The Churchill county standard. (Fallon, Nev.) 1908-1920, 1913-04-23
THE INCOME TAX AMENDMENT
Something About the Income
Tax Plan and How it Shifts
Taxation's Heavy Burden.

Soiue ldA pIOpOSeu III the UNDERWOOD
bill with those taxes collected else
where, since rates, rules and exemp-
tions are constantly changing, and
many other forms of taxation are
little distinguished from income
taxes proper
For instance, the separate German
states levy income taxes. Some Ger
man cities do also; and the imperial
German government is about to take
an especial contribution from large
incomes, presumably paid in five in
stalments; so that for five years, and
perhaps longer, some Germans may
have triple income taxes to pay.
In Great Britain the estate taxes
levied as death duties bring in a
revenue of s125,O00,000 year
They are graduated, rising to s and
10 per cent on large estates; on
those of oyers15, 100000 the first
s5,000,000 pays 10 per cent and the
remainder 10 per cent.
The British income tax proper was
levied off and on during the Napo-
leonic wars. and steadily since 1912.
The exemption has varied from $500
to $500, and is now the latter figure.
The rate has varied from less than l
per cent, upward. During the Boer
war it rose to lad, in the pound or
nearly 6 per cent. 1t was not then
graduated. A super-tax is now lev
led, and the principles of graduation
and discrimination have been further
introduced, though to less extent
than on the continent. The tax is
more than twice what the Under
wood bill contemplates. An earned
income of $4,000 pay Cd. in the
pound on $4,000 and lad. on $1,000
$500 being exempt. An unearned
income pays lad. In general the
lowest rate Is 3D., or about 81 per
cent. The highest is lid, with a
super tax of Cd. on incomes of over
$4,000; or in all little above
per cent. Besides the general ex-
emption, there is special exemp-
tion of $50 for each child under six
teen. A man with FIVE children and
$1,000 a year pays cd. in the pound
on $3.50, or about $40 tax.
Autria divides the income tax into
very many minute graduations. The
exemption is $3.50, but above that
limit the entire income is taxed.
The lowest rate is O.6 per cent;
strictly speaking, there is no high
est" The rate continues to rise
as the income increases. At s42,-
500 the tax paid is s1,937.50, ro As
per cent. An income of 100000
would pay close to per cent. There
are various exemptions for the en-
peror, diplomat. soldiers, families
with children, the blind, crippled,
bedridden, etc.
The German income tax varies
with the state. In Prussia the ex-
emption is 1925. An income of
$3.50 pays $3.50. The rate averages
3 per cent, but large incomes pay 5
per cent upon the greater part.
Earned incomes are taxed less than
unearned ones, and there are num-
efous exemptions. Saxony has lis
gradations and taxes an income of
500 "a cents. There is an abate-
ment for children. Large incomes
pay much higher rate than moder-
ate ones. Bavaria taxes earned in
comes up to 3 per cent, unearned
incomes up to per cent. The ex-
emption in the case of an unearned
income is only $3.50. If you have,
say, $40 unearned income it pays 80
cents tax.
The tax in Italy rises to 20 per
cent on large incomes, but takes the
place of other taxation to an ex-
tent not here contemplated. Much
the same is true of Spain.
NEW HedldHu, d COultIy very du-
vanced in social legislation, exempts
incomes up to $500. Incomes over
$1,000 pay per cent and so do cor
porations.
In thirty seven countries of the
world the income tax is estimated to
yield one-half of all the returns from
direct taxation. In Great Britain it
yields more than half.
Wisconsin has state income tax.
The exemption is $500 for a single
person, $1,000 for husband and wife,
and $500 for each minor or other de-
pendent. The rate varies from l to
6 per cent. A Wisconsin Millionaire,
under the combination of state and
federal taxation, may presently be
called upon to pay 10 per cent upon
the greater part OF his income. OF
course the average rent payer in any
American city pays much more than
10 per cent of his income in indirect
taxation, federal, state and local.
New York World.