Courier Democrat. (Langdon, N.D.) 1891-1920, 1919-03-06
we Ger easys ruen.
(Continued Next Week.
TELLS HOW TO-
FIGURE INCOME TAX
Square|y Up to Every Individual
to Get Busy by March Is
or Suffer Penalty.

"Don't wait until the final due date,
March Is, for paying your Income Tax
and making your return. Avoid the
last minute rush. Any person can fig
ure out his liability today as we'll as he
can next week, and If there is any
point on which he needs advice he can
now get in touch with u Revenue man."
This werd of advice is from James
Coffey, Collector of Internal Revenue,
Aberdeen, S. D., who is collecting the
Income Tax in North Dakota and
South Dakota. Collector Coffey is Civ
ing without charge every aid of his
office and his enlarged field force to
held the people get their payments
and their returns in by March 18th.
But the Income Tax men will not
pull your door-bell or your co%at-tails,
according to the Collectors announce
ment. 1t is squarely up to every indi-
vidual to figure out his own case and
to get busy if he comes within the
scope of the new Revenue law.
Did You Earn This Much7
Every unmarried person who re-
ceived income averaging $19.25 a week
during 1918 and every married couple
who jointly received income averaging
$3.50 a week should secure at once
from the nearest Deputy Collector or
the nearest bank a blank Form 1910 A.
That form contains the information he
will need to enable him to figure his
correct net income and any tax that he
owrs the government.
The law requires that every unmar-
ried person who had a net income Of
$1,000 or owe ard e.ery married per-
son whose ~. Income was $4,000 or
YER (i%ncluding Tic income of husband
or wife and the earnings Of minor
children, if any must make a return
on or before March 10th. And this re-
quirement does not hinge on whether
the person owes a tax.
Taxable Income.
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
essary business expenses, interest paid
or accrued on Indebtedness, taxes OF
all kinds except Federal income an(
excess profits taxes and assessment
for local benefits, losses actually sus
tanned, debts aScettained to be worth
less and depreciation on buildings. ma
chinery, fixtures, etc. used in business
A further deduction is allowed for con
tributions to corporations operated fol
religious, charitable, scientific or edu
cational purposes or for the prevention
of cruelty to children or animals to al
amount not exceeding Is per cent O.
the taxpayers net income as computed
without the benefit Of the contribution
deduction.
The taxpayer is no allowed to de
duct any personal, living or family ex
pense. any amount spent for improvin:
property or any expense Of %reStorin:
property or making good its exhaus
ton for which an allowance is elaine,
under depreciation.
Figuring the Tax.
Before figuring the normal tax thu
dividends are deducted as credits from
net income, together with the persona
exemption. AS in previous years, divi
dends of domestic corporations are ex
empt from normal tax when received
by the stakeholder.
The normal tax rates for citizens
and residents are as follows: On thu
first $4,000 Of net income In excess 0,
the credits the rate Is 6 per cent; OF
any further taxable income the rate il
II per cent.
The surtax rates apply to net i'll
come of each individual in excess O
$4,000. The personal exemption ant
the dividends are lot %deductible before
computing surtax. In the case Of re
turns by husband and wife, the net in
come Of each is considered separately
in computing any surtax that may b.
due. Form 1910 should be used To-
making returns of net Income exceed
iEg $4,000, and the instructions on tina
form will show how to figure the sur
tax
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