The public ledger. [volume] (Maysville, Ky.) 1913-1968, 1921-12-14

ert H. Lucas, District Of Kentucky.
Enactment Of new revenue legis-
lation has brought to the offices CT
Collectors Of Internal Revenue flood
OF inquiries regarding various provi-
sions. The Revenue Act of 1921 be
came effective November 20, 1921, 'un-
less otherwise provided for
ITO avoid error in the preparation
o ftheir returns and later difficultiee
with the Bureau Of Internal Revenue,
taxpayers are advised to carefully
note the changes and when the ybe-
come effective.
"The excess profits tax is repealed
as of January /, 1922 The rates for
1921 are unchanged.
1.-THE surtax rates for the calendar
year 1921 are unchanged, and range
from one per cent, on the amount of
net income between $4,000 and $4,000
to 65 per cent. on the amount Of net
income in excess Of s1,O0O,O00. For
the calendar year 1922 the surtax
rates range from per cent. on the
amount Of net income between $4,000
and $4,000 to so per cent. on the
amount by which the net income ex-
ceeds 100000.
"The exemption allowed for a de-
pendent is increased from 5000 to
$500. Married persons living with hus-
band or wife and heads of families are
allowed personal exemption Of ST.
500 Gnstead Of $4,000 unless the net
income Is in excess Of $4,000, In which
case the personal exemption is only
$4,000. The act provides that In no
case shall the reduction Of the per-
sonal exemption from $1,000 to $4,000
operate to increase the tax which
would be payable fthe exemption
we're $4,000 by more than the amount
of the meet income in excess Of $4,000.
This Is to overcome the disparity In
the case Of two taxpayers, one of
whom is Just within the lower $4,000
exemption and the other just within
the higher $4,000 exemption.
Single persons, and married per-
sons not living with husband or wife
are allowed an exemption Of $1,000.
Nonresident aliens are allowed a
single personal exemption of $1,000.
Persons having gross incomes for
1921 of $4,000 or over are required to
make a return, regardless Of the
amount Of net income.
Provision is made for the repeal as
OF January 1, 1922, Of the tax on stock
holders Of a personal service corpora
ton as such. After that date such cor
porations are to be taxes in the same
manner as other corporations.
THE income tax on corporations for
the calendar year 1922 and thereafter
is increased from 10 to 12z per cent
The $4,000 exemption heretofore al
lowed corporations OILS to be granted
only to those corporations whose net
income is $4,000 or less.
MANY persons are under the i'm
preston that the taxes on Ice cream,
soft drinks, ETC., monthly returns OF
which are required, have been repeal
ed with the enactment Of the new act.
These taxes remain in forme until the
end Of the calendar year 1921.
mo change is made in the tax on
admissions, except that after January
II, 1922, there will be no tax where ad-
mission is 10 cents or less. Effective
January 1. 1922, the following taxes
are also abolished: on musica linstru-
ments, sporting goods. chewing gum.
portable electic fans, thermos bottles,
fur articles. pleasure boats and pleas
ure canoes. (unless sold for more
than 5000 toilet articles. medicines
and numerous articles OF apparel.