The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-02-16

Denel1Clarle3 nav" an income IN excess or
the legal exemption II makes no difference
20 them which form is filed and II would
relieve the corporation Of the liability TO
pay the taX II Form 1915 were filed.
With coupons upon which the corpora
ions do not agree TO pay the tax Form
l0l6 Is the one usually used. When. how
ever. II Is not DESTROYS TO claim exemption
or after the total allowable exemption has
been claimed. Form 1919 should be used.
Allowances.
500, 900 which he will pay the Income
"a. Tax, and md sur'ss REQUIRED BY law GU, Of
Ter Ri the sum Of $4,000 as an annual
si0Nane: ss and .hs In urn out of such al
$500 as an annual allowance.
=, Are and liable for income tax on
the respective sums above specified or any
In other words: mus; a portion OF The IN;
considered in connection with h and c?
ton. calling for categorical answers. but as
probably a considerable percentage OF large
dren. whether adult or minor annual allow
ances the question involved would seem TO
hs ads Of the 9Seson experts. It has been
suggested TO mo that 49, these allowances
Income tax. but do not md warrant for
that view IN the law. 1t seems to me that
eases q exemption on account of income
being taxed ~ the source"
QUESTION would be the practice still. pre-.
vailing In some families, where. instead Of
pays n. S,l. Of n and c UP TO a certain
amount. which would no more concern the
n, than he payment of any other
However. the main question Is no, not I'm, 9ns
the law as II stand
dnes not specircllly
mention allowances. but an allowance Is
nothing more than a series ot gifts and
the law provides that gifts are not TO be
considered as income. II the amount re-
ce!ved Ia the form OF al allowance is in
vested. however. and produces all Income
such income would he taxable.
OF course. II the allowance were for
services Il would not be considered as
gift but as income. Allowances. such AZ
mentioned above. are pure gifts and can
be disregarded by the recipient in making
II return.
SIX w. man ami hts wife living
together have each a3 income OF ssV;ose
return. the woman claiming exemption 81
GT nous. aH the e .S.ia p"S Ss BAD On
Answer-They may fle separate re-
turns. II the wife claims the $4,000 ex-
emption she would have to pay Il normal
tax Oh $26, 900 and supertax on SlO,-
900. The husband would pay the normal
tax on the full $50 900 and tho supertaE
on $4,000,
Husband and Wife.
ss-A r, w y 70; please u, ENe ,Sir a.; IN
structions. Does Il mean thai y y man
S s.s mus, make ans S,aiemsnt ' to hS
and pay an income tax on $500; or can a
man say his income Is $4,000 and say no'hihS
about his wife's7
Answer-A man having an income or
5000 or over per annum Is required TO
make return and to include his "iie
| income. II the wife has a separate IN
T, come Of more than $4,000 per annun,,
however, she can make a separate return.
When the combined income OF husband
and wife is exactly $4,000 they do not
| have to pay any tax. on all over $4,000
| they must pay n tax OF per cent.
Trustees' Returns.
| SIX. w c. ~ have a salaricd pne! :.
! tlon. but own stocks and bonds tho Interest
which T,S my .a" proper foT
to deduct the depreciation on ne above INA nd
s s s:s proyidns Asf he
price on the securities held has declined?
| l:) I am a trustee OF an estate TIC IN.
come from which Is over syeSo yea, es,
Foam %an ii sti j usass.Isna an no, obliged 10
"ssss rn. u es, al " ia en,,reiy IN raiirosd
bonds One beneficiary Wishes exemption
J claimed on ali bonds which do not pay the
Forms 1918 and 1913 do not ask for the
mime OF tho beneficiary, only he name 81
.s. H sss, The Sss saS 's esa