The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1937-11-25
Drive to Mop Up Lagards in
the Social Security Program IS
Started by the St. Cloud Office

The social security act, as feder-
ally administered, concerns itself
with Title TX (unemployment) and
Title VIII (retiremenD of the act
The United States internal revenue
office here, H. ]. O'Donnell. deputy
collector in charge, postoffice build
ing, st. Cloud, announces an item
sive drive to ferret out those in
dividuals, partnerships. corpora
tons or companies that have failed
to file returns under the taxing pro-
visions Of the act. Such individ-
uals, who have failed to comply
with the full provisions Of the law.
Sufficient time has elapsed for all
taxpayers to have acquainted them
selves fully with the act and it's
taxing regulations.
Title TX (Social Security Act)
Title TX or the unemployment
title of the social security act was
effective January 1, 1896 and con-
cerned itself with all employers of
eight or more on some twenty days
of the calendar year 1886. each day
on a different week. A tax of one
percent was levied upon those en-
ployers as above defined on all
wages paid or accrued during the
taxable year 1886, ended December
81, 1896. To be liable for this excise
tax for the year 1896, an employer
must have had eight or more en-
ployees on some twenty days of the
calendar year 1896, each day in a
different week. In cases where en-
ployers did have liability for this
excise tax as levied, proper return
on form $40 was due on or before
January 81, 1887, extended to April
1. 1887. This one-percent excise tax
as levied on all taxable wages paid
or accrued was allocated in terms
Of nine-tenths of one-percent to
the State of Minnesota and one
tenth of one-percent to the federal
of this excise tax on employers for
the year 1885, as filed on form $40,
permits a credit of nine-tenths Of
one-percent on that return, If act
ually paid on or before April 1.
1887 to the state unemployment
fund. If payment was not made to
the state unemployment fund on
or before April /, 1887, no credit
can be allowed on the federal re-
turn, form $40. for the calendar
year 1896. All employers, therefore,
of eight or more as defined by title
TX Of the act. who have failed to
file proper federal return. form $40,
for the calendar year 1896, reflect
ing thereon all wages paid or accru-
ed for the calendar year 1896. will
be called upon to file delinquent re-
turn with attached penalties and
accrued interest. Credit of nine
tenths of one percent will be allow
ed only, if the employer Of incurred
liability, has actually made pay
ment of the nine tenths of one per-
cent to the State Unemployment
fund on or before April 1, 1887, the
due date of the federal return
under Title TX Of the act.
Title VIII (Old Age. Retirement)
Title VIII, commonly referred to
as the old age or retirement title of
the Act. was effective January 1,
1887. This title is entirely separate
and distinct from title TX Of the
act; is entirely federally admins
tered, and imposes for the calendar
year 1887, on the basis Of monthly
returns, an excise tax on the en-
ployer and an income tax on the
employe at the rate of one percent
of all taxable wages paid by the
employer and received by the en-
ployee. These tax returns are filed
monthly, the due filing date of any
calendar month being the last day
of the calendar month Immediately
following. Filing form, Ssh. is pro-
vided for the monthly filings under
title VIII Of the act, which form
provides for the one percent excise
levy on the employer and the one
percent income levy on the en-
ployee. Title VIII is applicable to
all employers regardless of the
number Of employees. 1t is i'm
material whether an employer en-
ploys an individual full or part
time; whether he EMPLOYS the indi-
vidual for half day, day, a week
or a month. The act concerns itself
with all employers of one or more,
full time or part time, the tax lev
led upon the wages actually paid
and in the month in which paid. If
an employee receives compensation
in a form other than money, the
fair determinable value Of that
compensation furnished must be
considered. This occurs where an
individual may receive salary plus
room and board. Statesmen on the
road receiving commissions or sal
ary and commissions must furnish
their employer each month with a
statement Of expense incurred in
order that the employer may deter
mine taxable wages paid.
Employer Defined
Everv person rs an EMPLOYER I'M
der title VIII Of the act who en-
plovs one or more individuals in an
emDlovment. that is. for the per-
fornance within the United States
ed. The number Of individuals en-
ploved by the ep,Dlover and the
ner'od during which anv such in
dividnal is ernploved Is inoroaterial
An empIover NAV be an Individual
partnership. trust. estate. Joint
stock corpanv association. svndi-
cate. pooI. Joint venture or other
unincorporated organization, group
nv entitv. An eroplover NAV he act
iro IN a fidnciarv capacitv or on he
hale ~ another. such as a guardian
comnnHttee. trustee. Ir~acutor. al
roin'strstor trustee in hankr,Iptcv
receiver. assipnee for the benefit