Evening journal., 1918-03-13
new RULING MADE
On IECONE TAX Law
Clauses Covering Reports
Are Explained by Treas
ury Department
EXEMPTIONS
ARE INDICATED

WASHINGTON. March is-Instruc-
tlons for all corporations ana other
employers OF persons who are re-
quired by the war revenue act to re-
port any interest. rents. salaries, pre-
mlums, snnuities. remuneration. emolu-
ments or fixed and determinable gains.
profits and income Of $500 or more
paid TO any person IN any taxable
year have been issued by the Inter
nal Revenue Bureau Of the Treasury
Department
Under these instructions the follow
Ing payments do not require reports
Of information:
Payments made 20 corporations, as
soclations or Insurance companies for
the year 1917.
Bills paid for merchandise, kilograms,
telephone, freight storage and similar
charges.
Bills paid 10 employees for board and
lodging while travelling under orders
or when employee Is employed on a
salary basis
Payments Of premiums made TO in
surance companies for annual protec-
tion.
hInuAiiNH ANNANalAAlIe ANhnAn "a AAA-
pus or capital.
Fees TO lawyers, doctors and SINH
lar payments aggregating less than
$500 for the year.
Interest accrued on bank deposits be
fore &c has been passed to the credit
OF tho Individual depositor.
Salary, wages and other compensa-
tlons for service rendered in December.
1917. but paid IN 1918, unless the
amount was fully due and passed 10
the credit OF the individual In Decem-
Der. 1917.
Payment Of rent made 10 real estate
agents ,but agent must report pay
ments 20 landlord II the same amounts
70 $500 or more during 1910.
Payments made TO employees In fac
tories where the brass check or num-
Der system was In use during 1917 and
a record OF sufficient details ooes not
exist and cannot be obtained. because
Of the company. However. In all such
cases an accounting system must be
Installed that will enable such en-
plovers 10 keep an accurate check so
that full information can be given In
the future.
Living quarters" referred to IN para
graph 235, regulation No. 33 frovised),
arc quarters furnished for the benent
and convenience Of employees only.
When living quarters such as camps are
furnished for the convenience Of the
employees only, the cost need not be
added 10 the compensation OF the en-
ploye.
In the case Of an employer having a
large number OF employees VINO arc
rnovad from place TO place as the ex-
igencles OF the service require and who
consequently has no complete record Of
annual payments 10 them 40 any one
place, the salary OF two representative
months may be taken 10 establish 8
fair monthly wage. and unless yearly
payment based on this estimate IN ths
case Of an employe amounts 70 ss0C
or more no return OF payments 70 such
employe Is required for 1917.
Payments made by branches OF busi-
ness houses located IN foreign countries
to alien employees serving IN foreigr
countries need not be reported.
Returns OF information Will not be re-
oulred from dlsbursing officers OF pay
rnents made to- sailors, soldiers ol
civilian employees OF the United States
Government. the records IN these cases
belns available 10 the Treasury Depart
ment ct sny time.
The general instructions are as fol
lows:
"IIeads OF branch oflces and sub
contractors employing labor and keep
ing the only complete record OF pay
rnents should fle the returns OF In
formation In regard TO such payments
direct with the Commissioner Of Inter
nal Revenue, sorting division, Washing
ton. D C. When the record is kent O.
payments at both the main ofhce ans
Inc branch once the return should b.
0led by the main once.
"Where no address is available tn
last known postoflce address must b.
given. Street and number should b.
given when possible.
Information in regard to whethe
an employe Is single, head OF a famil'
or married should be given when pos