The Columbus courier. [volume] (Columbus, Luna County, N.M.) 1911-1920, 1920-02-27
INCOME TAX
ExEMPTS NOBODY
Every Person VINO Had moons
IN 1919 Musi Determine
Own Liability.
MARCH IS LAs1 HUNG Dave
ourss, way ., % rslls. Fern 1000
Free Adsies m psubtful csssR
severe Penalties n
Law.

Nobody u exempt from Income Tax
An obiiration n laid directly on lho
shoulders Of each citizen and resident
20 consider hls own case ana % nel he
return IN on time n one Il due.
With each rrtum showing q tax duo
. payment must accompany the return
10 the fun amount Of the tar or nt
least one quarter Of the tai.
An rcturna Tor 1919 must Be nlod on
or before March rs
Must Show True Figures.
In figuring up hts eoruinrs FOR m
come tar purposes a person must take
Into consideration an items Of iamhlo
income. and each Item itself r1urf be
accurate IN amount 0ucsscs and e.
timafes must be avoided. for tho TO
turn h made under oath.
Everybody who had an income dur.
Ing 1919 must now determine whether
his or her net income was aullclenl IN
amount 10 require an Income Tax ~
turn. The best way 10 ind out IL 70
SET a Form l0loA and foll9w ihe M
aiructiona printed on A. That form
win serve AZ q reminder Of every Item
q income; and n q return Il Due. n
tells how 20 prepare and hle II.
One Of The important points 70 keep
IN mind IL that a persons net Income
Il found By a computation prescribed
IN the Law. and that each item Of IN
come from every source must be cor-
sldered. unless specifically exempted.
Another thing 10 remember u That
tht personal exemption SLOWED tar
payers BY Law has no relation whatever
70 the requirement 10 nle return. Thls
exemption IL not 10 be considered until
q person has figured cut bic net In
come aud determined whether Il WIS
sunlcien; 10 require him 20 Ole a 70
turn. Then. n a return must be hled.
he should read carefully the lnsirnc-
tons for claiming exemption. and com
plete hts return.
n In doubt on any point AZ 10 income
or deductions. a person may secure
free advice and aid from the nearest
Internal Revenue once. 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 Tina
the penalty Il n hne OF not more than
$1,000 and an addition Of 70 per cent
10 the tax. n any. For making n false
or fraudulent return the penalty Il a
hne OF not more than $4,000 or Inn
prisonment not exceeding one year, or
both; and. IN addition. 10 per sent Of
the tax. There are other penalties Tor
falling TO pay tax when due n for
understatement Of the tax through
negligence.
Many Sources Of lncoms.
Aside from what one may earn by
bis services. there. are many other
sources Of income. n he sold any
property during 1919 he must figure
out the gain realized n he rented.
buildings. land. apartments or rooms
such rents must be considered taxa.
able. and he may claim deductions for
necessary expenses Incidental 10 renta
Bank Interest Ia a common source
OF Income and IL taxable whether with.
drawn or not. Any amount Of interest
credited to a deposition Il income 70
the deposition.
Interest on mortgages and notes Il
taxable; also bond interest received
from corporations.
A taxpayer who cashed his lnsur.
ancc during 1919 must report as In
come any excess received over the to
tal Of premiums paid.
Members q partnerships or personal
service corposAfions Or benchciaries Of
an estate or erust must report their
shares Of lncone, dlstrlbutnble 10 them
whether or not actually withdrawn.
Dividends Of deaestic corporations
must be reported nany other forms
Of income are laxassa unless specific
civ owauuIaI