Evening star., 1923-10-29
ID. C.. Wealth Increased IN 1921.
But Actual Taxes Paid Decline
Incomes Greater by s35,O0O,O00 Than
Year Before, But More Exemptions
Are Asked; Corporations Fall Off.

Although personal and corporate
income for the entire United States
in 1921 dropped sharply by more than
seven billion dollars under 1920, &C
cording to reports to the internal
revenue bureau, the total income re-
ported from the District Of Columbia
rose during the same period by more
than $35,0oo.o00.
There was a tax reduction loss to
the federal government Of $1.27s,-
a52,7s1 from all sources in 1921, as
| compared with 1920. with the total
income and profits tax for 1921 stand
ing at $1,420, ,s62,53s, paid by 7.o1s,57a
individuals and firms.
The statistical report by Commits
sioner Blair Of the internal revenue
bureau, made public today, further
| showed there had been a reduction
| of about 500, 900 in the number OF
persons and firms making returns as
compared with 1929. while OF the
total number Of returns hied, 6,66Z,1io
were by individuals.
Show Unusual Situation.
In the District Of Columbia there was
an anomalous situation, the incomes rts-
| ing while the total for the country leil,
but with a falling off in the actual tax
return from the District to the govern
ment Thus the income reported by the
754'747 in 1920 to s26S S,557.7S4 in 1921.
| while the tax resulting to the govern
ment dropped instead from SlZ,2l3'-
! 301 in 1920 to $11, ,126.07o In 1871.
The increase in incomes fspoTsleoo seo o1y ~
| the District in 1921 was sS2'evs,1sa.
over 1920, while taxes fell on during
| the same period by $I.097,231
or the District returns, 1,25S were
made by corporations, with a reporteo
! gross income of $220,104,49l, paying
| taxes of S3,421,506. while there were
80 e6s personal returns, total net in
come Of S24s.345.So4, paying taxes Oh
| $7,704.564.
More Exemption Claims.
Part of the drop in taxes from the
District during the period wnen IA
comes were rising was accoun.eu ao1
| by the fact that the personal eA-
| emption from tax rose snatply, ersnus
here in 1920 was $208,3SS.174. as
compared with the larger income OF
Sa48,345,S04 in 1921. But the net II,
come subject to normal tax cropped
during the same period from $II,-
SSs.2Oi in 1920 to ss7.4z8.2s5 in 1921.
Interest on government obligattons'
which are tax free, was partially ac-
countable, as this item rose from
$685. in 1890 to $s17.554 In 1871. :,
Cross income Of corporations IN
the District. however. fell on from
$225, 5,3s0.s4s In 1920 to $220,T04.491 IN
1921. with q corresponding decrease
in tax paid, which dropped from
$s.s7s.s sss in 1920 to $3,42l'oos In
Corporations In the District show
ing no income rose both in number
and amount of deficit" There were
542 of these firms in 1921. a larger
number than for many years Ihey
showed gross income of $S0,010,71 719,
deductions of S91.S23.143, with a
"deficit" of $11,812,424. No similar
deficit item as far back as 1916, ac-
J cording to the figures available today,
rose above $3.635,s12, which was in
1920.
Richest Persons Here.
From the wealthiest persons in the
District, there were filed three re-
turns, showing incomes above 100000
annually. One was for the amount
between 100000 and $250,00O; an
third from, 100000 to $500, 900. Five
persons reported in the class between
$3.50 900 to 5000. 900; eighteen in the
class between 100000 to $160,000, and
four In the class between $4,000 and
was that reporting inceme from $1,000
| to $4,000, numbering 3E<8O.
Reductions In the amount Of taxes
paid and the number ofFeturns filed
as compared with 1920 extend all
along the line from the persons pay
maximum class Of $1,0oe, 900 or more.
There were only twenty-one In the
| latter class in 1921, while In 1920 the
records show thirty-three persons ad-
mitted having incomes in the class Of
''one million dollars and over"
| Incomes Over Million.
| Detailed figures disclosed that
twelve Of the twenty-one paid taxes
on incomes between $1,000,000 and
$1,500, 900. and none reported incomes
between $1.50o.ooo and $7.ooo.ooo.
incomes between $4,000, 900 and $4,000
| 900, and nve on incomes between
$3,000,000 and $4.000,000. while one
shared with the government an In
come 'fn excess OF nve million dol
| lars"
payers for 1921 was divided by the
bureau records into the following ta1
2.44o.544; $1,000 to $4,000, z,222.os1
$4,000 to, $4,000, 702,991; $4,000 to
$4,000. 369.155; $4,000 to $4,000, 353..
to sao,o 900. s4.2so; $4,000 to 5000
J 1900; $25, 900 to $4,000. 10.848: $780,.
| 900 to $4,000; 1907; $4,000 to $780,
600. s:o51; $4,000 to 100000. SIT
| 100000, 450: 5000, geo to $250.0oo. 205i
$3.50, 900 to 100000. 81; 100000 tc
$40o, 900. IS; $500, 600 to s50o.ooo. 81
| 100000 to 100000, So: $1.0o0,oet
and over, u. A total Of 4e1, ,S4S per.
sons filed returns on incomes OF lesf
than 81, 900.
The net income upon which the
t6,662,176 individuals paid taxes wa2
recorded by the bureau AZ $1S.577.212.-
I6zo, while for 1890 the net income VA
reported at nearly $4,000. .00O. 900