The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1919-05-01

TAX Law IS
NOW NTRANCE
NEW NATIONAL MEASURE AP-
PLIES TO EMPLOYMENT OF
cHiLDREN UNDER IL AND IS
YEARS OF AGE.

Employment of one child for one
day in conflict with the child labor
| TAX provisions of the new revenue bill
viii subject the employers business
| to tax of 10 per cent of the net profits
for the taxable year. This is the
Interpretation of the Bureau of In
| ternal Revenue. the administrator of
| the new law
] The child labor provisions of the new
/ bill became effective April 25, 1919,
/ after that date the profits of any mine
| or quarry in which children under
| sixteen years of age, or any mill. cam
merry, workshop, factory OF manufac-
/ turing establishment in which children
under fourteen years of age are en-
| ployed or permitted to work during
| any portion of the taxable year." is
/ subject to the 10 per cent tax. A sin
| gle specific exception is made of boys
and girls Gaming clubs, such as are
| recognized by the department of agri-
culture.
Plans for the enforcement of the law
have been practically completed There
is being formed in the Bureau of In
ternal Revenue a division to be known
as the child labor tax division.
While it is the purpose of the Blu
reau Of Internal Revenue strictly to
enforce the law, its aim is to admin
lister its provisions in way to cause
as little inconvenience as possible to
the business world and to offer no
injustice to employees. 1t is the inten-
ton to accept in confirmation of the
age of the child, with certain restric-
tions as to revocation and suspension.
the age certificate, working or employ
ment certificate or permit, or other
similar permit issued under the laws
of the state In some of the states
where adequate laws do not exist
this will not be feasible. These states
are probably North Carolina, South
Carolina, Georgia, Mississippi and Tex
as. The plan is that federal agents are
to visit localities in such states where
establishments employ child labor and
issue the certificates in person.
The act imposes a penalty of fine
of not more than $1,000, or mprison-
ment for not more than three months,
or both fine and imprisonment, for
knowingly presenting false evidence in
relation to birth certificate or ap-
plication therefor.
The law provides that in none Of the
industries within the scope Of the law
shall children within the age limits be
permitted to work more than eight
hours a day. or more than six days
after D. M, without the assessment
of the tax. such industries will be
required to keep a time record show
ing the hours of employment of each
child between fourteen and sixteen
years of age, for the information of
federal inspectors.
The Bureau of Internal Revenue will
maintain force of inspectors who
are authorized to enter and inspect,
at any time, any mine, quarry, mill
cannery, workshop, factory or manu-
featuring establishment
In computing net profits, employers
of child labor are allowed the follow
ing deductions:
Running expenses, including rentals,
cost of repair and maintenance, heat,
power insurance, management, rea-
sonable allowance for salaries or other
COMPENSATION for other personal SER
vices rendered, and for depreciation.
Interest paid within the taxable year
on debts or loans contracted to meet
the needs of the business, and the
proceeds of which actually have been
used to meet such needs.
Taxes of all kinds during the taxable
wear with respect to the business or |
property relating to the production.
Losses sustained during the taxable |
ear in connection with the business,
including losses from fire, storm, flood, [
or other casualties not compensated foT
by insurance or otherwise
Return of the tax imposed on en-
pioyers OF child labor must be made |
IN or before the FIRST day Of the third !
month following the close OF the tax
able year." The taxable year means the
c.;le4.sl,- year. or the fiscal year end
inf during such calendar year the
first taxalla year IS for the period from
April 25 . Teecalbcr 81 1919, or sucn
portion of saeh period as is Included
within the Gecsl vcaT
Collectors of Internal Revenue VIII
remit these returns to the COMMISSION
or who will notify the person making q
the return of the amount Of tax due.
Payment of the tax must be made ca
or before thirty days from the %
Of such notice.
The penalty for failure to make a re-
turn or pay the tax VAIN ths ~
specified il a fine Of not more than
& 900. For .swuIlfully refusing, or
.wullfuliy attempting in any naer
to defeat or evade the ta-v en- the part
Of any Individual corporation
n ership or any officer or empioSee (.
any corporation. or member or e.h
ployee OF q partnership. the penals
Is E fine Of not more than SlO,ooo' or
for one year. or both, to-
gesher With the cost of prosecution.
The 1916 act which eorbade the move
ment IN interstate commerce OF the
products of child labor was declared
unconstitutional by the supreme court
Of the United states in decision Is
sued June .. 1918, on the ground that
It infringed the rights of the states
% control such questions