The New York herald., 1920-01-25
EDWARDS SAYS PAY
INCOME TAX EARLY
Send Check When You File
Your Return, Collector of In
ternal Revenue Advises.
MARCH IS IS LAST DAY
Severe Penalties Await Those Who
for Any Reason to Comply with
the Law.
MARCH IS is LAST DAY

Pay your income tax early" is the
advice that William III. Edwards, collector
of internal revenue in the second federal
district, gives residents of New York, in
statement issued yesterday. Mr.. Ed
wards calls attention to the fact that the
final date for the filing OF returns is
March Is. and he urges every taxpayer
who can possibly do so to pay his entire
tax when filing the return on or before
March Is. Mr.. Edwards also calls atten-
tion to the fact that twenty thousand
persons were fined IS each last year for
failing to file a return, although they
were not liable to taxation. 1t is neces-
sary to file a return wether a tax is to be
paid or not.
Portions OF Mr.. Edwards advice to tax
payers are as folows:-
I'VE have received from Washington
supply of income tax returns and thou
sands have been distributed. March 10
is the first payment date, Taxpayers
generally have anticipated the law and
have set aside a reserve from the 1919
income to meet the government tax.
What is needed now is another practi-
cal display OF that great spirit of CO.
operation which has carried over the top
every big governmental objective that had
to do with the winning of the war. Every
taxpayer who can possibly do so is urget
to pay his entire tex when filing his re-
turn on or before March IS.
Don't Wait Until Last Minute.
Don't wait until the final date March
Is, for the filing of your return or paying
your tax. Let us eliminate the last min
ute rush as far as possible. By evenly dis
tributing the load between now and March
Is every taxpayer will have a chance to
get any needed advice and aid in deter
mining his liability and preparing his
return.
THE exemptions affecting the average
taxpayer are in the normal rate, the ex-
emptions of $1,000 for single persons and
5000 for married persons and heads Of
families remaining the same as for 1913
The normal rate for 1919 Is per cent on
the first $1,000 of net income above the
exemptions and 8 per cent on the remain
ing net income. The normal rate for 1913
was and II per cent respectively. This
applies to every citizen and resident of
the United States. Alien nonresident
receiving income from sources within the
United States are taxed to the full per
cent on the income from such sources.
The surtax rates, which range from !
per cent on the amount of net income
between IS 900 and 5000 to 65 per cent on
the amount of income in excess of 81 900, 900
remain unchanged.
Twenty thousand persons last year
paid fine of IS each for failure to file an
income tax return for 1918, although their
income for that year was not taxable.
To avoid penalty every persons whose in
come for the last year equalled or ex-
ceeded 1000 or 5000, according to their
marital status or their status as the head
of family. must file return.
Head of Family Defined.
"a head of family is defined by Treas
ury regulations as person who actually
supports and maintains one or more in
dividuals who are closely connected with
him by blood relationship, relationship by
marriage or adoption, and whose right TO
exercise, family control and provide for
these dependents is based upon some
moral or legal obligation. A single per-
son is the head of a family If he is the
sole support of relatives living in the
same house withhim and II he exercises
control of household affairs.
'In making out his income tax return
the taxpayer is required to show both
gross and net income. Gross income in
cludes practically every dollar the tax
payer received during the year 1919
Incomes below 5000 are exempt from
surtax. The single man with no depen-
dents and an income for 1919 of $1,000 will
pay a tax of $40 instead of $50 as for 191S
and a married man with an income Of
$500 and no dependents except his wife
will pay $50 instead of $780,"