The Cordova daily times. [volume] (Cordova, Alaska) 1914-1947, 1918-01-03

WASHINGTON, Jan. 3.-The greYt
task of gathering income tax and e.k.
cess profits returns began With
the new year.
Every unmarried person earning &
more than $1,000 during the last yeaiS.
and every married person or head OF
a family who made more than $4,000,
must file with the internal revenue
collector of his district a report any
time between now and March /. He
will be notified before June l of the
tax due, and payment will be due by
June Is
The government expects to receive
$1,201 100000 from income taxes be-
fore July 1, including 1865 1000, 600 from
individuals and $685., 900 900 from cor
porstions. This is more than one
third of the $3,400,O00, 900 estimated
receipts under the war revenue act
passed by congress at the last session.
From excess profits taxes, the gov
ernment expects to realize about ST.
220000,000 before July 1.
The rate of tax for a married man
or the head of family is 2 per cent
ceeding $4,000, but less than $4,000,
and 4 per cent on the amount of his
net income above $4,000 but less than
$4,000. An unmarried person not the
head of a family will pay per cent on
the amount of net income above ST.
600 but less than $4,000, and 4 per
cent on the net income above $4,000
but less than $4,000
An extra levy, or surtax. in addi-
tion to the normal tax, is imposed on
incomes above $4,000, so that the
amount of income between $6.al0 sss.s
$500 is subject to a total income
tax, including both normal and extra
of per cent; and between $500 and
$4,000, 6 per cent. The surtax furth
er increases with higher incomes, sc
that amounts of $1,000,000 are taxable
at 65 per cent with one per cent addi
tional for each half million up to two
million dollars. All incomes over the
latter amount are taxable at 81 per
cent.
Typical income tax levies on heads
$4,000, tax is $40; income of $4,000
tax is 500; income of $500, tax is
$780, income of $4,000. tax is $40; in
come of $4,000, tax is $50; income ot
$4,000, tax is $50.
Unmarried persons would pay in
this way: Income of $500, tax is SO
income of $4,000. tax is $50; income OF
$2,500. tax is $50; income of $4,000
tax is $40; income of $3.5O0, tax is
$50; income of $4,000, tax is $50; In
come of $4,50O, tax is $1OO; income OF
$1,000, tax is $12O.
Taxes may be paid in four install
ments between now and June Is, II
this arrangement is preferred, but the
treasury will open determined cam
paign soon to encourage pei sons to
pay their tax in full Immediately, and
receive interest on the advance pay
ment
About 100000 persons will pay in
come taxes, it is estimated, and most
will be subject to a direct federal tax
for the first time, for less than 100000
paid income taxes last year under the
old law. Tax return forms have been
made as simple as possible, those for
incomes OF less than $4,000 being es'
pecially free from technical features
or inquisitorial items.
Corporations will pay income taxes
also. but on a different basis. Thei:
net income is subject to a tax of 6
per cent under the new war revenue
act, and certain technical deductions
are allowed. Corporation returns are
due between Jan. l and March I. for
the calendar year 1917, and compa,-
les operating on fiscal year basis