The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1914-02-19
EXECUTORS RULES CHANGED
Place of Assessment Is Also Made Clear
by Amendments Passed at Last SEES
sion of Legislature Income Taxable
if Distributed to Benefciaries or Not

The income tax law originally en-
acted as chapter 65S, laws of 1911, has
feen amended by chapters 27, 443, 4S7,
554 and 720, laws Of 1913. While the
changes are not great, yet it will be
Of interest to those who make income
tax returns to know Of them.
This articles refers particularly to
trustees, executors, administrators,
agents and receivers. Section 1087m-
10.5, has ben changed and reads as
follows Every guardian, trustee, ex-
ecutor, administrator, agent or receiv-
err and every other person or corpora
tion acting in fduciary capacity shall
make and render to the assessor Of in
comes of the district in which such
representative resides, verified list or
return Of the amount Of income receiv-
ed by him for such person, ward or
beneficiary together with all income re-
ceived by the ward, beneficiary, de-
ceased or incompetent person whom he
represents or succeeds during the year
covered by the return and shall be liza
BILE to assessment and taxation, there
for, subject to the deductions and ex-
emptions provided in this chapter;
provided, that such deductions or ex-
emptions have not been claimed by or
for such person, ward or beneficiary in
another capacity. The return SO made
shall be signed by the person render
ing it, and by the president or secre-
fary thereof, if corporation. Every
person subject to an income tax in his
representative capacity under this sub
division shall have all of the remedies
and rights of reimbursement for any
lax assessed or paid by him in such
capacity prescribed by section 1044a
OF the statutes.
This section differs materially from
The wording Of the original section.
II makes clear the duty of the persons
acting in the representative capacities
named, not only as to making the re-
turn, but also as to their responsibility
for payment Of the tax, at the same
time securing them against personal
loss by giving them a lien upon the
property in their possession until reim-
bursed. Nonresident benefciaries are
nct entitled r. III" personal eXemptions
If the trust is likely to terminate af-
ter making the return before the tax
is payable, the representative should
retain Sufficient funds to pay the tax.
Particular attention should be given
to the above section by all persons act
ing in the capacity of trustee, executor,
administrator, agent or receiver, as
every person acting in such capacity
will be required to answer and are
held for the tax
TIE tax commission has ruled that
the total amount received by every
guardian, trustee, executor, agent, etc,
must be given, and the tax figured
thereon Benefciaries in making their
returns may deduct such funds on
which a tax has been paid by the
guardian, trustee, executor, agent, etc
The return is to be made to the
assessor of incomes of the district in
which the representative has his
official residence.
With respect to place of assessment
ard taxation income is of two classes:
that which follows the situs of the
property or place of business, and that
which follows the residence of the tax
payer The first class is not affected
ty the existence of guardianship,
trust, etc, i. e., income derived from
property located and business transact
cd within the state is taxable whether
The residence of the representative or
that of the ward, beneficiary, etc., be
within or without the state. The see
ond class, income which for the our
pose of taxation follows the residence
Of the taxpayer, includes inc 1me from
personal service, from land contracts,
mortgages, stocks, bonds and securi-
ties. Such income will be assessed and
taxed at the official residence of the
representative, which is generally held
tn be the district III which the ward,
decedent, etc, lived when the repre-
sentative was appointed.
AS a general rule She trustee of an
estate under the jurisdiction of a Wis
consin court is taxable upon the in
come of the estate, regardless Of the
residence of the beneficiary and even
though the trustee personally lives
without the state.
Return should be made not only of
the income received by the representa-
tive, but to all other income received
by the ward, beneficiary, deceased or
Incompetent person during the year
1913. above part of this rule is not be-
lieVed to apply to representatives (par-
ticularly agents and assignees) of resi-
dents OF this state who are competent
tc make return on their own behalf.
Income received during 1913 is tax
able to the representative whether