Evening journal., 1919-03-31
FEDERAL TAX NOW
ON IkHERITANCES
Reduced on Smaller Estates.
and Increased on
Larger Ones
EXECUTORS TO FILE
NOTICE IN 90 DAYS

The new Revenue Act which amends
he Federal Estate Tax law applies 10
he estates OF all persons dying on or
dic February 25. 1919, which are Of
unlcient Size to be taxable under The
PROVISIONS Of this law.
In comparing this new schedule OF
axes with ones just superseded, IL IS
Interesting 10 note that the War Estate
Tax (Act Of October B 1910, has been
Eliminated. and that the Normal
estate Tax has been reduced on the
brger ones.
II will be seen from the schedule be-
ow that the Federal tax on q net estate
)f S750000 eta dccedent dying before
February %, 1919, would be $4,000
t'Normar Tax, si2G5O; War Tax.
h4250). while the tax on an estate Of
he same size Of a decedent dying on
sr after February %, 1919. would be
$500.
on net estate Of s5,OO0OOO the
chedules In effect prior TO February
9TH call for tax Of S6S2 600 t''Normaw
TAX, S5ii.5O0; War Fax, Si70,5OO). and
he new schedule IN effect from Febru-
Try 25th fixes the tax at S6il5 800, an in
lrease OF $4,000 over the former
Normal" tax, and almost as large an
mount as formerly obtained when the
Mar Estate Tax schedule was in ef-
ect.
The new law requires that a return
hall be made IN all cases where the
ross estate al the death Of the deced-
nj exceeds $4,000, and In case Of tho
stale Of every nonresident any part
II whosessross estate is situated in the
Jniied States Executors must flle no
Ice with the collector within 60 days
fter qualifying or coming into pos
ession Of any property Of the decedent, |
whichever event FIRST occurs.
The tax is due one year after the I
lecedeni's death, but which the COM |
missioner finds that its payment with
n the year would impose undue hard /
hip upon the estate. he may grant
n extension Of time not TO exceed |
hree years from the due date. II the
ak Is not raid within one year ami
80 days after the decedent's death. n
interest at the rate Of per cent. per
nnum from the expiration Of one year
fter the decedents death will be
dded as a mart Of the tax.
Within $50 days after the tax is duo.
lnless there is reasonable cause for
urther delay. the collector shall pro-
eed 20 collect the tax under the pro-
isions Of general law, or commence ap-
,ropriate proceedings TO subject the
lroperiy Of the ddtedent 10 be sold un-
Ter the Judgment or decree Of the
Ouri. The tax, together with the costs
nd expenses OF every description. shall
hen be paid and the balance paid un-
er the direction Of the court 10 the
roner persons
The Federal Estate Tax having now !,
Iec0me a fixture. IL behooves every
aan whose estate will be subject 20 It \
o make provision for its payment, and II
$50 for the payment Of the inherit
nee taxes that VIII be due various
'ates As an OF these taxes are
ought into being by the death Of the
dividual and fail due shortly after
ard. the ideal method OF preparing
r them. II IS planned, is through the
cans Of life insurance. The executors
the man who has made this prepara-
m will not be confronted with the
obable necessity Of sacrificing secu-
les or property at forced sale, but
wing paid the death taxes" with
OF cash received from his life insur-
ce, will be in a position to properly |
nserve and distribute the estate in
'oordance with the best interest Of
.e legatees.