Did You Ever Wonder When It Started

Hello, I am taking a one day break from the book I have been putting on my blog. Tonight I have something else to share with all those who pay Federal income tax. If you are like me it takes a bite out of your good nature and leaves a gaping hole in your, oh well that’s life attitude. If you really want the long face and probably put a grouch on. Wait till you read this article I came across in a 1914 almanac. Talk to you after the article.


THE NEW FEDERAL INCOME TAX

THE tariff measure enacted by the 1913 special session of Congress provides, for the first time in the history of the United States, for a tax upon all incomes over $3,000. The provisions of this section of the law are briefly as follows:
The married man who has a dependent wife, or the wife who has a dependent husband, receives an additional $1,000 exemption, making his or her total exemption $4,000. The word "dependent" is construed as including any wife or husband who has not a separate income of $3,000. Under the terms of the bill all taxable persons must make returns to the internal revenue collectors under oath, by March 1, 1914, shoeing their net income. These first returns will cover incomes from March 1, 1913, to January 1, 1914, and after that for each calendar year.
In figuring his net income, the taxpayer, after deducting $3,000 if single, and $4,000 if married to a dependent, will be entitled to claim the follow­ing additional exemptions:
Necessary expenses of carrying on business, not including personal, living, or family expenses. In­terest paid out on indebtedness. National, State,county and school or municipal taxes paid within the year. Trade losses, or storm or fire losses, not covered by insurance. Worthless debts, charged off during the year. Reasonable allowance for the depreciation of property. Dividends from companies whose incomes have already been taxed. Interest from State, municipal, or govern­ment bonds.
Failure on the part of any taxpayer to report his income to the Federal authorities is punishable by a heavy fine, and for, fraud in making returns severe punishment is also meted out.
Two methods are provided for the collection of the tax. One is oh the individual return made by the citizen, and the other provides for collection at the sources. Every employer who pays out an­nually to any individual a salary of more than $3,000 is obliged to withhold the tax. The em­ployee, in order to enjoy the exemptions provided, must file an affidavit laying claim to it and show­ing his income either with his employer or with the internal revenue collector. This payment at the source applies to salaries, rents, interest, roy­alties, partnership profits and some other sources of income. Income tax from bonds is withheld at the source, whether or not it amounts to more than $3,000 a year, and the owner of the bonds is obliged to claim his exemption.
The following are the rates of taxes: From $3,000 to $20,000, a normal tax of 1 per cent, of the income. Over $20,000 the following surtaxes: $20,000 to $50,000, 1 per cent; $50,000 to $75,000, 2 per cent; $75,000 to $100,000, 3 per cent.; $100,000 to $250,000, 4 per cent; $250,000 to $500,000, 5 per cent; over $500,000, 6 per cent.
The profits accruing to States and their politi­cal sub-divisions from the operation of their es­sential government agencies and from all public utilities are exempted from taxation. Labor, ag­ricultural or horticultural organizations, mutual savings banks and fraternal beneficiary societies, business leagues, chambers of commerce or boards of trade not organized for profit, and civic organi­zations operated exclusively for the promotion of social welfare are also exempted.
The End


Well now, the times have surly changed over the years. I wonder what our Founding Fathers would say if they were alive today. It’s a good thing they were Christians, that would cut down on the four letter words a mite. My oh my, anyway down on the farm we have just finished our main planting, (cold spring). Our eyes are still watering from the price of fuel. We quit using commercial fertilizer several years ago and are trying to stay organic. It’s a good thing with the price of fertilizer this year. I don’t know how farmers are making it. But I think everyone will see an increase in the cost of food even more than has already hit the scene. People are going to be going back to the old way of eating. More food at home made from scratch using cook books. May not be all bad, better food, more family time and kids learning from their parents the necessities of life.

The spring calving is running late this year. The calve seem to care less for they spend their time with mom and playing with the other calves. It sure is great living on the farm. New life always brings hope in the future and daily joys.

For now don’t think of taxes, think of calves running in green pastures on a bright sunny day. With white fluffy clouds casting their shadows before the sun and a breeze that has the scent of lilac in it. The essence of life pours out of our heart to those around us to give them joy. The purer the heart the purer the life and life can be so, so very sweet.

All is well down on the farm.

The old Farmer.