The Birmingham age-herald., 1922-02-28
MUST PAY INCOME
 TAX BY MARCH b
Collector Snead Issues State- ment Relative to Com
 putting Earnings

Income taxes become delinquent March , at midnight, and those who have not made return and made al least e-quarter payment before this date will be penaiized. accord ing to announcement of Collector ". E. snead.
 In a statement the collector an nounces the following manner in which payment may be made, who shall make returns, and the manner in computing earnings taxable.
 His statement follows:
 Taxpayers must remember that taxable income is not necessarily cash. Where services are paid for with something other than money, the fair. market value of the thing taken in payment is the amount to 5e included in income. For example, the value of merchandise received oy clerk of a grocery store as parr payment for his services must be re- ported as income. Compensation paid an empioye of corporation in shares of stock is 10 be treated as if the corporation sold the stock at its market value and paid the empioye in cash
 "Promisory notes received in pay ment for services and not merely As security for such payment constitutes income to the amount of their fair market value. Living quarters and meals furnished as compensation for services are to be reported as in- come. A hotel clerk given a room and his meals as part payment for his services IS required to report as income the amount he would have .o pay for board and lodging elsewhere.
 The value of quarters, light and neat furnished army officers whether stationed at an army post or paid from funds allowed for sucn purposes when officers arc stationed elsewhere is taxable income in an amount equal to the cost to the gov ernment of furnishing such quarters. etc. Where an officer or enlisted man is allowed certain commuta- tion in lieu of quarters, light and heat. the entire amount received for such purposes for the taxable year must be included in gross income.
 Where living quarters, food, cloth ing. etc., are provided for an en- ploye solely for the convenience of an employer, the value thereof need not be included in the income of the employe. For example, where be- cause of the location and nature of the work, it is necessary that em ployes engaged in fishing and can ming be furnished board and lodging by the employer, the value of such board and lodging may be considered n q Pnntrthnfed for fha nf the employer. Board and lodging furnished seamen in addition to their other compensation Is held to oe furnished for the convenience of the employer, and the value thereof need not be reported in the returns of such employees. Uniforms, rations and medical or hospital service af- forded enlisted men or seamen need not be reported as income. These are furnished oy the government for It's own purposes, and are not compensa- tion for services.
 "The value of board and lodgin Y furnished employees of hospitals as part compensation for services Is to be reported as income. If, however. an employe of a hospital is subject to immediate services on demand at any time during the 24 hours of the day, and on that account is obliged to accept quarters and meals at the hospital, the value of such need not be reported as income. If, the em- ploye is on duty certain number of hours, and could, if desired, obtain meals and lodging elsewhere than at the hospital and at the same time perform the duties required of him. the ratable value of the board and lodging furnished him is considered additional compensation.
 The value of quarters. subsistence, laundry, heat and light furnished officers and employees of the pub lie health service constitutes income and must be included in their returns for the year.