The daily star-mirror. (Moscow, Idaho) 1911-1939, 1922-01-02
new FEDERAL TAX
LEVIES in EFFECT
MANY LETTERS ARE CUT OFF
LIGHTER BURDENS ON THE PUB
Lie In SMALL TRANSACTIONS.

Washington-(A. P.)-Changes in
federal taxes voted by congress last
month came into full force with the
beginning of the year Here's how
they will affect you
When you ride on railroad train
or an inland or coastwise steamer
you no longer will have to pay the
government eight percent of the
amount Of your fare and eight per
cent of the cost of your seat, berth
or stateroom.
When you ship freight you will not
be assessed an extra three per cent
of the cost. Likewise you can send
packages by express or parcels post
without having to give up war
tax"
When you visit the corner drug
store for bottle of proprietary medi-
cine, a tube of tooth paste toilet
preparation or the like you will es-
cape the vexatious stamp taxes.
When you go to a soda fountain
You no longer will find Uncle Sam
holding out his hand for penny on
each ten cents or fraction that you
pay the clerk for a drink or plate
of ice cream.
If you want to sport pair of shoes
costing more than $40 or shirt
costing more than So you will not
have to lay out a tax. These and all
of the other so-called luxury taxes
on clothing, as we'll as those on UNI
brel1as, parasols, sun shades, picture
frames, trunks, valises pocketbooks,
etc., go into the discard.
If you live in a place that still can
boast of a ten cent movie show or
other place of amusement you will
not be assessed penny tax. If the
charge exceeds ten cents, however,
you will continue to pay war levy
at the present rates of a cent for each
ten cents or fraction.
All heads of families with depend
ents will get a slight reduction in
their income tax during the new year,
the extent being So for each depend
ent as a result of the increase from
5000 to $500 in the exemption on ac-
count of dependents.
If you are married and your net in
come in 1921 was $4,000 or less, how
ever, you will get still further re-
duction in taxes as the normal exemp-l
ton for married men in this class has
been increased from $4,000 to $4,000.
Single men are given no additional
exemption and can deduct only $1,000
from their net income.
Whether you are single or married,
if you made a gain from the sale OF
capital assets, such as building or
stocks or bonds, you can pay the tax
on this gain at the corporation income
rate of 1914 per cent, instead OF at
the surtax rate if you SO elect.
If your income is such as to put
you in the surtax paying class you
will pay in 1922 at the old war rates,
but in 1928 you will pay at the new
rates, which become effective tomor-
row, and which provide for some re-
duction all along the line with the
maximum at SO per cent on 100000
instead of IS per cent of $1,000,000 or
more
Stamp taxes retained are those i'm s
posed upon bonds of indebtedness;
capital stock issues; capital stock,
sales or transfer; produce, sales of
drafts or checks payable
otherwise than on sight or demand) {
notes, conveyances; entry
# goods at the custom house; entry {
or withdrawal of goods from the
,ustoms house; passage tickets, pow
RS Of attorney; playing cards and
Oreign insurance policies.
Taxes imposed under existing law S
which will be retained are Those on {
telegraph, telephone, cable and radio t
messages; tobacco, cigars, cigarettes
nd snuff, automobile trucks and
wagons, etc.