Amarillo daily news. [volume] (Amarillo, Tex.) 19??-current, 1920-01-17
OH TAN FACTS
SHOT LID KNOW

Tax returns are examined by the
'uIeau Of Internal Revenue a. soon
IS practicable after they are filed. II
he amount found due proves 10 be
,.eater or less than shown IN the re-
urn. the AILMENTS will be recon-
iuted. II Il is 'hown that the amount
1aid L. Ia exc, -. such excess will b.
,redited agar = the subsequent in
iallmeris. whereas. u the difference
; ir favor OF the Government. TIN
balance Is to be paid upon notice and
demand by the collector.
When the return Is made in good
'aith. anl an understatement OF The
mount is not due 10 any fault OF
be taxpayer no penalty accrues. II
he uadersiatement Is due 10 psgli-
-ence but without intent 10 dc'raud
here Is added : per cent OF TIE total
mount Of the deficiency. plus in.
'eresi az rate Of per cent a month
rom iho time the tax was due. II
he uaderstatemcnt Is false with in
eni Ia Grade the tax. the penalty Is
fiae % not more than $4,000. or
rue years imprisonment. or both
ogcihe. with the cost OF prosecu-
'ioa. with IN added assessment OF 20
YER cen, VI the amount OF the de-
ielenf,
H"ayy Penalty Provided
For falling to make a return on
inc The penalty 4 q fine OF not
more than $1,000 and an additional
assessment OF % per cent Of the
smc nj due Willful refusal" TO
make return and Tay the tax on
line l. punishable by fine OF no..
more than $1,000 or one years
Imprisonment. or both. together with
BE- cost OF prosecution. u coliec.
o. 81 in.erna' revenue suspects that
an amount of income Is undersuated
IN a return, he may. on his own
Initiative. take up the matter with
he taxpayer aud. on becoming con-
iinoed that the amount was under
aafed. may increase the tax sub
oct 10 the right OF the taxpayer 20
gppsal TO the Commissioner OF In
iernal Revenue The commissioner
without iae Intervention Of collectors
nay exercise original jurisdiction In
asses OF understaiement.
The Bureau OF Internal Revenue
aas "a It's command innumerable
avenues OF information for check.
ng up delinquents Under the in
formation az the source pros lsion
OF the act reports OF payments 10
others OF si.00e or more during the
year 1919 must be made by all indi-
siduals. trustees. guardians. and
Jther iiduciaries. and by partner
ships and corporations
A separate return OF each EN-
ployec whose salary for 1919 was
$1,000 or more o. required OF EN-
plOyers.
The bill provides that whenever
necessary the names and addresses
% the rocipien, OF the income shall
DO furnished b. the person. oOrp0ra.
lion or partnership paying u. IN
returns must show. whenever posi-
bic. whether the recipient Is single.
married o. the head o. family.
HeEardiess of the amount. infor'
nation returns nav BE- required In
the case Of payment % interest up.
On bonds and MORTGAGES. deeds oi
trust or other obligations OF a cor.
poratiOn.
Information Returns
Returns 81 Information must be
filed with he Commissioner OF In
lefnsl Revenue az Washington Col
ler'ors of Internal revenue are no,
20 re',eire such returns.
Forms on which the returns must be
made may b. obtained however,
from the offices OF collectors.
approximately 100000 returns
d information were received by the
bureau Cor The year 1915. In add