The Dawson news. (Dawson, Ga.) 1889-current, 1913-04-18
Be PLEASANT, PLEASE
Uncle SAM WOULD EXTRACT AN
INCOME TAX FROM YOU IN
QUIET, NICE WAY.
BIG PENALTIES ARE PROVIDED

For Those Who Would Dodge by
Committing Perjury. How the
Tax VIII Be Collected From Cor
porations and Individuals.
Representative Cordell Hull of the
subcommittee which proposed the
income tax bill wants the manner of
collecting the tax made as pleasant
as possible, according to a Washing
TON dispatch to the New York World.
The greater proportions of incomes
which will fall under the new system
will come from corporations, and
therefore the new law will put it
suuarely up to the officers of corpor-
atoms to deduct from the interest
paid stockholders the amount which
they owe the government.
Here is an example of the manner
in which the holdings in corporations
will be assessed and taxed: At the
end of the fiscal year the officers of
all corporations will present to the
ment showing the names of stock
and bondholders and the amount
held in each name. Attached to this
will be a schedule showing the earn
ings of the corporation and the inter-
est that has accrued to each stock
holder
In every case where the interest
payable to a stock or bond holder
amounts to more than $4,000 and
less than $4,000 the treasurer of
the corporation will deduct one per
cent and mail to the treasury depart
ment a check for the amount.
Saving the Stakeholder Trouble.
In the case of the larger stockhold-
ers where they are liable to the tax
of an additional one, two or three per
cent the same course will be follow
ed. When the check reaches the
stakeholder he will find that his ifs
cal arrangements have been attended
to and that he has been charged to
the interest he owes Uncle Sam in
much the same way that he might
have been charged with a special as
sessment of one sort or another,
The officers of every corporation
collect the full amount and turn it
over to the government, and will
make no deductions for the first 81
600. which is exempted except in the
cases where they are specifically re-
quested to do so by the individual.
For example, if an individual had
interest in the amount Of $4,000
coming from two corporations he
would have a total 100000 in real
ity, but only $4,000 of this amount
would be taxable. The officers OF the
corporations are not allowed by the
law to make any exception except
when specifically notified to do so by
the owner of the stock.
When the individual affected mott
ties the corporation he is also requlr-
ed by law to notify the collector of
internal revenue so that the original
$4,000 may be exempted for him.
A Check on All Income Receivers.
In order to offset abuses that
might arise from this system the col
lector of internal revenue will keep
a comprehensive checking system.
The records of his office will show
the names and addresses of every
man and woman in the country VINO
has an income of more than S4,O00,
together with the manner in which
the money is invested and the rates
of interest it bears.
In the cases of the individuals
whose names do not appear in the
list of stock or bond holders OF any
corporation or business enterprise OF
any sort the collection will be more
difficult In the cases of the large
owners of agricultural lands or hold
ers of mortgages it will be necessary
for the agents of the internal reVe-
nue. collector to ascertain the net IN
comes that accrue from these mold
ings and to collect either from the
principal or the lessee directly or
through his agents.
The land records of counties ana
municipalities show the names OF the
owners of the lands and also OF the
holders of mortgages with the
amount and rate of interest. When
ever possible the collection agents
will require the agents or bankers
who collect this interest or rent TO
reserve and pay to the government
the amount due under the law
In the cases of large land owners
of both city and country properties
little difficulty is expected, because