The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1919-01-23
LEAGUE INCOME
TAX BILL GOES
into ASSEMBLY
Big Fellows Hit Hard; Little
Ones Let OF Easy Under
League Scheme
GET MORE, PAY MORE PLAN
Exemptions Allowed Reduce
Rate for Small Earnings
to Almost Nothing
GET MORE, PAY MORE PLAN

With the approval of the league
caucus the committee on taxation
this afternoon introduced in the sen
ate the administrators graduated in
come tax bill, which is expected to
furnish the materially increased reve
nues which North Dakota will need il
it is to carry out the leagues elabor.
ate program OF state ownership and
paternalistic democracy.
Royianee Did It.
~. ii. I:oylance, formerly head OF
the economics department of the Uni
versity of Utah, but for some time
past attached to the Townley machine
at St. Paul, is author of the leagues
income tax bill. which provides for
the levying of an income tax on all
individuals, corporations, joint stock
companies and associations on a class.
flied and graduated basis.
ANY earnings, wages, profits or
increases from whatever source de-
rived are classified 4as earned or
unearnel" income. Earned income
is considered to mean wages, salaries,
or fees for personal services, the prof
it's from any personally conducted
business, or rents derived from prop
erty owned by a resident taxpayer.
Unearned income is held to be any
revenue derived from rents Of land
or other property; interest on mort
cages, notes or bonds; dividends on
shares of stock in any business not
personally conducted by the taxpay:
ers; receipts from annuities and from
any other source other than the labor,
skill or personally conducted business
of the person deriving such income.
The first $1,000, of unearned income
is taxed one-half of one per cent. with
an additional one-half OF one per cent
on each additional $1,000 or fraction
thereof, up to $4,000. Incomes OF
$4,000. will therefore be taxed 8 per
cent, or $500. Incomes in excess OF
$4,000 and not over $4,000 will pay
6 per cent. the annual tax on an In
come of $4,000 being $1,000 Net
incomes in excess Of $4,000 and not
over 100000 will pay eight per cent.
the annual tax on $4,000 being $4,000,
while all incomes in excess of $3O,0oo
will pay 10 per cent a5A T.. v.
On earned. incomes the tax on
the first thousand is one.fourth OF
one per cent, with an additional quar-
ter of one per cent on each thousand
up to $20,000;' six per cent on earned
incomes over $4,000 and not exceed
ing 10000; eight per cent"On earned
incomes over 100000 and not exceed
ing $4,000; ten per cent on all earn
ed incomes in excess Of 100000. .. .
,a5.a. Individual Incomes. ID
An unmarried head of family Is
allowed an exemption of $1,000 per
annum, which is not taxed; married
men and women are allowed an In
come exemption of $4,000. In other
words, an unmarried man, head of a
family, and earning $4,000 per annum.
would pay on earned income tax OF
one-half of one per cent on $1,000 per
annum, of $3.50. A married man or
woman earning the same salary would
nav but one-fourth of one per cent
per annum on an earned income OF
$500, or a yearly income tax OF Sl.25.
All persons are required to file with
the state tax commissioner, not later
than March I, duplicate OF their in
Continued on Page Fouro 3.-