The Rathdrum tribune. (Rathdrum, Idaho) 1903-1963, 1919-03-07
THIS TELLS HOW To
FIGURE INCOME TAX
Squareb Up to Every Individual
to Get Busy by March 10
or Suffer Penalty.

March 10Th, for paying your income
Tax and making your return Avoid
the last minute rush. Any person can
figure out his liability today as well as
he can next week, and II there Is any
point on which he needs advice he can
now get In touch with Revenue man."
This word of advice Is from William
G. Whaley, Collector of Internal Reve-
nue., Helena, Mont, who is collecting
the Income Tax In Montana, Idaho and
Utah. Collector Whaley is giving with
out charge every aid Of his office and
his enlarged field force TO help the peo-
pie get their payments and their re-
turns in by March 18th.
But the Income Tax men will not
pull your door-bell or your coat-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 II he comes within the
scope Of the new Revenue law.
Did You Earn This Much7
Every unmarried person who receiv-
ed income averaging $19.25 week
who jointly received income averaging
$3.50 q week should secure at once
from the nearest Deputy Collector or
the nearest bank blank Form 1040 A.
That form contains the information he
will need to enable him to figure his
correct net income and any tax that he
owes the Government.
The law requires that every unmar-
ried person who had net income of
son whose net income was $1,000 or
over (including the income Of husband
/, or wife, and the earnings OF minor
children, II any must make q return
ON or before March 18th. And this re-
Quirememt 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
VA AlA Minus, CACSty LCHty
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 and
excess profits taxes and assessments
! for lOcnl benefits, losses actually sus.
tanned, debts ascertained 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 for
religious, charitable, scientific or edu
cational purposes or for the prevention
OF cruelty to children or animals to ar
amount not exceeding Is per cent OF
the taxpayers net income as computed
without the benefit of the contribution
deduction.
The taxpayer is not allowed to de-
il duct any personal, living or family ex
! pense, any amount spent for improving
property, or any expense of restoring
property or making good its exhaus
| ton for which an allowance Is claimed
under depreciation.
Figuring the Tax
! Before figuring the normal tax tht
,, dividends are deducted as credits from
net income, together with the persona
exemption. As In previous years, divi
/ dendS of domestic corporations are ex
I empt from normal tax when received
by the stakeholder.
The normal tax rates for citizen.
| and residents are as follows: On tn,
! first $4,000 of net income In excess o.
the credits the rate is s per cent; OF
any further taxable income the rate 1:
IL per cent.
The surtax rates apply to net in
come of each individual In excess OF
$4,000. The personal exemption anC
the dividends are not deductible before
computing surtax. In the case of re
turns by husband and wife, the ne
| income OF each Is considered separate
" in computing any surtax that ma
be due. Form 1880 should be used q ,
making returns of net income exec q
ing $1,000, and the instructions on ha
form will show how to figure the SUI
tax,
Business House Returns.
Employers and others who mi
wages, salaries, rents, interest or. sin
liar deteTminable gains in an arr our
of $1,000 or over during 1918 TO an
person must file an information N ,tur
with the Government. Blanks M " |
secured from the Collector.
Every partnership must file ~ n stur
showing It's income and deductions al
the name anu address of each pau the
with his STARE of the profits or oss,
during the past year. PERSONAL "a rvi,
corporations will file similar iutts rm
e..