Arizona republican., 1922-02-11
Income Tax Facts
You Should Knew
Series Of FiEtAen Articles Precared
by the BurRsu Of IniSraai
ReweHue of IASora9ativo
Value to htitiione.

No. IL
Forms 1895 and 1899 for reporting
payments to others of 81, 900 or more
during the calendar year 1921 may be
obtained at offices of collectors of
internal revenue and branch offices.
Under the information at source"
provision of the revenue act of 1891,
report must be made by all persons,
trustees. fiduciaries, guardians, ana
by corporations, personal service cor
porations. partnerships and organi-
cations of payment to others during
the year 1921 of 1000 or more.
A separate return of information
for each officer and employee whose
salary for 1921 was $1,000 or more is
required of employers. Payment for
overtime, fees, commissions, bon
uses, shares in the profits. and the
fair value of board and quarters fur
nished as part payment for services
should be included in the total wages
or salary paid Fraternal organiza-
tions and associations are required
to report salaries or other compensa-
tion paid to officers. The responsible
officer of church or religious organ
ization must report salaries or re-
munerations paid to pastor or Off
GERS. Banks and similar organiza-
tions are required to report interest
paid or credited to a depositor If the
total during the year equalled or ex-
ceeded $1,000.
Organizations having branch Of
fices should file complete reports
through the main offices.
Returns by Agents
Real estate agents, attorneys. or
persons acting for owners of prop
erty who collect rents. interest or
similar income in behalf of the own
ers. and remit the sums so received.
must make a report of the gross
sums actually or constructively re-
mitted. The agent is not permitted
to make deductions for taxes. inter
est, cost of repairs. ETC.. paid in be-
half of the owner in computing data
for making information returns.
Amounts paid for merchandise, tel
egrams, telephone, freight, storage,
and similar charges; premiums paid
to insurance companies; amounts
paid to employees for expenses in
CURED in business. etc, need not be
reported.
Approximately 100000 returns
showing payments to others of $1,000
or more were received during the
year 1921. Information returns are
CaTeIully CneCheQ WITH lIlulNlUudi re-
turns, and where il is shown that a.
payment was not reported by the re-
cipient, quick action by the bureau
OF internal revenue follows. Thous-
ands OF delinquents. and delinquent
taxes. penalties and interest aggre
eating hundreds of thousands OF dol
lars have been discovered as the re-
suit of this audit. This year. as last
information returns will be placed in
the hands of deputy collectors, for
use in rounding up delinquents.
Information returns must be filed
with the Commissioner of 1nternal
Revenue. Sorting Section. Washing
ton, d. C. Collectors of internal rev.
enue are not authorized to receive
such returns.
Information in each separate case
OF payment of 81 900 or more is en-
tered on Form 1899. A summary Of
these forms is made on Form 1895.
which serves as letter Of transmit
tai.
Heavy penalties are prescribed by
the revenue act of 1921 for failure to
make returns of information within
the time prescribed by law-on or be-
foro March Is. 1922.