Yerington times. [volume] (Yerington, Nev.) 1907-1932, 1921-07-20
CORPORATIONS MUST
FILE STOCK RETURNS

The following statement is issued by
Collector of Internal Revenue, Louis
A. Spellier, for the District of Nevada
July 81 is the last day for filing re-
turns Of the capital stock tax. 10
avoid penalty, the returns must be IN
the hands of collectors of internal
revenue on or before midnight OF
that date.
Blank forms are available at the OF
flee of Collector of Internal Revenue,
Reno and the branch offices at Ely,
Tonopah, Winnemucca and Yerington-
Form 7O7 is required for domestic and
and 7O8 for foreign corporations.
The capital stock tax is a special
excise tax imposed on corporations
with respect to carrying on or doing
business The tax on domestic cor
porations is 81 for each $1,000 or so
much of the fair average value of its
capital stock for the preceding year
ending June 80 as is excess Of $1,000
Foreign corporations are required to
pay tax at the rate of ST fo reach
$1,000 of their capital employed in the
transaction of business in the United
States without the benefit of the S., 600
deduction. The tax is payable in adj
vance, returns filed in July of this year
covering the taxable year beginning
July /. 1921 and ending June 80, 1922
The Bureau of Internal Revenue
estimates that approximately $4,000
such returns will be filled, and that
the amount of revenue collected from
this source will be approximately
SoO,OO0,O00
Returns are required OF every do
mestic corporation regardless OF tho
par value of its capital stock, and OF
everv foreign corporation irrespective
of the amount OF capital employed i'll
this country in the transaction of its
business Certain corporations not
organized for profit are exempt from
capital stock tax. The class of or
yanizations entitled to the exemption is
described in regulations So revised
copies OF which may be obtained at
the Collectors Office or at the branch
Offices at Ely. Tonopah. Winnemucca
and Yerington.
are required to file returns setting
Corporations claiming exemption
forth their reasons for such claims.
accompanied by evidence i'll support
thereof.
If. because OF lack of complete data
or other reasons than illness or alb
sence, it is impossible to file COM
plcte return on or before July 81.
tentative return may be filed. report
ing the approximate fair value i'll Or
der that an initial assessment may be
made, thus avoiding penalty
The penalty for failure to file a
return without the time prescribed is
an added assessment of 25 per cent OF
the amount due. unless it is shown that
the failure was due to reasonable cause
and not to neglect
In addition to the added assessment
fine of not more than $1,000 is pro-
vided for failure to make return on
time. For wilful refusal to make
return, wilful evasion of the tax, will
iul refusal to supply information re-
quested by the Commissioner, or at
tempting i'll any way to evade the tax
and payment when due, the penalty is
a fine of not more than So 600 or in-
prisonment for not more than one
year, or both.
With a view to the prompt collec-
ton of the capital stock tax, and for
the CONVENIENCE of the ta>rayer IS
we'll as the government the Eu"eau
suggests that corporations submit
checks with the returns for the amount
of tax due. This method is appealing
to corporations as it lessons liability
to penalty.