Every evening, Wilmington daily commercial., 1921-08-24
FEWERPERSONSPAY
STATE INCOME TAX
THAN FEDERAL TAX
A Total of $4,000 Pay to Uncle
Sam and Only 1000
to the State
PROBLEM HARD TO SOLVE

Staff Correspondence of Every Evening
Dover, Aug. 24.-Although $4,000
Federal income taxables residing in
Delaware filed income statements in
the year 1920 for 1919 taxes. only
10000 State. income taxables have
made returns for the same period. OF
the 10000 State income taxables $4,000
filed statements last year and 5000
this year.
George NJ. Fisher, State treasurer
and collector Of State income tax, was
astonished when a correspondent of
Every Evening told him Federal in
come taxables We're 5000 in excess of
State income taxables and said the
total of $4,000 Federal income taxa
bles surprised him. He attributed the
5000 difference in the number of tax
ables chiefly 10 conflicting opinions
given by former Attorney General
David ]. Reinhardt and Attorney-Gen-
eral Sylvester ID. Townsend. Jr.. con-
corning the 1919 amendment TO the
State Income Tax law.
As enacted in 1917. the law levied
a tax Of one. PEI cent upon net in
comes and included among exemptions
$1,000 OF the income Of each taxable.
The 1919 amendment exempts q single
person whose income is less than ST.
600 per year and the head of a family
or a married person who receives less
than $4,000 annually and permits de-
ducting from taxable sums 5000 for
the support of each child in the family,
which are similar TO the Federal in
come tax exemptions. Mr.. Reinhardt
said the amendment applied to State
income taxes paid in 1920. and Mr..
Townsend declared it did not. The
formers opinion was given last year
and the latter's this year.
"a Bunch OF DeIinquents.''
Treasurer Fisher said 5000 taxables
who did not file 1919 statements last
year have made returns for 1919 since
Mr.. Townsend gave his opinion. He
remarked there was bunch of de-
linquents" last year, a good many"
but he could not tell the number of
deIinquents or the aggregate of delin-
quencies because he had not totaled
them. State income tax payments
were large last year ana last week. he
said. Judgments have been entered
against many delinquents, and since
the taking of such process some have
paid the disputed tax. What action
will be taken against other delin-
quents Mr.. Fisher was not ready TO
announce. More outstanding tax has
been collected in rural New Castle
county and in Kent and Sussex coun-.
ties than in Wilmington, he declared.
Reasons For Difference.
Commenting on the large difference
in the number of Federal and State
income taxables. he cited the exemp-
tions in the 1919 amendment to the
State law and spoke of loss of income
resulting from changed industrial con-
ditions, but did not mention the sim
ilarity of the Federal and State laws.
The State treasurer was interviewed
yesterday afternoon. Early in the in
terview he told the number of State
income taxables who had filed income
statements-19, 900 in 1918, 10000 or
II, 900 in 1919 and $4,000 in 1920, viii i
was increased TO $4,000 this year, when
5000 taxables who had refused to pay
tax because of conflicting legal opin-I
icns made returns for 1919 and some
of them paid tax for last year. Not
more than Is, 900 taxables have filed
statements this year for 1920. Mr..
Fisher could not tell the number of
taxables in the several subdivisions
of the State.
The State treasurer was summoned
at this stage of the interview from his
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