The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1921-07-18
JULY 81 LAST
DAY TO FILE
CAPITAL TAX
Gunder Olson, u. S. Revenue
Collector, Issues a Statement
For Taxpayers Guidance
SHOWS RETURNS REQUIRED

The following statement is issued by
Collector of Internal Revenue Gunder
Olson, Fargo:
July 81 is the last day for filing re-
turns of the capital stock tax. TO
avoid penalty, the returns must be in
the hands of collectors Of internal rev.
enue on or before midnight of that
date.
Blank forms are available at the Of
fee Of Collector of Internal Revenue
Gunder Olson, Fargo, N. d. Form
7O7 is required for domestic, and 7O8
for foreign corporations. A
The capitalS stock tax is special
excise tax imposed on corporations
with respect to carrying on or do
ing business" The tax on domestic
corporations 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 in excess of $5,-
900. Foreign corporations are required
to pay tax at the rate of 81 for each
81 900 of their capital employed in the
transaction of business in the United
States without the benefit of the $4,000
deduction. The tax is payable in ad-
vance, returns filed in July Of this
year covering the taxable year begin
ming July /, 1921, and ending June
30, 1922.
The Bureau of Internal Revenue es
Inmates that approximately 325, 900
such returns will be filed, and that the
amounts or revenue collected from this
source will be approximately $90,O00,-
900.
What Returns Are Required.
Returns are required of every do
mestic corporation regardless of the
par value of its capital stock, and OF
every foreign corporation irrespective
of the amount Of capital employed in
this country in the transaction of it's
business. Certain corporations not or
ganiZed for profit are exempt from
capital stock tax. The class of organ
izations entitled to the exemption is de-
scribed in regulations so, revised, cop
les of which may be obtained at the
Office of the collector. .......
Corporations claiming exemption
are required to file returns setting
forth their reasons for such claims,
accompanied by evidence In support
thereof.
If, because of lack Of complete data
or other reasons than illness or alb
sence, it is impossible to file COM
p!ete return on or before July 81. u
tentative return may be filed, report
ing the approximately fair value IN or
der than an initial assessment may be
made, thus avoiding penalty.
The penalty for failure to file a re-
turn withni the time prescribed is an
added assessment of rs per cent Of
the amount due, unless it is shown
that the failure was due to reasonable
cause and not to neglect.
Fines Provided.
In addition to the added assessment
a fine Of not more than $1,000 is pro-
vided for failure to make a return on
time. For wilful refusal to make a
return, wilful evasion Of the tax, will
full refusal to supply information re-
quested by the commissioner, or at
tempting in any way to evade the tax
and payment when due, the penalty is
fine of not more than $4,000 or i'm
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 taxpayer az
we'll as the government, the Bureau
suggests that corporations subml;
checks with the returns for the amount
of tax due. This method is appealing
to corporations as it lessons liability
to penalty.