San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-02-02
EXPERT.
READY To AID.
ON TAX BLANKS.
All With Gross Income of
$4,000, Despite Loss,
Must File.
SURTAX RATE CHANGED
No Change in Tax Rate for
Those With Small
Incomes.

Maj. H. c. Glover. deputy collector
of internal revenue, and assistants are
prepared 10 help those desiring assist
ance in filling out income tax blanks.
Major Glover has returned from Aus
tin, where he has been in conference
with an income tax expert from Wash
tington. The only vital change re
ported is the decided increase in Tic
SUrtax rates.
Every citizen or resident of the Unit
~ States whose gross income is $1,000
or more Is required to file n return
even though his business might show Il
net loss. Every citizen or resident
whose net income, in single, is $1,000
or more. or whose net income, il mar
ried. is 5000 or more, is required to
file return.
A man whose net income is less
than $1,000, if married is entitled to
an exemption of $500. with $500 adj
ditiOnal for each child or dependent.
A married man with net income of
more than $4,000 il entitled TO an ex-
emption of $1,000 with an additional
Si00 for each child or dependent.
Must File Despite a Loss.
Il would like to stress particularly
that part Of the law requiring every
citizen with a gross income of $4,000
year or more TO file return" Mr..
Glover said. Many are under the i'm
preston that il their business shows
net loss, that they would not be re-
Quired TO file a return. This is erro-
ncOuS."
The normal tax is computed on the
basis Of the net income after the cx-
emptions have been deducted. For the
first $1,000 or less the normal tax rate
is 4 per cent. On incomes from $4,000
up, the rate is S per cent In other
words, n man with an income of $4,000
above exemptions, would pay per cent
en- $1,000 and per cent on $1,000.
The new surtax rates does not af-
feet net incomes under $4,000, Mr..
Glover said. During 1921, the surtax
was assessed against incomes as low
as $4,000, for which the surtax was l
per cent. For each $4,000 additional
net income, the tax was increased by
per cent until a surtax rate of 65 per
cent was reached on incomes of ST.
100000 or more.
Under the amendment passed during
1922, tine surtax rate effects incomes of
$4,000 or more. for which the rate is
I per cent. with an increase OF l per
cent for each additional $1,000 as I'M
der the old law. Under the new amend
ment, the maximum rate is 30 per cent
for incomes of S2O0,000 or more.
Must File by March is.
Computation of the surtaX is made
upon net incomes before exemptions
have been deducted. Mr.. Glover ex-
planned. A married man with net
income of $4,000 would be required TO
pay ! per cent Of $4,000 for the sur
tax. Then the normal tax would be
computed after deductions had been
made.
Those whose net incomes are not
more than $4,000 are required 10 fill
out the blank designated as form 1O40A.
Those whose incomes are in excess OF
5000 are required TO fill out form
1040. These returns. together with the
payment. either in full or with the first
installment. should be filed with the
collector of internal revenue at Austin
not later than March II. II the pay
ment is not made in full. it must be
paid in four equal installments. the
first at the date of filing and the others
every three months thereafter.