Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1913-10-31
|NCOME: TAX
JARS LOCAL.
BANKERS
ace Problem in Teaching Patrons
New System, Which Levies on
Interest Due Saturday.

The first effect of the income tax
touching the coupons and registered
interest due November / was noted
in Atlanta Friday in the number and
gravity of the conferences in various
banks, and particularly in the meet
ing of a Special Clearing House Com
nittee, headed by Robert F. Maddox
of the American National Bank.
The bankers were in a flurry-at
least, as nearly in-a-aurra. s.s-hanksFs
to other investment firms and centers
but most of the interest centered in
the meeting of the Clearing House
Committee. which would settle a uni
form plan by which the Atlanta banks
would cope with the situation.
1T means a huge middle of ac-
counting and bookkeeping" Mr.. Mad
dox said. There will be a great bur
den of extra work in the banks, and
a lot of bookkeeping among the in
vestors-a new kind Of bookkeeping,
too"
All Kinds Of Incomes Included.
The income tax of itself is not hard
to understand, and to a certain class
of citizens does not sound unpleas-
antly 1t is n tax of per cent on
the income of any person who enjoys
a yearly revenue of $4,000 Cor more)
if single, and of $4,000 Cor more) if
married.
If the person, single or married. en-
joys less than the prescribed limits,
he Cor she) does not figure in the de-
signs OF the government
And it means any and all income.
said. Salary. bonds, rentals-why. if
real estate dealer whose usual in
come is only couple of thousand
year, happens to turn up a trade by
which he makes say, $4,000, he's liza
BILE in that fiscal year to the income
tax though he never made that much
before and may never make 1t again. "
informing Customers.
Out Tue SlluftAipil lIldk COlIIOHlS lDe
clearing house is largely one of &C
quainting the customers of Its mem
bers with The new legisla ton, which
goes into effect on all the coupons
clipped November
Mr.. MaddoX's committee met at
noon Friday, and devoted the better
part of an hour to methods of con
veying to a host OF banking connec-
tons and customers the exactions Of
the tax.
1t was decided to mail out circular
letters and samples of the certificate
that hereafter must be attached %
every single coupon presented to d
bank for payment.
The idea" MIR Maddox said, lis
that the Government will tax the
income at its source. Thus the cor
poration issuing bonds, FIR instance,
must show on every coupon from
those bonds a certificate of owner
ship. duly made out by the own4r,
stating If he is exempt or liable to the
tax
If liable the bank handling the cou-
non deducts the / per cent for the
Government.
Called Burden to Banks.
IF exempt by reason OF not having
an income large enough to be taxable
the | per cent is paid by the corpo-
ration. and the certificate admits the
payment of face value by the bank to
the coupon holder"
The whole business. Mr.. Maddox
said, would impose a great burden IN
the banks, which may have to open
special departments TO handle the
rush Of coupons about January | Of
each year, when the bulk OF coupons
are payable,
July ! also win be a busy date.
Also March l., and, in fact. the first
of every month will take its toll %
labor and ] per cent revenue from
the hitherto delightfui and luxurious
pastime of coupon clipping.