Milford chronicle., 1917-12-14
TELL HOW TO MAKE
WAR TAX RETURNS
collectors Urge Public to Become
Familiar with Law. Payments
Are Due June, 1918.

Minnie directions regarding the
-rocadure to be followed in making
-. returns under the Federal income
+sy law are given out by the Collect
- of Internal Revenue for this de-
,artment with a request that 1t would
bo to the advantage of the public IN
oeraral 10 familiarize itself with the
So1nirements of the law, as very Few
nersons would escape its provisions.
n order to emphasize the comprehen-
siva character of the revenue law as
smended by Congress at the last ses-
@io1 the collector cited the fact that
not income averaging $19.25 per
,,aet would be liable to the war tax.
A. ignorance of the laws require
-1ents in nowise absOlves an indiyld-
,,al for the imposition of penalties for
noncompliance with the statute, un-
necessary trouble and expense will be
avoided by mastering the details Oh
the tax at this time.
The income tax law, which covers
tho wear which began January lst
l9st imposes a tax on individuals who
ara single and not the head OF fam
m. receiving a net income OF Sl,OOO
ar in excess thereof. This brings
,,,ithin the scope of this requirement
taose having a net income averaged
weekly of approximately S19.25. Mar
RED individuals living together are
entitled to an exemption of $4,000 and
win not be required to file a return
unless the net income received dur
Ing the year is $4,000 or in excess
thereof. 1t is provided, however, that
5000 additional exemption will be al
lowed for each dependent child.
However, the head of a family being
entitled to $4,000 not married, will
he reouired to file a return if the net
i income received is $1,000 or in excess
thereof.
The man who received a small in
come, and who had not filed return
under the act of September s, 1916,
will be more or less at loss in max
ing out his income tax return. Wltn
a view to meeting this condition, the
following procedure should be follow
ed:
In the first place, obtain your blank
return from the collectors Office dur
ing the latter part of December. II
will then be necessary to prepare
statement of your income received
during the year, and enter same on
the return under the respective head
ings shown on the blank return.
i should your income be entered under
4 this heading; also you may be the
owner of a bond, the interest from
which should be entered under this
heading; likewise the income recelY-
ed from other sources. The various
amounts above referred to constitute
gross income. The matter OF deduc-
tions is then taken up and charged
off under the respective headings call
ed for on the return, which will give
the total amount of the deductions.
The difference between the two totals
will be the net income from when
the specific exemption is deducted IN
order to obtain the amount upon
which the normal tax is based. When
the return is properly filled out IN TINS
respect. the same should be sworn 10
before an officer with seal, and the
return filed in the collectors office oil
in the district in which the taxpayer
has his principal place of business OF
the district in which he resides on OF
before March 1, 1918.
After the collectors Office has YER
flied the returns, they Will be lsteu
on the assessment lists, and notice oI
the tax due forwarded to the taXpay-
ers on or before June l, 1918, for the
year 1917. and the payment OF the taN
should be made on or before June 10
1918.
It should be borne in mind by the
taxpaver having a small income tha'
personal expenses are not proper
deduction under the Federal Income
Tax law, such as living expenses
rents. etc. In other words, an lhul'
vidual who is married, living VIII
wife. having no children, receiving q
salary of 81, 200 per year, with no ON
er income would be entitled to an eA
emption of $4,000, with no allowance
for household expenses, making th'
amount taxable 5000, at 2 per cent oi
"a tax. !,
Discussing returns required TO D'
fled by corporations on fiscal yeal
basis during the year 1917 the col
lectors say it was desirable to nave
all returns made upon prescrlDe'
form and in accordance with APPROX
ed regulations. Owing to the IaC
that il will be impossible to Iurhlsi
these blank forms and instructions
present for the use of corporatlon'
in making excess profits tax return
the time within which such returns
may be filed in the case of these COZ
porations is extended to Jan l. 1919
This extension is made pursuant L
the provision in sub-paragraph Z o
section IA of title 1 of the Act OF sep
tember s. 1916, and applies also Il
those corporation income tax returns
due to be filed on or before Januar!
l next. the correct preparation o
which depends upon the excess pro