Bogalusa enterprise and American. (Bogalusa, La.) 1918-19??, 1919-01-23

in the period named in the law. The
other is, to pay the tax, if any is dus.
Neither of these obligations can
be met without careful review of
income and expenditures Tor the tax
/ year, That is the big job right now,
and that is why l say the Income
Tax drive is already under way.
Everywhere the pencil is busy. The
old year is done; all its fruits are
CLEANED; and every person who Jared
well, or earned good competence,
must analyze his own case in colo
figures.
when the new bill is enacted into
law, viii have the proper return
forms distributed throughout the dis
trict, and everybody will be informed
of the date when the sworn return
must be filed. It is my plan to send
my men out to central locations, and
to have them travel through the dis
trict, aiding taxpayers in the prepar-
alton of the returns and in deciding
doubtful points. We will go right to
the people with the Income Tax, and
with the cooperation which the pub
lie can give the government men the
returns will be filed by everybody
who comes under the laws provi-
sions, the right taxes will be paid,
and the district will have done its
full patriotic duty toward the gov
ernment's support.
Meanwhile, let me say again,
there is no need of delaying the prep
aration of figures. Anything that
Congress does now will not affect the
amount of persons earnings for
1918. Let US avoid the belated
throwing together of figures that
may hit or miss. Guesses cannot be
accepted as the basis of taxation. It
is clearly the duty of every person
to compile correct figures and ascer-
tain whether his income for 1918 was
sufficient to make necessary a sworn
return.
'The year 1918 was a banner year
for salaries and wages, and the high
war prices brought unusual profits
to the average small tradesman and
to the farmer. The opinion in Wash
ington is that million citizens and
residents will make this year their
first income tax returns.
"All signs indicate that the income
tax this year win reach nearly every
working man and woman, and nearly
every merchant, shopkeeper and far
mer. Not all viii have to pay the
tax, but nearly all will be obliged
90 InSEKC u SWORN -sU1EJETngHL OL7N JTsr
years income.
81 am, therefore, advising every
unmarried man who earned $1,000
or over during the year 1918, and
every married person who, together
with wife or husband, earned $4,000,
to sharpen his pencil and figure out
how he stands.
'He must ascertain accurately his
gross income from all sources.
There's his salary or wages, includ-
ing overtime and any bonus received
as additional compensation. A mar
ried person having children under Is,
who are working, should include the
earnings of such children.
eff he sold any property at {,
profit, the gain must Oe computed
and included in the gross income. If
he rented any property to other per-
sons the total rents received in the
year must be ascertained, and from
that figure deduction may be taken
for taxes paid on rented property,
| the necessary minor repairs, fire in
surance, any interest he may have
paid on mortgage and a reasonable
allowance for annual wear and tear
of the rented property. The balance
is included in gross income for the
year.
Dividends on stock shares are
income, 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.
"a person buying ana seiiing mert
chandise must find his profits Tor the
year on the following basis: First,
ascertain the gross sales or total cash
receipts. Then add together the in
ventory at the beginning OF the year
and the purchases Of goods for re-
sale. From this latter sum subtract
the inventory of goods on hand at the
years end, and the result is the cost
of goods sold. This cost, plus nee
essary expenses incurred solely
through conduct of the business, is to
- luIx,aAaJ FROM, 4ha Crr0ec casa-