The Hickman courier. [volume] (Hickman, Ky.) 1859-current, 1919-01-23
INCOME TAXES.
Some Pointers on How 20 Make up
Your List for 1919


feth. the big bug Of internal revenn'
| collections for this district. ana To-
/ future reference. we advise you =
i clip this article:
The big Income Tax drive Of lsi'
Il now under way. and every prepHf@
tiOn Is being made % handle the hrs
est collection in the history of Income
Tax Il am not waiting for the ma
passage Of the new Revenue bill 10y
| Congress. said Collector Joseph
Grifhth today nor for the new reeu
lation~ and blank forms 90 De- is~ue''
To get this big tax in and get II accu.
rate and complete. ] urge that We an
begin now.
The income tax obligations imposed
by the old laws a. well a. the meas
ure now ia Congress. consist OF Nv"
distinct operations one l.. To file re
turn or statement Of all items oi IN
come and items Of deductions allow
able by law. aud 10 do this within tiie
period named IN the law the "theI
Il. "a pay the tax. IL any i due
Neither Of these obligations can he
met without a careful review OF IN
come and expenditure for the tax year
That j. the big job right now. and ina I
Is why / say the Income Tax drive J.
already under way Everywhere tht'
pencil j. busy The old year l. done :
all its fruits are CLEANED: ana every
person who Jared well or earned a
good competence. must analyze their
own figures.
when the new hill j. enacted int"
law. I will have the proper return
forms distributed throughout this DiS
trict and every body will be- informed
81 the date when the sworn return
must D. fled II j. my plan To send
my men out 20 central locations anu
20 have them travel through the ms
trict aiding taxpayers IN the prcpata-
tion Of the Returns and In deciding
doubtful points. We will 90 right 20
the people with the income tax anu
with the corporation which the public
can give the Government men. the re-
turns will be- filed 10y every body who
comes under the laws provisions. the
right taxes will he paid. and the Dis-
tricf will have done its fun patriotic
duty toward the Governments support
Meanwhile. let me say again. there
il no need 81 delaying the preparation
of figures Anything that Congress
does now will not affect the amount
Of a persons earnings for 1918 Let
uS avoid the bclated throwing together
Of figures that may hit or miss
GueSSeS cannot be accepted as the ba-
sis Of taxation. IL j. clearly the duty
Of every person 10 compile correct ne
ures and ascertain whether his income
for 1915 was sufficient 90 make ne's.s-
Sary a sworn return.
The year 1915 was a banner year
for salaries and wages. and the high
war prices brought unusual prices 10
the average small tradesman and to the
In IafH ~ Inn
is that "A million citizens and residents
will make this year their first Income
Tax returns
All signs Indicate that the Income
Tax this year viii reach nearly every
working man and woman. AND nearly
every merchant shopkeeper and tnfih-
cr Not AL will have Co pay the ~ y
but nearly an viii be obliged 20 ma 1e
"a sworn statement ~ the year : III
come.
Il am therefore advising every un-
married person who earns $1,000. or
over during the year 1915. and cVer<
person. who together with
wife or husband. earned $1,000. 10
sharpen his pencil and figure out how
he stands
Gle must ascertain accurately his
income from all sources There's his
salary or wages. including overtime
pay and any bonus received as addi-
tional compensation married per
son having children under Il who are
working should include the earnings
Of such children
III ne sold any property at "A profit,
the gain must be computed and inciud-
ed in gross income II he rented any
property 10 other persons. the total
rents received I'm the year must be as
cerfained. and from that figure "A de-
ductiOn may be taken for taxes PAID
ON rented property. the necessary min
or repafrS. fire insurance. any interest
he NAV have paid ON mortgage. and
rea sonable allowance for the wear and
tear of the rented property. The bal
ance il included i'm gross income Tor
the year
Interest on bank deposits. whether
Withdrawn or added 10 his bank bal
ances must be included in all caicuia-
tions of income. Bond interest receiN-
ed during the year must also be inciud-
ed. except interest on Municipal, couh-
~ or State bonds Interest on tnited
STATES bonds need not be included by
the ordinary bond holder who purchas-
ed small amounts Holders of large
amounts of Liberty Bonds. however.
should ask their bankers TO write To
my Office for the rule applying TO tax
on such interest.
Dividends ON Stock Shares are IN
come. and must be included in the
gross figures although the law does
not impose the normal tax on distri-
buttons made by domestic corpora
tiOns.
~ person buying and selling mer-
chandise must find his profits for the
wear ON the following basis; flfst as
certain the total sales or cash receipts
Then add together the Inventory at tne
beginning of the year and the purcnas-
es of goods for resale. From this la =.
ter sum substract the Inventory OF
goods on hand at the years end ana
the result i Inc cost Of the goous
sold This cost. plus mes ssary e2peh,
ses incurred solely through conduct ol
the business. is TO be deducted from
the gross sales. and the result Is the
net earnings of the business.