The Belding banner-news. (Belding, Mich.) 1918-1973, 1920-02-04
FACTS CONCERNING
INCOME TAX WHICH
, YOU SHOULD KNOW
IMPORTANT THAT ALL, WHO
SHOULD, MUST KNOW AND
MAKE THEIR REPORTS


+. J. Doyle, has sent us the following
information relative to the income
tax reports which many people must
make out at this time.
Unmarried men and women who are
bread-winners for others are granted
special exemptions on their earnings
before figuring the Income Tax now
being collected. Although a return
must be filed by every unmarried per-
son, and by every married person liv-
ing apart from wife (or husband), who
had a net income of $1,000 or more
during 1919, recognition is made in
the law of the home burdens carried
by millions of such persons, and relief
from excessive taxation is especially
provided.
In addition to the ordinary personal
exemption of $1,000, an additional ex-
emption of $1,000 is granted to "heads
of families, and there is also provided
an exemption of 5000 for each depend
ent under 18 years of age or who men,
tally or physically defective.
The 5000 for each dependent may be
be claimed by any taxpayer who is the
chief support of such dependent. This
is not confined to dependents who are
members of the family or relatives.
On the other hand it does not include
servants or others who are earning
their living. And it does not apply to
the wife or husband of the married
taxpayer, even though such person
may become total burden.
1t should be remembered that the
person who claims exemption as "head
of a family" must qualify for it. Two
single persons who divide between
them, more or less equally, the fl
nancial and other responsibilities of a
household and is aid by having one
of his brothers or sisters support him.
self and contributing an amount that
could not practically be considered
more than his board, such trivial cir
cumstances must not be allowed to in
terfere with his clean claim for ex-
emption.
A single person is the head of a
family if by December 31st he had be-
come the sole support of close rela-
tives (by blood, marriage, or adop-
tion) living in the same house with
them and looked upon by them to ex-
ercise a greater or less amount Of con-
troll in the matters affecting the sup
port and maintenance of the house
hold.
The phrase "sole support" is here in
the sense that there is no other person
to whom the dependents are looking
for a substantial portion of their sup
port There may be another source Of
income (such as interest on bonds, div
idends on stocks, pension) which, If
meagre enough to still leave the re-
cipient dependent, should not inter-
fere with the claim for exemption.
Such meagre income of dependents as
we'll as the inconsequential profit on
the board of any self-supporting mem
Der of the household, must however be
included in the return of the head of
the household.
But division of responsibility will
in every case exclude the parties from
the claims for the additional exemp-
tion Article 302 of Regulations as
defines that a head of family is ga
person who actually supports and
maintains in one household or more
individuals who are closely connected
with him by blood relationship, rela-
tionships by marriage, or by adoption
and whose right to exercise family
control and provide for these depend
ent individuals is based upon some
moral or legal obligation"
Once the existance of the fact that
a taxpayer is the principal cause for
the creation or maintenance of home
is established it cannot be destroyed
by his mere temporary or unavoidable
absence from it. If q father is left
with a young child to whom he can
not give the proper attention himself
and he places this child with relatives
or elsewhere, he should still be con-
sidered the head of a family even if
yet further force Of circumstances
would oblige him to live elsewhere;
provided that he still exercised father
lv control over the wellbeing, educa-
tion, and filial feelings of the child
and did not while furnishing the sup
port) allow the child to become q
virtual orphan. If, however, without
necessity the dependent continuously
makes his home elsewhere, his bene.
factor is not the head of family, ir.
respective of the question of support
Women who had incomes during
1919 are reminded by Collector of In.
CeTIldl heVeIIucs II. y. DOyle, JndJ tney
are subject to all of the provisions OF
the Federal Income Tax. Many thous.
nads of women file returns and pay
taxes regularly, and there are new
names added to this list each year
The high wages and salaries received
by women last year will perhaps doub.
lie the number Of the fair sex who are
required to file returns.
A public schoolteacher, or Other
city, town, county and State employee
is not taxed on her salary or wages
but must file a return if her taxable
income from other sources was suffic
(Continuad nm paOo Eival