The Washington herald., 1921-08-29
WAR TAXES YIELD
$75O,OOO,OOO LESS
THANN YEAR 1920
Levy on Excess Profits
Affected by Decline
In Business.

Collections from income and
profits taxes during the fiscal year
1921 showed a shrinkage of three-
quarters Of a billion dollars from
the previous year. The collections
from miscellaneous taxes, however.
fell off only sS1, 100000. Official hg-
ures on internal revenue collections
made public yesterday show the
manner In which the yield from
wartime taxes has dwindled with
the decline in business activity.
The, total collections of internal
revenue from all sources for the
fiscal year 1921 amounted to $4.-
595,000,765.74 as against s5.407.-
5S0.251.S1 in the fiscal year 1920, or
a decrease of $Sl2,579,4S6.07.
The total shrunk somewhat more
rapidly than estimated by the
Treasury Department. which in the
annual report issued in December,
1920, had figured that the yield
would be S4.7O0, 100000.
Exceeds Yield Of 1919.
The yield in the last fiscal year.
however, was somewhat greater
present revenue act having become
effective on February "a, 1919.
The collections from income and
profits taxes for the fiscal year
1921 amounted to S3.225.790,653.42,
as against $3.956.936, ,003.60 in the
fiscal year 1920, and 81. 900.
In the fiscal year 1919. The 1920
total represented an increase of ST.
365.173,26S.76 over the 1919 amount.
but the 1921 total was a decrease of
f731,145.35O.1S. The yield from in
come and profits taxes for 1891 was
slightly more than the Treasury ex-
perts estimated last fall'it would be.
The Treasury had counted on s3.-
200.000,00 from the income and
profits taxes.
Profits Tax DwindIes.
The figures made public yester-
day do not disclose exactly how
much Of the s3.225.79O.653.42 was
obtained from the excess profits
tax. 1t is believed, however. that
about s1.250.000.oOO is represented
by the excess profits tax, including
collection of back taxes. The ex-
cess profits tax was roughly esti-
mated to have yielded for the fiscal
year 1920 slightly over s2,00e,O ,O00.-
900. For the fiscal year. 1922. il
has been estimated that it will
yield. including collections of back
taxes. not more than $500. goo. 900.
The collections in the fiscal year
1921 from miscellaneous taxes,
which include all sources of inter
nal revenue. except income and
profits taxes. amounted to s1.36s.-
210.112.32. as against sl.450.644.-
24S.21 in the fiscal year 1920. and
$1.23s. .46S.260.o1 in the fiscal year
1919. The Treasury Department
had estimated last fall that the
miscellaneous taxes would yield
$500, 900. 900. but instead there
was a decrease of $S1.434.1S5.S9
from the 1890 total.
Cost IS Cent. TO Collect SI00.
Comparisons OF the yield from
miscellaneous taxes show an in
crease in the yield from the tax on
estates. the tax on transportation
and the tax on admissions and
dues, but falling off in the yield
from the tax on beverages, the tax
on cigars and tobacco. excise taxes.
special taxes. including the corpo-
ration stock tax and stamp taxes.
The cost of operating the Inter-
nal revenue bureau as estimated by
Commi ssioner OF Internal Revenue
Blair is SS cents for each 800 COL
lected.
The cost of operating the Inter
nal Revenue Service in the fiscal
year 1920 was 55 cents for each 800
collected. The increased cost of
1921 was due chiefly to reduced
collections and increased expense
in supervising the regulatory laws.