableness or legality
The amount Of the income tax, as
finally agreed upon, follows:
From $1,000 to $4,000, ] per cent;
from $4,000 to $4,000, per cent;
from $4,000 TO $4,000, 3 per cent;
from $4,000 to 100000, 4 per cent.
100000 to s25O,00O. 5 per cent: $780,
600 to 100000, per cent; above
100000, per cent.
A single man with an income OF
$4,000, for example, would pay | per
cent on $4,000 and 2 per cent on $500,
total tax Of SEQ If married, the
first tax of l per cent. would apply to
only $4,000 of the income.
Ready to Answer Questions.
The treasury department is prepar-
ing for a food of questions about the
new income tax, realizing that this
feature of the tariff bill about to be-
come law strikes more intimately at
the tax paying citizen than do The
indirect taxes collected through the
customs duties.
Representative Cordell Hull Of Ten
nessee. who drew the income tax pro-
vision Of the tariff bill which will soon
become law, made public a detailed
explanation of the tax plan as it will
touch the individual citizen.
The treasury regulations soon to
be prepared will make clear to every
taxpayer the requirements of the law
and its application to income derived
rom the various kinds of business"
Mr.. Hull said. ANY person who keeps
familiar with his business affairs. dur
ng the year should have no difficulty
n executing his tax return.
How Tax Is Divided.
The income tax is divided into two
the normal tax of one per |
,ent. on the whole income above
$1,000, and the additional tax that be- |
'ins with an extra one per cent. above
10000 and is graduated to six per
ent. above 100000. Wherever the
income tax Is paid at the source by a
corporation for its employees or in SINH
ar cases. only the one per cent. nor
nal tax is so paid.
The individual has to pay any a.
itional tax himself. The provisions
( the law requiring the tax to be
|
fleet until November /, 1913.
For the first year the citizen will
lake return to the local internal reve-
ue collector before March l, 1914,
to his earnings from March 1, 1913,
the end OF this year. The collector
i'll notify him June l how much
e owes and the tax must be paid
Y June so. After next year the tax
i'll apply on the full calendar year.
If the income of a person is under
5000. or If the tax upon same is
ithheld for payment at the source.
: if the same is to be paid elsewhere
the United States, affidavit may be
ade to such fact and thereupon no
turn will be required
Covers Incomes Of All Citizens.
The tax covers all incomes Of citi-
ms OF the United States, whether liv-
g here or abroad; those of foreign
s living in the United States, and
e net incomes from property owned
business carried on in the United
ates by persons living abroad.
The net income includes all in
me from salaries or any compensa-
IN for personal services; incomes
pm trades, professions, business, or
from sales or dealings in
rsonal property or real estate; from
terest, rent, dividends from securi-
IS; for all business carried on for c
in. v
Firms, corporations, and the like Z
wing the handling of interest, rents, I
laries, or other portions of the in y
me of any citizen are compelled to L
duct the tax for the individual and u
it to the government. The indi- 0
iual then will receive a recent II
hn he all IL III