The Tacoma times. [volume] (Tacoma, Wash.) 1903-1949, 1942-11-07
Capital
Comment
Better Start Keeping
Books Right Nov
Twill Help You On
Your Income Tax
Take VIII Be About
~ Cents On The Dollar
Even The PsnhandIers
May Have TO Pay
BY PETER EDISON

BY PETER EDISON
The best advice your Uncle
Samuel can give you right now
IL. Make a personal budget and
start keeping books on every dol
lar you earn and every cent you
spend"
In giving you this advice-the
only thing. by the way. that you'll
get free from the government as
long as the war lssts-it isn't the
intention to warn you to make q
New Years resolution TO make q
budget and keep books in ie43.
The warning is for immediate
adoption, and for your own good
you might even try to make this
bookkeeping habit retroactive.
Dig out all your old receipts and
sales slips clear back TO Jan. l.
1912. There might be gold in them
thar bills.
The reason for encouraging
your interest in all these figures
without sex appeal In simple. It's
the new tax bill.
On 1e41 income $4,000. 900 good
citizens had to file returns, though
only about 100000 paid federal
income tax. On this years in
come, however the new tax bill
will require some $4,000, 900 people
to file returns and taxes viii be
collected from perhaps 2s,000, 900
Of them.
By March IS. 1913, 100000
people who have never paid in
come taxes before will begin fork
ing over. In recruiting all this
new tax-paying talent. Uncle Sam
will be putting the finger on a
lot Of citizens who have never
kept books. Any single person
taking in more than 1882 per
week, any married person getting
more than s23.Os per week. That's
dipping pretty well down toward
the bottom Of the barrel to find
pay dirt, but the Victory tax of
1913 will 60 even deeper.
The importance Of having all
people earning more than these
minimum wages keep books comes
from two principal reasons.
The first is that your Uncle
Samuel, instead Of being content
with only a minimum of 4 cents
or 6 cents out Of every taxable
dollar you earn, Is now about to
take a minimum of 10 cents OF
every dollar you earn above the
personal exemption figures of $500
a year for the unmarried, 81, 200
a year for the married. Six cents
OF this 10 cents will be normal
income tax. The other IL cents
will be surtax. For incomes over
$5,000000, the tax is So cents
per 81.
The items to keep track of are
rather numerous. Among tn
more numerous are.
Keep track of all the money de-
Quoted from your pay envelope
after Jan. /, 1913, for the Victory
tax, which will probably be 5 per
cent Of all your earnings over
1924 year.
Keep track of all the money you
pay out on debts which you owed
on Sept. l, 1912.
Keep track Of all the money you
pay out or have deducted from
your pay envelope for the pur-
chase of war savings stamps and
bonds.
Keep track of every penny you
pay out for taxes. You can't de-
duct your income taxes, but nearly
every other bit Of direct tax
money you pay is deductible.
Watch the sales taxes and federal
excise taxes on transportation,
furs. jewelry. etc, particularly.
Keep track of all your contri-
buttons to the church and to es-
tablished charity and welfare or
CARNATIONS. Get receipts for YOU
charities. Dimes given to PAN
handlers don't count.
But the panhandlers, II they
gross more than $500 a year, will
have TO file tax returns and they
should therefore keep books, too