Evening star., 1944-03-31
House Group Moves
10 Delay Final Tax
Report Uniil Jap5s
By the Associated Press.

sstss - 9AV
BY the Associated Press. i,
Because some 5000 600 to
20,ooO,oo0 taxpayers now must
guess at their income before they
get it, the House Ways and
Means Committee has voted to
change from December Is to the
following January Is the final
day for filing revised estimates
of income.
Chairman Doughton yesterday
said such change would provide
substantial relief for farmers, the
self-employed and professional
people.
Under the pay-as-you-go law, de-
lclarations of expected income must
be filed by single persons with wage
or salary above $2,700 and married
couples above $500, and by per-
sons with income more than 500
from sources other than wage or
salary.
SThe first estimate with at least
a. one-fourth tax payment, ii due
by March Is of each year delayed
until April Is this year,, Taxpay-
ers are permitted to file revised
estimates on June Is, September IS
and December Is. Yesterdays ac-
tion,, if made law by Congress,
would move the final date from De-
cember is to the following Janu-
AIRY IS.
Other Problems Met.
The guessing procedure is de-
signed to put on a rent-payment
basis those taxpayers whose ap-
proXimate total tax is not taken by
!the 20 per cent withholding levy.
The Ways and Means Committee,
in its effort to simplify the Ma
tion's income tax laws, also ran
into these knotty problems:
What to do about exemptions for
dependents who themselves earn
some money.
Whether to allow reductions in
the withholdings from wages and
salaries of persons who declare they
intend to make substantial contri-
buttons for religious and charitable
purposes.
Mr.. Doughton said he hoped the
committee could clear up all the
problems soon, and that Congress
would proceed with enactment OF
Legislation streamlining the tax
statutes.
Churches Seen Hit.
Meanwhile, Representative Cur
It's, Republican, of Nebraska said
the simplification plan as now ten
tatively drawn would work to the
disadvantage of religious and chari-
table institutions.
The plan would allow a fiat de-
duction Of 10 per cent for contri-
buttons, interest paid and other
taxes, in computing the income tax,
and for the purposes of withhold
ings from wages and salaries. The
taxpayer would be given the privi-
Ilege of filing formal declaration
and obtaining tax rebate at the
year end if such deductions actually
exceed 10 per cent of income.
Mr.. Curtis and several other law
makers want an adjustment to pro-
vide for reductions in the withhold
ing rate against persons making
above-average contributions, so they
will not be forced to ask for rebates
at the year end.
Cites Difficulties.
Pointing out that under present
law IS per cent of an individuals in
come, If given to religion and char
ity, is exempt from the income tax
Mr.. Curtis declared that to abandon
the principle that such gifts are
exempt from taxation means "the
ultimate impairment" of charitable
religious and educational institu-
tions.
Some congressional tax experts
contend that without arriving at q
method of treating average" con-
tributions, there could be no simpli-
f1cation Of the tax laws to eliminate
the necessity of some 10000, 900 per-
sons having to file returns.
The plan worked out by the COM
mittee would adjust the withholding
levy SO as to cover the full tax la
bility OF persons with incomes under
Sc, 900,