New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-02-28

Question-On December 10, 1918 my
wife died. From that date until Jan
uary 8, 1919, my two children (sclf-
supporting) were with me, l being the
head Of the house or family If my in
come falls below $4,000 and above
81, 900 do I come within the Income
Tax?
own real estate to the assessed
valuation of $4,000 which if rented
would bring in $500 per year, less taxes
and insurance of $50. or income, less
repairs of 1920 per annum. Does this
come in as part of income if | occupy
and do not rent? Does expense caused
by accident, sickness, death and burial
have any bearing in the matter?
How about accounts received that
have been standing two and three
years?
Answer-You are entitled to a per-
sonal exemption of $4,000, hence you
are not subject to income tax.
Taxes paid on dwelling house which
you personally occupy may be deducted
but repairs on the same are not de-
ductible. You are not required to re-
turn any amount for rent of the house
which you own and occupy.
Expenses caused by personal injury,
t.
Income is taxable in the year received
although due in prior years.
Question: am unmarried. My sis
ter and live together in a house which
have for years and do now maintain.
She has never been strong and would
not now be able to be self-supporting
Am | entitled to q personal exemption
of $1,000 as head of house?
Last year the Public School teachers
Of New York City were exempt from
income tax. Does the same rule obtain
this year?
will it be necessary for me, as a teach
er, to file a return blank?
What is the rate per cent of tax on
incomes from one to two thousand
dollars?
Answcr-You are the head of fami-
ly and as such entitled to a personal
exemption of $4,000. Salaries of school
teachers are not subject to income tax
If your net taxable income is not in
excess of 81 900 It will not be necessary
for you to file Il return. The rate of
tax on taxable incomes between $1,000
and $4,000 is 6 per Gent.
Question: Kindly inform me wha
my income tax will be for 1918. an
single and have been in the army, thi
country, since April 20, 1917. | have
sister who is somewhat dependent OF
me.
Total income from army (pay
and commutations) ...... $4,000
Income from estate. 10000
Income from Liberty bonds. 1890
$3711.S'
Due to contracts taken before the
war for buildings, the rise in wage!
has caused me a loss Of over $1,000
(part Of estate).
During 1918 I purchased Libert,
bonds to the amount of $4,000. The
money obtained was from estat,
(Sl,000) and from savings bank &C
count.
During 1913 I gave my sister 1925
Salvation Army, Red Cross and the Y
M. c. A. about $4,000.
Answer: The income from tn,
United States is not subject to tax
You are entitled to deduct the amounts
which you have contributed to the Sal
yation Army, Red Cross and Y. Nj. c. A
Since this leaves a net income of less
than $1,000 you need not file return
nor pay any income tax.
Question: A minor has a small prop
erty (stocks and bonAs) received be
fore the incidence of the income ia,
law. He also receives all the incom,
from a voluntary trust for his benefit
this trust also consisting of stocks an,
bonds. The principal of his own prop
erty is in the custody of firm which
receives the income; this firm also re
ceives the income from the trust, keep:
the minors accounts and from time t,
time renders statements to the minor
parents.
Can the firm because Of its handlia.
of the securities and income, make tn,
income tax return as agent for tn.
minor? Should it include the incom,
for the trust, and If this income is s,
included, is it necessary for the trus
tee to make retun?
Answer: The minors guardian shoult
file return.