The Jasper weekly courier. [volume] (Jasper, Ind.) 1858-1922, 1920-03-05
U. S. INCOME TAX
ExEMPTS NOBODY
Every Person Who Had Income
in 1919 Must Determine
Own Liability.
MARCH IS LAST FILING DATE.
Surest Way 10 20 Follow Form to4oA.
Free Advice In Doubtful Cases.
Severe Penalties In
Law.

Nobody IL exempt from Income Tax.
An obligation In laid directly on the
shoulders OF each citizen and resident
To consider his own case and 10 get his
return In on time II one In due.
With each return showing tax due
"A payment must accompany the return
In the full amount OF the tax or at
least one-quarter OF the tax.
All returns for 1919 must be filed ON
or before March ID.
Must Show True Figures.
In figuring UP his earnings for In
come tax purposes "A person must taRe
into consideration all items OF taxable
income, and each item itself must be
accurate in amount Guesses and es-
timates must be avoided, for the re-
turn is made under oath.
Everybody who had an income dur
ing 1919 must now determine whether
his or her net income was sufficient In
amount To require an Income Tax re-
turn The best way 20 find out is In
get Form 104OA and follow the In
structiOns printed on il. That form
will serve as Il reminder of every item
OF income; and If a return is due, II
tells how 10 prepare and file 1t.
One Of the important points 10 keep
IN mind is that a persons net income
is found by a computation prescribed
in the law, and that each item of in
come II IN every source mcst be con-
sidered. unless specifically exempted.
Another thing 10 remember is that
tn. personal exemption allowed tax
payers by law has no relation whatever
to the requirement TO file return. This
exemption is not to be considered until
a person has figured out his net in
come and determined whether IL was
sufficient to require him TO file re-
turn. Then, If return must be filed.
he should read carefully the instruc-
tions for claiming exemption, and COM
plete his return.
II In doubt on any point as 10 income
or deductions, a person may secure
free advice and aid from the nearest
Internal Revenue Office. Many banks
and trust companies are also furnish
ing similar service during banking
hours.
Heavy Penalties In Law.
For failing to make a return on time
the penalty is a fine OF not more than
s., 900 and an addition OF % per cent
TO the tax. If any. For making false
or fraudulent return the penalty Is
fine of NOT more than $4,000 or i'm
| Ar
both; and, in addition, 80 per cent OF
the tax. There are other penalties for
failing TO pay tax when due and for
understatement OF the tax through
negligence.
Many Sources o. income.
Aside from what one may earn by
his services. there are many other
sources of income. II he sold any
i property during 1919 he must figure
out the gain realized. II he rented
buildings, land, apartments or rooms
such rents must be considered taxa
able and he may claim deductions for
necessary expenses incidental 10 rents.
i Bank interest Is a common source
If income and.is taxable whether with
drawn or not Any amount Of interest
credited to a depositor is income 10
the depositor.
Interest on mortgages and notes Is
! taxable; also bond interest received
+, from corporations.
A taxpayer who cashed his insur-
ance during 1919 must report as in
come any excess received over the to-
tai Of premiums paid.
! Members Of partnerships or personal
service corporations or beneficiaries OF
an estate or trust must report their
shares Of income distributable TO them
whether or not actually withdrawn.
Dividends Of domestic corporations
must be reported. Many other forms
Of income are taxable, unless specific
ally exempted.