River Falls journal. [volume] (River Falls, Pierce County, Wis.) 1872-2019, 1925-01-22
Assessor Gives Out
Income Tax Instructions

The season for fling income tax re-
turns for reporting 1924 incomes
having arrived, it is doomed advisable
to publish a few timely suggestions
with a view Of assisting those who
are not familiar with the income tax
law in preparing their returns.
Failure or neglect to make re-
turn when requested to do so, or to fill
out the blank in the proper manner,
results in much unnecessary cores
pondence and frequently in the impo
sition of penalties.
Tu order to properly fill out re-
turn it is necessary to start with
practical knowledge Of the income
tax law. There seems to be consid-
cradle confusion in the minds of
some taxpayers concerning three
elements of the law, namely: "Who
should make return?" "What is
income ~ and, "What are the allow
able exemptions and deductions?"
These essentials are herewith treat
cd in their respective order: A return
should be made by every person to
whom a blank is sent, and by all
single persons with a gross income of
more than $500, and by all married
persons with a gross income Of more
Al IN q
blank does not relieve one Of the
necessity of making a return. The
law assumes that each individual
knows the amount Of income he or
she derives, and if more than the
amount of the personal exemption is
received within the year, then a
blank should be obtained and the in
come accounted for If this is not
hone and it is subsequently discovered
that the law has not been complied
with, the penalty may be imposed
for such evasion.
There is ample reason for requir-
ing all parties who receive blank
to account for the same. This Office
can keep busy without looking for
unnecessary work. However, it may
be that, although your income is less
than your personal exemption, we
are trying to trace payments of rents,
interest, etc. If, on proper showing
we are convinced that return is I'M
necessary and useless, we can ex-
cuse parties from making report.
The term income" as used in con-
nection with the income tax law,
embraces profits derived from the
operation of business, rentals, sale
or real estate or personal property,
salaries, commissions, professional
fees, and ali other gains derived from
any source except such as are spec
ifically exempted.
The chief item of expense which
one is entitled to deduct include
wages, rents, (not including resi-
dence rental, interest paid on in
veytment within state, depreciation,
repairs, mot on residence)' and los
Sos not compensated for by insurance
or otherwise.
In addition to the personal exemp-
ton of $500 to a single person and
$1,000 to a married person, further
exemption of 5000 is allowed for
each child under Is years of age or
for each person actually supported by
and entirely dependent upon the per-
son making the return.
We find instances in which parties
are Of the impression that salaries
paid to public officers are exempt.
This conclusion is erroneous except
insofar as it applies to salaries re-
ceived from the Federal Government.
All salaries received from the state,
or from any political subdivision of
the state, including teachers salaries,
are taxable under the Wisconsin law
TIC avoid misunderstanding and
unnecessary correspondence, we
recommend that parties read care
fully al questions contained on the
four pages Of the return. For ex-
ample, in claiming deduction Of
1917 of the net taxable income by
virtue of Item e. page 8, one
should account for the gift pursuant
to question SO on page A. Otherwise,
the deduction may not be allowed.
In fact, the Tax Commission re-
quires that all questions ON page
be answered.
1t is further recommended, that
parties state on page l the place of
their legal residence. This is inn
portant because it determines the dis
trict in which the tax is payable.
The town, city or village in which the
taxpayer votes, or is entitled to vote,
is the place Of residence within the
meaning of the income tax law.
Observance of the above sugges-