Evening star., 1942-12-28
New H. S. Income Tax Blanks to Be Available Sotudoy34
BY HAROLD B. ROGERS.

| Se'AAo W al AllohC 4CUdl Oll VI bCAol
March Is were made public today
They will be available to taxpayer.
next Saturday.
The income tax, to be computed or
these new blanks, is in addition tt
the so-called Victory tax, which will
be deducted by employers from pay.
rolls beginning Friday.
These two principal taxes Levied
against the individual are estimated
by the Treasury Department to bring
In total of more than $4,000 ,0OO,.
600 during, the next calendar year
to support the Government and heir
| pay for the war But new tax legis-
lation, to add fresh loads for the
future, is certain to come up in the
new Congress which meets next
week
Three Billion Increase Seen.
Individual income taxes to be paid
beginning next March are expected
by the Treasury to net $8,056, 900 .0O0
an increase of s3,0l1 900 900 over the
income taxes paid during 1912
The new victory tax is estimated
to bring $1,955 ,000, 900 in 1943. The
two added together are expected to
ring Uncle Sans cash register for
a grand total of $l0,0l1 ,0O0, 900
Other taxes in the 1912 revenue bill
such as corporation taxes are ex-
pected to roll up an overall total
of s24,843, ,00000 net revenue.
To accomplish this stupendous re-
suit, income tax exemptions and de-
ductions are lowered and tax rates
are increased The victory tax is
an entirely new levy.
Income taxpayers who filed last
year soon will begin receiving forms
in the mail Millions more, who
never filed an income tax, will have
to go get their returns at local Of
fees of the collectors of internal
revenue.
Forms will be available in WASH
ington in the Office of the deputy
collector at room 1902, Internal
Revenue Building, at Twelfth street
and Constitution avenue NV, be-
ginning Saturday. The filing period
thus will last for two and a half
months, until March IS.
Two principal forms are provided
to take care of individual income
taxpayers. One of these is so-called
form 1040, which may be used by in
dividuals with any size income, re-
gardless of the nature of the in
| come. 1t is four-page return with
33 items on its front page for COM
putations, and nine schedules In
side running from the letter A to the
letter H, on which to explain the
return. Instructions this year are
on another four-page document, oc-
cupying the same space, but many
more words than the return which
it is designed to explain.
Optional Form Available.
An optional form also is provided,
somewhat similar to that offered
last year to make computation
easier. This years optional form
known as "1040 A" is printed on yel-
low paper, one sheet, of two pages
It is for citizens or resident aliens
reporting on the cash basis If gross
income Is not more than $1,000 and
is only from salary, wages. divi-
dends, interest and annuities." Per-
sons deriving their incomes from
businesses, for instance, should not
use the yellow form, it was ex-
planned. The yellow form has an
extensive table to make it simple
for people under $4,000 income to
| figure their taxes.
In addition to the new income tax
blanks, the Bureau of Internal Reve-
nue. is ready to distribute forms to
be used by employers in connection
with the Victory tax. One is the
form on which the employer will re-
port to the Government the amount
of Victory tax withheld from the
worker, and the other is statement
to be given to the employe showing
how much of his Victory tax was
taken out during the year 1912 and
turned over to the Government.
While 1902 900 persons paid regu-
lar income taxes during 1912 calen-
dar year, it is estimated by the
Treasury Department that the new
revenue act will bring income tax
returns from 27,20o,0OO people. The
Victory tax, on all persons making
more than S12 a week, is expected tc
affect 100000.
Exemptions Lowered.
Personal exemption for a single
person has been lowered from $75C
to $500, and for married persons
from ST 500 to $1,000. Credits fol
each dependent has been cut frC N
$40O to $3.50
The rates for normal tax have
been increased from 4 per cent
to per cent; and the surtax from
range between 6 per cent anc
II per cent to a range between !;
and 81 per cent.
The Bureau of Internal Revenue
is sending out also notices to be
posted in business establishments
to explain the victory tax.
Beginning Friday, they read
every employer is required to with
hold the victory tax from all wages
and remuneration regardless OF
when earned of every employe
Except agricultural laborers, do
mestic servants, casual laborers, and
certain other classes of employees
The employer is required to with
hold per cent OF the amount by
which the wage payment exceeds
the amount exempt from withhold
ing. The amount exempt from
withholding is $l2 for the weekly
pay period, $24 for a two week pay
period, $26 for a semi monthly pay
period, $50 for a monthly pay
period, and 1924 for year"
Further Explanation.
Explaining further this tax. the
notice says to emAloyes: The
amount withheld from your wages
during the year may be deducted
from the victory tax for which you
may be liable for the calendar yea
1912 If the amount withheld from
your wages during the year is larger
than your victory tax. the balance
may be deducted by you from YOU
income tax. If the amount with.
held is larger than your victory ia,
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