The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1918-02-28
provisions of the federal farm loan act
of July II, 1916.
Those Who Must Make a Return.

l
of July II, 1916
Those Who Must Make a Return.
THE law provides that every citizen
Of the United States, whether residing
at home or abroad, and every alien
residing in the United States whose
net income for the calendar year 1917
amounted to $1,000 If the individual is
single or does not live with wife Cor
husband), or $4,000 if married and liv-
ing with wife Cor husband), is requir-
ed to make return. II the combined
income of a husband and wife and
dependent children equalled or exceed
ed either on one return or separate
returns Husband and wife should
make separate returns If others in
come exceeds $4,000, making either
subject to the surtax. Guardians
must make returns for their wards.
Duly authorized agents may make re-
turns for persons who by reason of
sickness or other disability or alb
sence from the United States are I'M
able to make their own returns. Exc
cutors and administrators of the es-
tates of deceased persons must make
returns covering the part of the tax
able year during which such persons
were alive, and also returns for the
estates during the period of settle
ment. If the income from trust
estate was distributed, the fiduciary
must make a return on a special form
IF the income from a trust estate was
not distributed the fiducary must
make regular return.
Non Taxable Incomes.
A single person or a married per-
son not living with wife or husband
and having no dependents need pay
married person living with wife or
husband, or a head Of a family need
pay no tax on $4,000 of net income;
and there is an additional allowance of
$500 for each dependent under Is years
of age or incapable of self support be-
cause mentally or physically defective.
A head of family is defined officially
as a person who in accordance with
some moral or legal obligation actual
ly supports and maintains one or more
individuals closely related to him or
her by blood, marriage or adoption
An estate or trust paying income tax
need pay no tax on $1,000 of net in
come. If a husband and wife make
separate returns, the total amount
they need not pay may be claimed by
either or it may be divided between
them. The amount of exemption al
lowed to each individual is determined
by his status on December 81, 1917,
while a deceased individuals exemp-
tion is determined by his status at
the time of his death,
Rate Of Normal Tax.
THE amount by which the net in
come exceeds the figure on which no
tax need be paid is subject to a nor
nal tax of per cent under the 1917
act A further tax of per cent under
The 1916 act must be paid on incomes
which exceed by $4,000 or more the
sum on which no tax need be paid
suppose you have a net income of
$500 and exemption of $1,000. You
should pay 2 per cent on $500, or $50,
plus per cent on $500 or $1O--a total
If $50 Suppose you have a net in
come of $4,000 and exemption of $4,000.
You should pay 2 per cent on $4,000,
~ $50, plus . per cent on $1,000, or
S20--a total of $50.
THE following tabulation shows the |
normal tax for net incomes of various |
to be paid by the person |
With $1,000 exemption and by the per-
son with $4,000 exemption without de-
lucting excess profits taxi: