Milford chronicle., 1923-02-02
REQUIREMENTS FOR INCOME TAX
FILING

FILING
Government Tells Who Must Send in
Statements and How it is Done.
Before March Is, 1923, every resi-
dent of the United States, and non
resident alien within the nations bor-
ders, is required by Federal law to
determine the exact amount of his in
come for the year just ended, 1922,
unless special permission has been
granted for the use of some other t1s-
cal period of accounting. After deter
mining this income for the past year,
one must ascertain whether or not it
will be necessary to fill out an income
tax blank according to the filing re-
quirements of the law. These require
ments differ from the requirements
for the taxing of income.
The records of the local collection
district show that more persons have
been delinquent through failure to file
returns during the past year than ev-
er before because they overlooked the
filing requirements which make re-
turn necessary oftentimes when there
is no tax due.
Filing Requirements
Married men or women, who, are
living with husband or wife on De-
cember 81, 1922, must file if the net
income exceeds $500. This figure
should not be confused with the $4,000
exemption of income for taxing pur-
poses. Nor should person fail to file
because his or her income is not tax
able because of dependent children
under 18. Every man or woman who is
married and living with wife or hus-
band, regardless of the number Of de-
pendents' credits, must file if his or
her net income equals or exceeds S2'-
900.
Single persons, heads of families,
and persons married but not living
together must file if the net income
equals or exceeds $1,000. This is inn
portant for "heads of families" to un-
derstand, inasmuch as the mistake is
often made by the head Of family
without a husband or wife that they
need not file unless the income is ST.
900. The filing requirements of the act
put their figure at $1,000.
Gross Income Of $4,000
A further filing requirement under
the 1921 act compels persons whose
gross income equals or exceeds $4,000
to file, even though his net income
does not exceed his exemption from
fling under the single or married ana
living with wife classification. Gross
income, as used in the act, means
gains, profits and income derived from
any source whatever, which is not
exempt under the act. Spe-
cific exemptions of income will be
dealt with separately in this series OF
articles. For a shopkeeper or proprie-
Tor of a business the gross income is
the balance after merchandise Dought
for sales, inventories, and labor ana
directly put on goods have
been deducted from gross receipts.
From this gross income the allowable
business deductions are taken, 10 COM
oute net income. However, if the gross
income figure is $4,000 or more, re-
turn must be filed, regardless OF |
whether tax is due or not.
Where and When to File
The law requires that all returns
De filed in the collectors Office, third
loor, Postofice Building, Ninth and
Shipley streets, Wilmington, or depos-
ted in the mails before midnight OF
March Is, 1928, unless an extension
because of sickness or absence from
he country has been granted by the
collector in writing. When in doubt as
@ your liability to file return, vlslt
his Office and get correct information.
excuses that some one told you you
we're not required to file a return will
lot save you from the penalties for VI
,Iating the law. These penalties are
jevere and will therefore be made the
ubiect of separate discussion. Num-
,erless other excuses and reasons for
lot filing on time are given by persons
Who had no intention of evading the
aW. but such do not relieve from the
,enalties. It is well to remember that
ew, if any, excuses will stand when
-ou are discovered delinquent. A very
reuuent one is that no blank form
vas received. This is insufficient TO
void penalties, inasmuch as the Rev
nue. Bureau places responsibility FOR
ecuring these forms on the taxpayer
nd maintains that it is not the bur-
aus responsibility. Therefore, If no
orm is received, write, telephone or
isit the collectors Office to secure
ne. Another frequent excuse made by
person is that he Tor she) did not
now so much money was earned.
Tere again the law places this respon-
ibility upon the taxpayer. A person
lust find out his Tor herr earnings
or 1922 by asking the employer, If
ecessary.
To sum up, all information regard
lg the filing of returns can be best
nd most safely secured by a letter.
elephone or personal interview at the
ncome Tax Division in the Postot1ce
uilding.
The safest plan is to file a return
nd, if non-taxable, no tax will be as
sssed. j12-2t