The Hawaiian gazette., 1916-09-29
NEW RENEAUELAW
in REVISED form
DOUBLESTAxANON
~ - i'--- IA IRA
Text Of Measure Now In Hands
Of Collector Haley Changes
Its First Reading
IMPORTANT PROVISIONS
ARE SWEEPING IN SCOPE.
Incomes and Other Features 81
81, 81, Bill Are Explained In Full
-. and Classified :
HH. y y. q . #|

eeme TAX you nave been paying &c
Uncle Sam. The text Of the new reve,
nue. law, passed by congress and signed
by the President, reached the Office OF
Collector Of Internal Revenue Haley Ia
, the mail yesterday, and corrects sev.
ieral mistakes regarding the law print
Led locally. These errors, II was point
ed out by Collector Haley, were due to
the fact that many changes were made
in the bill before IL was passed and
statements regarding the provisions Of
the act might have been right ut the
D time they were sent here, but the
changes made them incorrect at the
time of the passage Of the measure.
( The bill provides a normal tax on all
incomes for married persons above
$4,000, as heretofore, but increases the
rate from one 10 two per cent Single
persons with incomes above $4,000 must
also pay two per cent instead Of one
per cent as heretofore. '.H %
Hurtax Also Applies H.. b.. ~
A turtax varying in proportion to
the amount of the income Is imposed
upon all incomes above 100000. The
rates are as follows: On incomes be-
tween. $4,000 and 100000, one per
cent; between $4,000 and 100000, two
per cent; between 100000 and 100000.
three per cent; between $4,000 and
100000, four per cent; between $780,.
900 and $l50,000, five per cent; be
tween $4,000 and 100000, six per
cent; between 100000 and $260,00O,
seven per cent; between $250,000 and
100000, eight per cent; between
100000 and 100000, nine per cent ;
between $500,0O0 and $I,O00,O 900, ten
per cent; between 81 100000 and
81, 900, eleven per cent; between
$1,6OOyO00 and $2,00O,O00, twelve per
cent; above $4,000, 900 thirteen per
cent. g. Il. .,E7ts rs y. ..tAEtFy
These rates shall affect incomes for
the current year, said Haley. "The
new law also defines very CLEARLY inst
what constitutes Income and the sse!
Rotary of the treasury Is authorized 10
tax the accumulated profits where net
distributed by companies. ~ \ ~
Important Feature Explained
Gone point that should like to
have brought to the attention OF every
employer in the Territory, is that the
law provides that Withholding agents
must in future withhold two per cent
of incomes instead Of one per cent as
heretofore. This is important. Still
another feature of the law is that the
taxes are payable June IS instead of
June 80 as before, and the returns must
be fled March ! of each year. ~
1.-THE tax as il Affects the corpora
tiOns of the Territory, is also increased
from one to two per cent, and the re.
turns must be made to this Office not
later than March / Of each year. These
taxes also are due and payable june
10 instead of June 80 as heretofore. -
The Inheritance or estate taxes i'm.
posed by the new law have been
changed from the old schedule as fol.
lows: DsI,. %
On all estates in excess of $4,000,
one per cent; between $4,000 and
$l50,000, two per cent; between $780,.
600 and $3.50, 900 three per cent; be.
tween $780, 900 and $4,000, four per
cent, between $450,0O and 100000,
five per cent; between 81 ,O00, 900 and
r$2,000,000 six per cent; between
$2,O00,000 and 100000, seven per
cent; between $3,0O0,0O0 and a, 000,.
900, eight per cent; between a; O00, 900
and $5,000,O00,. nine per cent, aAd in
excess of $4,000, 900 ten per cent. rs
: Exemption Il Granted 49,.
. The exemption on estates below $780,.
900 is granted by the provisions Of the
law. The measure also directs that
executors of estates shall file with the
government notice of his appoint,
ment to his post within thirty days of
= his appointment. The tax falls due. one
year after the death Of the testator,
and the estates of nOn-residents must
pay equally with the estates of resi-.
dents.
de The measure contains a number of
provisions for special taxes, among the
most important of which are the taxes
upon corporations, joint stock com
panies or associations organized dor
profit. These shall pay fifty cents on
each $1,000 worth of its capital stock
surplus and undivided profits. The law
exempts concerns of this class with a
capital of less than $4,000, but i'm.
poses the tax upon all foreign corpora
tions that come within the terms of
the act. D. f.. T.
Other Special Taxes
Other special taxes are thirty dollars
per annum on stock brokers, fifty dol
lars per annum on pawnbrokers, TWEEN.
ty dollars per annum on ship brokers,
ten dollars per annum on custom house
brokers. Theaters must pay accord
ing to seating capacity, as heretofore,
twenty-five per annum for $50 seats;
fifty dollars for $50 to 500 seats;
seventy five for 500 to 800 seats; $1,000
for anything above 800 seats. In cities
or towns Of 5000 population or less
the tax win be one-half of these
amounts. "
Proprietors of circuses are not for
gotten and must pay 500 year; pro-
prietors of public exhibitions ten dol
lars a year. Bowling alleys and BIZ.
lard rooms must pay five dollars for
each alley or table, manufacturers Of
tobacco and cigars and cigaretts are
also taxed according to scale of annual
manufacture. ~. ...s