The Washington herald., 1918-01-20

| to how to file your return? If so call
| at the Legal Building, Eighth and G
, streets northwest. There are located
six revenue officers whose duty 1t is
to answer any and all questions con-
cerning war income taxes and aid
taxpayers in making out their income
tax return forms. Their services are
offered without cost.
These officials are from the office of
Joshua w. Miles, collector Of Internal
Revenue of Maryland, with headquar-
ters at Baltimore, in whose district is
located the District of Columbia
From . a. m. until 4:30 p. m. they are
| answering all sorts of queries relating
to the income tax sections OF the war
revenue act of October 3. 1917. and the
act of September S, 1916, which pre-
! ceeded it and which remains in force.
Many Queries Made.
Although the war income tax Is a
! subject which has been widely dis
| cussed, there are still many persons
| whose first question is What are the
exemptons?" The answer is 5000 in
| the case of married persons and 81 600
| in the case of unmarried persons.
But a number of inquirers have
said, I'm married and as my income
! for 1917 was just 5000. / don't have
| to file a return"
Wrong! The law requires that re-
! turns shall be made by married per-
sons or heads of families, whose in
| come was 5000 and by unmarried per-
sons whose income was 5000. al
though the tax applies only to in
| comes in excess of those amounts.
7 rtfa1 hIlt hava moth
er dependent upon me for support. Am
| l allowed an exemption of $2,0oO?"
| This is another frequent query.
The answer Is Yes" A taxpayer
| is considered to be the head of a
family and entitled to the $1,000
exemption if he is supporting one
or more persons closely connected
with him by blood relationship or
relationship by marriage. An ad-
ditional exemption of $500 is al
lowed for each dependent child IL
under IS years of age or incapable
! of self-suppirt. Many inquiries
come from women who, as well as
men. are subject to the tax. In a
number of Washington households
husband and wife are employed in
the Federal Service. Where their
| combined income from their sal
| aries or from any other source is
in excess of $4,000 they are assess
ed. They may make a joint return
| or each may file a separate re-
| turn, If desired.
II a husband and wife make sep
arate returns their total exemption
may be claimed by either, but not
by both, or it may be divided be-
| tween them. The exemption for de-
pendent children is allowed either
the husband or wife but not both
Four separate forms are used in
reporting income taxes. Persons
whose individual incomes for 1917
did not exceed $4,000 should ask
for Form 1040a. Those whose in
dividual incomes were in excess of
| that amount should ask for Form
| 1040. Additional forms are provid-
ed for excess profits and corpora
tion taxes.
The return must be accompanied
| by an affidavit. The oath will be
| administered without charge by the
revenue. officers at the Legal Build
| ing.
Tax Rate Per cent.
The normal rate Of tax under the
act of 1917 is per cent. The old in
come tax under the act of 1916 still
! is in effect so that the total tax is
| the sum of these taxes added together.
, Under the act of 1916 the normal rate
, of tax is per cent on incomes of
I married persons in excess Of $4,000 and
! on incomes of single persons in ex-
cess of 5000. For example a, married
man with an income of $500 must
, pay a tax of $50 and a single man a
: tax of 800. This is per cent on
, the amount above his exemption of
5000 C$2,5OO under the act of 1917
and per cent on his amount above
his exemption of 5000 $500 under
| the act of 1916.
Returns must be filed on or before
March !, 1913. In case Of illness or
absence from home a Washington
taxpayer may obtain an extension of
thirty days by filing a written ap-
plication with. Collector Miles, at
Baltimore, March /. Collectors of
internal revenue are not authorized
to grant extensions of more than
| thirty days but this authority is
granted the commissioner of internal
revenue in meritorious cases. If
such extension Is desired the request
duuicscu 10 the COMMISSIONER OF IN
| ternal revenue should contain a de-
tailed statement covering the reasons
! which make 1t impossible for the tax
payer to file his return on or before
March /.
Payment most be made on or before
June Is, 1918. Under a ruling of the
Treasury Department the taxpayer
may pay in four installments, the
| first Of which must be made on or
before January 80. the second on or
before February %. the third on or
before April 80 and the fourth on or
before June Is. Advance payments are
credited with interest at the rate of
i3 per cent from the date of pay
ment to June Is, which interest is
deductible from the total amount due.
Many Washingtonians are taking ad-
vantage Of this by paying the whole
Of the tax in advance or are arrang-
ing for payment by installments.
Several inquiries have been made
concerning the governments method
of ascertaining, whether persons sub
ject to the law have complied with;
its requirement. The answer Is that