Evening times-Republican., 1920-12-13
Few Changes in
Income Tax Rules
For 1920 Returns
Special to Times-Republican.


Washington. Dec. 1S.-Extensiye
plans for aiding taxpayers in filing
their income tax returns for the ycar
1920 are being made by the bureau
OF internal revenue. Revenue officers
States TO assist in making out the
forms. The date OF their arrival and
the location ca their Offices will be
announced thru the press. or may be
obtained on inquiry at offices OF col
lectors OF internal revenue and
branch offices. The services of gov
ernpent experts heretofore offered to
city residents will be continued.
Forms for filing 1920 returns of in
come will be sent by collectors to
persons who last year filed return.
Failure To receive a form, however,
does not relieve a person from his
obligation to file a return within the
time prescribed. Copies may be OBJ
tanned from offices OF collectors of
internal revenue, branch Offices,
postoffices and banks. and are ex-
pected to be available on or before
Jan. /.
Revenue officers assigned to Tie
work of assisting taxpayers also VIII
be supplied with forms. concerning
which, and tho various items of In
como to be included, they will be pre-
pared to answer any and all ques-
tons. 1t has been demonstrated. how
ever, that many questions may be
eliminated II the taxpayer. before
seeking the assistance OF revenue
officer. will carefully study the in
s;ructions on the form.
The period for filing returns is
from Jan. ! to March Is. 1921. The
tax. this year as last. may be paid in
full at the time OF filing the return
or in four installments. the first OF
which Is due on or before March Is,
the second on or before June Is. the
third on or before Sept. Is. and the
fourth on or before Dec. Is. The first
installment must accompany the I'LL
ing OF the return
Persons whose individual net in
come for 1920 was $1,000 and less
should ask for form 1910 A. Those
whose individual net income was in
excess OF $4,000 should ask for form
to40.
The bureau OF internal revenue Is
Urging taxpayers not TO delay in the
filing OF their returns. Merchants and
business men are casting up their
accounts for the calendar year 1920.
With the facts and figures necessary
their minds, the making out of a
form soon after January / wfili an
easier task. the bureau points out.
than If delayed.
The requirements of the revenue
act relating to returns for the year
1920 are the same as those for the
year 1919. Every single person whose
net income for 1920 was $1,000 or
more and every married person
whose net income was $4,000 or more
must file a return. The exemptions
are $1,000 for single persons and
$4,000 for married persons and heads
OF families. plus an additional ex-
emption of $500 for each person de-
pendent upon the taxpayer for chief
support if such person is under
eighteen years OF age or incapable OF
self support. A single person may
claim an exemption OF $4,000 as the
head of family II he is the sole
support OF one or more relatives liy
ing inthe same house with him. and
II he exercises control over house,
hold affairs. Deductions from gross
income to which the taxpayer is en-
titled in arriving at net income are
fully explained in the instructions on
the forms.
The bureau is emphasizing this
year that the requirement to file a
return rests solely upon a persons
marital status and the amount Of his
or her net income for the year 1920.
Single persons whose net income was
$1,000 or more and married persons
whose net income was $4,000 or more
must file return regardless of
whether their incomes are non-tax-
able by reason Of their exemptions.
The normal tax rate for 1920 Is 4
per cent on the first $4,000 Of net In
come above the exemption. and per
cent on the remaining net income.
The surtax rate. which is computed
without the benefit Of the exemption,
from l per cent on the
Of net income between $4,000
and $4,000 to So per cent on the
amount of net income in excess OF
s., 100000.