The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1919-03-07
THIS TELLS HOW TO
FIGURE. INCOME TAX
SquareIy Up to Every Individual
to Get Busy by March 10
or Suffer Penalty.

last minute rush. Any person can nS-
ure out his liability today as well as ne
can next week, and If there is any
point on which he needs advice he can
now get in touch with Revenue man.
This word of advice IS from William
G. Whaley Collector of Internal Reve-
nue.. Helena, Mont, who is collectihg
the Income Tax in Montana, Idaho ana
Utah. Collector Whaley is giving WIN
ont charge every aid Of his office ana
his enlarged field force to help the peo-
pie get their payments and thelr re-
turns i'm by March 18th.
But the Income Tax men VIII ho'
mil YOUR door-bell or your coat-taiiS |
according to the Collectors announce
ment 1t is squarely up to every ind~
vidual to figure out his own case ana
TO get busy if he comes within the
scope of the new Revenue law.
Did You Earn This Much?
Every unmarried person VINO re
ceived income averaging S!9.2o week
during 1913 and every married couple
who Jointly received income averaging
1S.OO
from sthe nearest Deputy Collector or
| the nearest bank blank Form l0d0 A.
| That form contains the information nc
| will need to enable him to figure his
| correct net income and any tax that he
owes the government.
| The law requires that every unmar-
rfed person who had net income OF
| $1,000 or over and every married per-
son whose net income was $1,000 or
over (ncluding the income OF husband
or wife and the earnings Of minor
children, if any) must make return
on or before March 18th. And this re
guirement does not hinge OH whether
the person owes q tax.
i Taxable Income.
i An individual must include under
gross income all gains. profits and in
come derived from salaries, wages or
compensation for personal service OF
whatever kind and in whatever form
paid or from professions, vocations
business, sales or dealings in property
, of all kinds, interest. rent, dividends
or profits derived from any source
) whatever. Very few items OF income
, are exempt.
( Deductions include ordinary and nee
r essary business expenses, interest paid
t or accrued on indebtedness, taxes OF
all kinds except Federal income and
excess profits taxes and assessments
\ for local benefits, losses actually sus-
! tanned. debts ascertained to be worth
less and depreciation on buildings, ma
: chinery, fixtures, etc, used in business
S A further deduction is allowed for con
9 tributions to corporations operated fol
n religious. charitable, scientific or edu
cational purposes or for the prevention
of cruelty to children or animals TO al
G amount not exceeding IS per cent o.
e the taxpayers net income as computed
t without the benefit Of the contribution
S deduction.
y The taxpayer is not allowed to de
duct any personal, living or family ex
pense, any amount spent for improving
property or any expense of restoring
VI property or making good its exhaus
% ton for which an allowance is elaine
i under depreciation.
/! Figuring the Tax.
u Before figuring the normal tax tn
~ dividends are deducted as credits fror
~ net income, together with the persona
- exemption As in previous years. div
- dends of domestic corporations are el
~ empt from normal tax when receive
~ by the stakeholder.
~ The normal tax rates for citizen
# and residents are as follows: On tn
;r first $4,000 of net income in excess {
n the credits the rate is per cent; o
n any further taxable income the rate
in l. per cent
n The surtax rates apply to net il
Il come of each individual in excess
$4,000. The personal exemption an
the dividends are not deductible befol
computing surtax In the case of r
turns by husband and wife, the net il
come of each is considered separate
, m computing any surtax that may
- due. Form 1910 should be used fl
~ making returns of net income excee
IN Jig $4,000, and the instructions on tn;
form will show how to figure the su
tax.
C. Business House Returns.
es Employers and others who pa
wages, salaries, rents, interest or sl1
liar determinable gains in an amou
nj Of $1,000 or over during 1918 to al
person must file an information retu
with the Government. Blanks may
secured from the Collector.
ell Every partnership must file retu
M showing its income and deductions al
the name and address of each-partnt
ne with his share of the profits or loss
ere during the past year. Personal seryi
nd corporations will file similar inform
ng ton for 1918.
He -
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