Daily Kentuckian. [volume] (Hopkinsville, Ky.) 1918-191?, 1918-03-16
FEDERAL. INCOME
TAX IN BRIEF
The Requirements 5oiIed Down
Tor Busy Folks.

Tux due may b. mid now OF on or
before irrr ~, 1918
II you we're single Hnd your -,
come for 1917 WIS sl.0O or more Won
must o." return.
n you we're married md living with
wife trr hushnnD and had n ne, In
come ul 1000 or more for 1917 vou
must n''. return.
Huslmud's and wife's income must
he cons Tered Jointly. plus Income Of
minor children.
Income Of n minor or incompetent.
derived from n scpnrnte estate must
be reported by his legaI representa-
tive.
Severe penalties are provided for
those who neglect or evnde the law
For false OF fraudulent return there
Is n penalty not exceeding $4,000 nne
or years imprisonment, or both, plus
100 per cent of tax.
For fniiure TO make return on or
before April I. 1918. fine IL from go
to $1,000. Plus 30 per cent Of tax due.
Returns must be filed with the Col.
lector OF Internal Revenue OF district
In which you live.
An agent may file return for a per.
son who h IN. absent from the country
or otherwise lncapacitated-
Each return must be signed and
sworn o. affirmed by person execut.
ing H.
Single persons are allowed $1,000
exemption In computing normal tax.
A married person living with wife
Tor husband) IL allowed $4,000 exemp-
ton, plus 500 for each dependent
child under IS.
A head Of family. though single. II
allowed $1,000 exemption II actually
supporting one or more relatives
Returns mutt show the entire
amount OF earnings, gains and profits
received during the year
officials and employees are not taxa
Bile on the salnEies or wages received
from a state, county. city or town In
the United States.
Interest on state and municipal
bonds issued within the u. & In on
empt from federal income tax and
should be omitted.
Interest on United States govern.
ment bonds II also exempt, except on
individual holdings OF Liberty Fours In
excess OF 5000 par value.
Dividends are not subject to normal
tax. but must be reported and included
In net income.
Gifts and legncies are not income
and should not be included on the re-
turn OF the beneficiary.
Life insurance received ms a bone
ficinry or rs premiums paid back AT
maturity or surrender OF policy Is not
income.
Payments received for real or per.
sonal property sold Is not Income, but
the profit realized thereon Is Income
for the year OF sale.
Amounts received IN payment Of
notes or mortgages Is not income. hut
the interest on such notes or mort.
cages Is taxable Income.
From the entire gross lpcome GER
tain allowances are made IN arriving
NJ the net Income.
Necessary expenses actually paid In |
the conduct Of business. trade or pro.
fesslon may be claimed.
A farmer can clgim payments for
labor. seed. fertilizer. stock feed. re-
pairs on buildings. except his dwelling |
repairs OF fences and fnrm machinery. |
and small tools for immrdi. |
Bte use
The amount OF rent paid for u farm
may also be claimed NJ tennnl firm
ers expense
Payments for i've stock are Hilowa. |
bic n Fought for resale. Hut n bought /
for breeding purposes cattle nre nn In /
yestment. not nm expense. and cannot .
be allowed
A storckeeper Gun clnlm amounts /
paid for advertising. clerk hire. trle
phone. water. light and fuel. also iray |
lge and freight bills and cost Of op |
Grating and repairing wagons and |
trucks
physician can clnlm cosi oi hts
professional supplies. rent. Office hclp. |
telephone. expense 81 team or nuiomo
bile used In making professional ,ulls |
md expenses attending medical con.
gentiOns
A dentist can claim similar Items
except team or auto expense. which /
are not necessary In his profession.
Expenses that are personal or con