New-York tribune., 1919-06-08

IS in addition to all other taxes i'm
posed by law.
Q-May a valid tax be levied on such
an assessment on or after August l,
1919? A.-Yes.
Q. Who is an income taxpayer? A
Any person, trust or estate, who or
which is subject to, or whose income is,
in whole or in part, subject to tax
imposed by Article l6 Of the tax law.
Q. Upon whom or the incomes Of
whom is a tax imposed? A. tax rs
imposed in respect of the incomes OF
(a) residents and CD non presidents.
Residents and Non-Residents
Q-Who is resident? A.--A nat
ural person, not transient, is resi-
dent OF the state for purposes Of
the income tax Whether or not one
is transient is determined by his IN
tentions with regard to his stay.
person who becomes a resident of the
state at any time before March 10 OF
the next succeeding calendar year ls
resident Of the state for the calendar
year for purposes of the income tax.
@. Who is nonresident? A. A
person is nonresident, within the
meaning of the act, if he receives in
come from property owned or from
business, trade, profession or occupa-
ton carried on in the state but is not
a resident thereof
Q. Is an alien taxable under this
act? A. Yes; accordingly as the tax
is imposed on him il a resident, or
upon his income if nonresident.
O. Is corporation taxable under
this law? A. No. A corporation is
taxable under other provisions of law.
@. May a minor be taxpayer? A.
Yes. A minor, as such, is not exempt.
Q. Is a partnership liable to a tax?
A.-No; but the members of the part
nership are as individuals
Taxable Income Described
Q.-W hat is income A.-Income, in
broad, general way, means all wealth
which vows in to taxpayer ither than
as a mere return of capital. 1t includes
gains and profits" including gains de-
rived from the sale, exchange or other
disposition Of capital assets. 1t is not
limited to cash alone.
O. What is taxable ncome"? A
Taxable income" is what remains of
met income" after deducting the per-
sonal exemption, if any, allowed by
Section 362, or the credit, if any,
granted by Section 1868. 1t is the base
upon which the income tax is calcu-
lated
O. What personal exemptions are al
lowed resident taxpayers in calculating
taxable income? A.-For the purpose
of allowing personal exemptions, resi-
dent taxpayers are divided into two
classes: az single persons and mar
ried persons not living with husbands
CT wives, who are not the heads of fam
lilies, and (b) single persons and mar
rieo persons not living with husbands
or wives, who are the heads of families,
and married persons who live with hus-
bands or wives. To a person in the
first class an exemption Of $1,000 is
allowed. A person in the second class
is entitled to an exemption of $4,000,
but a husband and wife living together
may have but one exemption. In both
cases ar additional $500 for each de-
pendent, other than husband or wife,
If such dependent is under eighteen
years Of age or is incapable of SELF
support because mentally or physically
defective, is allowed. The only excep-
ton to this rule is that a taxpayer re-
ceiving salary, wages or other compen-
sation from the United States as an
official thereof is entitled to only so
much OF the personal exemption as is
in excess of the aggregate amount Of
such salary. wages or other compensa-
ton.
Q.-May taxpayer calculate income
cording to the method of account
ing regularly employed in keeping his
books? Ayes; he must return his
income in accordance with his books,
subject to the authority Of the CON
troller to require another method if,
in his Judgment, the books do not
clearly reflect income. If he keeps no
books the controller determines the
method Of computing income
Of husband and wife living to-
O. $4,000 or more, must each file re-
,urn? A.-Each may file a return or
they may join in rendering a SINGLE
return.
Q.-ln such case, if they make
separatc returns how may the per-
sonal exemption be claimed? A--The
personal exemption of So 1000 may be
taken by either or pro rated between
them.
Q.-What penalty is provided for
the failure 10 file the required return
within the time provided? A.-(a)
For such an omission one is guilty of
misdemeanor and may upon conviction
be fined not to exceed $1,000 or im-
prisoned for no longer than year, or
both, at the discretion Of the court.
fbi Furthermore, a taxpayer becomes
subject to twice the ordinary rate of
tax (Section 376, subdivision ~.
Q. What penalty is provided for
making a false or fraudulent return
with intent to cvade the tax? A-The
same penalty is imposed as that stated
in the last preceding answer
Q.-What penalty attaches if one
fails to pay the tax at the required
time? A.-lf one fails to pay his tax
at the time reQvirod by or pursuant
TO law he must pay in addition to the
amount of such tax or part thereof,
If it be an additional tax, per cent
of said amount plus per cent for each
month or fraction thereof that the
tax or part thereof remains unpaid
Section 379, subdivision %
S.