Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1920-06-11
j. S, To ROUND Up
TAX DEL|NQUENTS
DRIVE TO BE MADE IN IOWA
AND OTHER STATES IN
NEAR FUTURE.
MILLIONS IN TAXES
AND PENALTIES DUE
Reports Of Many, Failures to Make
Proper Returns Regarding Excise,
Luxury, Soft Drinks and Amuse-
ment Tascs-Government Believed
-
to BE Losing Millions Annually.
lBy E. G. Dougherty.1

a "dSHlHStoH,, JuHe ia uIi'e.
turnout the state of Iowa and other
states to round up delinquent tax
the bureau of internal revenue and
its state agencies, Commissioner
Williams announced today.
Millions of dollars in delinquent
taxes and penalties will be collected
in the drive, 1t is believed Special
attention will be directed to the col
lection of the excise tax on sales by
manufacturers. the sS-called luxury
tax the jewelry Ntax, the tax on
toilet articles land proprietary nedi-
cines, the soft drink tax and the adj
mission. tax.
Reports that many persons are
failing to make proper returns TO the
government on these various TAXES
has prompted the internal revenue
office to decide on the sweeping
crusade for Offenders
Preliminary to the nationwide in
vestigation Of accounting. a special
courseof instruction of d corps yor
revenue officers has been in session
here. These men will head flying
squadrons" which viii visit the large
cities Of the United States and CO.
operate with the resident revenue
c9llectorss in 'fieaping in the harvest
Their directions are to conduce n
thorough and effective campaign,
,.ct,1 ~ I, II
Justice willful ,evaders and cause no
embarrassment to persons VINO
! honestly are >endeavoring, to comply
, with the law.
Revenue officers engaged In the tax
drive will bes armed with authority
from Commissioner Williams to ex-
anime llSbooks. papers and records
bearing upon the items to be includ-
ed in the returns, and to summon
for examination under oath all per-
sons having knowledge in the prem,
/. ises.,
Losing Millions Annually.
Thru the failure of retailers to cole
lect in full the tax on toilet articles
and medicinal preparations, 1t is es-,
timated that the government is los
ing several millions Of dollars an
nually This tax of cent for each
rs cents or fraction of the amount
the article sells at, Is, collected by
means OF stamps ranging lin de-
nomination>from to 40 CENTS. The
law provides that the penalties up to
10000 are collectable for violations.
Employers. dealers. officers and other
members of corporation whose
duty It is to collect the tax are alike
subject to these penalties. Persons
who are negligent in the matter o.
collecting the tax or who refuse TO
bother withsreserhe stamps" will be
made, to realize their delinquency
the commissioner declares.
After Income DeIinquents.
The bureau also plans to seek out
those who failed to make income
tax returns In accordance with the
law. Agents will compare local tax
records. lists Of automobile owners.
lists of club members. real estate
transfers. corporation dividend rec
ords. local tax data and other
sources Of information, with their
lists Of taxpayers. In this way it is
believed the names Of delinquents
and evadors may be found. Every
automobile owner Us considered "a
prospective income tax payer, ana
thel number OF automobiles In many
sections greatly excede the number
on persons who flied returns. This
work, 1t is understood, will begin the
latter part Of June.
|. Plans are already under way for
the prosecution .in,court of those who
failed to make proper returns. A
corps of $500 clerks has been check :
ing up the records since the higher
rates went into effect to pay war
expenses. Frauds and errors have
been found in great numbers Where
the taxpayer deliberately sought to
evade payment, ar committed perjury
the bureau will urge application OF
the extreme penalties of they law.
Where the error was due to mis-
understanding. read1ustment will be
made without recourse to prosecu-
ton in court.