The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1920-06-22
Heavy Hand of u. S.
to Descend on the Tax
Dodgers, Says Elder

The following statement of import
ance to local revenue tax payers is
issued by the United States collector
of internal revenue, William L. Elder:
In this, as in every other section of
the country, there will be conducted
during the next two months an inten-
sive tax drive for the collection Of
delinquent sales and other miscellane-
GUS taxes, such as the so-called luxury
tax, the soft drink tax the admission
tax, the manufacturers tax, the tax
On jeWelry and works Of art, and the
tax on toilet articles and proprietary
medicines. Reports of laxity on the
, part Of dealers and other persons re-
sponsible for the return and collection
of these taxes have reached the bu-
reau of internal revenue from many
| sources.
ITO remedy this condition. Commits
| sioner William NJ. Williams has as
signed to the work of investigation 175
| special revenue officers. These men
will compose flying squadrons which
will visit every large city in the
United States, cooperating with as
| sistant supervisors and field deputies
The total force numbers 1000.
THE drive will be under the i'm
mediate supervision of collectors of in
ternal revenue, including A. n. Logan,
in Richmond, and Is expected to re-
suit in the collection Of millions of
dollars in delinquent taxes and penal
| ties.
Information from the sales tax unit
of the bureau Of internal revenue is
| that many dealers in soft drinks and
! ice cream either are keeping nc
record of the amount of tax collections
| from such sales, or that the record is
insufficient or incorrect.
Toilet Articles Are Scrutinized.
Special attention will be directed to
the collection Of this tax as we'll as to
the tax on toilet articles and proprie
tary medicines. Through the failure
of retailers to collect in full the tax OF
I cent for each % cents or fraction
thereof of the amount for which
toilet articles and proprietary medi
cines are sold, it is estimated the
government is losing several million
dollars annually. The tax is collected
! by means of stamps ranging from one
to 40 cents, which the law provides
shall be affixed by the dealer, and
cancelled.
1T is the intention to conduct as
| thorough and effective a campaign as
! pOSSlUlt Ill SuCu ii way DIS 10 DTluS IC
| Justice willful violators, and cause nc
embarrassment to merchants and bust
ness men who honestly are endeavor
| ing to comply with the revenue laws
! Discovery of evidence TO show willful
tax evasion Will be followed by prose
cutions. In fragrant cases, the bureau
will urge the imposition OF extreme
penalties. For willful refusal to col
lect and pay the tax the penalty IS a
| fine of not more than $4,000, or one
years imprisonment, or both, together
! with an added assessment equal to the
amount of tax evaded. For failure tC
make return, the penalty is a fine OF
| not more than 81 900.
Persons desiring to file amended
returns of tax collections for which
they are responsible should do so be
fore the government investigation, in
which case the policy of the bureau
will be one of leniency. There is
great difference between the self
discovered tax delinquent, and the tau
ovader discovered by the bureau"