The United States Internal Revenue Tax System: Embracing All Internal ...

"Any offense against the foregoing provisions shall be a misdemeanor and be punished by a fine not exceeding one thousand dollars, or by imprisonment not exceeding one year, or both, at the discretion of the court; and if the offender be an officer or employee of the United States, he shall be dismissed from office, and be incapable thereafter of holding any office under the government."

Collectors are directed to call the attention of all officers and employees in their respective offices to this provision of the law, and to see that the same is carefully observed and rigidly enforced.

VIII.

Taxes due and payable on or before July 1, in each year.

Sec. 30 of said act provides that "taxes on incomes herein imposed shall be due and payable on or before the first day of July in each year, and on any sum or sums annually due and unpaid after the first day of July as aforesaid, and for ten days after notice and demand thereof by the collector, there shall be levied in addition thereto a sum of five per centum on the amount of taxes unpaid, and interest at the rate of one per centum per month on said tax from the time the same becomes due as a penalty, except on the estates of deceased, insane, or insolvent persons."

The notice and demand above mentioned will be given by the collector on Form 17,* and the collector will observe care in serving all notices under the provisions of this act, that the lien may be perfected against the party liable, with interest, penalties, and costs, as provided by Sec. 3186 of the Revised Statutes, as amended. The service of notice on the taxpayer, if not present, may be made by leaving the same at his residence or place of business with some person of suitable age or discretion, or by mailing, in which last case the service will be held to have been made on the day when the notice would have reached the taxpayer in due course of mail. The payment of all taxes on gains, profits, or incomes for persons or corporations, when delinquent, will be enforced as See Appendix.

in the case of the enforcement and collection of other taxes under the internal revenue laws of the United States. See Secs. 3187 to 3219 R. S.

Receipts to be given by the collector.

It is made the duty, under Sec. 37 of this act, of every collector of internal revenue to whom any payment of income taxes is made, to give the person making such payment a full written or printed receipt, expressing the amount paid and the particular account for which such payment was made. The receipt herein provided for shall be given on Form No. 1, Revised.*

Collector should set apart separate books of Form No. 1, for receipts for income taxes, that the stubs of said books when forwarded to the Commissioner of Internal Revenue may refer only to receipts given for this character of taxes.

Whenever payment of taxes is made such collector shall, if required, give a separate receipt for each tax paid by any debtor on account of payments made to or to be made by him to separate creditors, in such form that such debtor can conveniently produce the same separately to his several creditors in satisfaction of their respective demands to the amounts specified in such receipts.

Separate receipts may be given to guardians, trustees, agents, or other persons acting in any fiduciary capacity, for each of the wards, principals, or beneficiaries for which such guardian or other person may be acting.

IX.

Instructions relative to assessment lists (Form 367).

On or before the 15th day of March in each year, the collector will prepare an assessment list for his entire district covering all income taxes for the next preceding calendar year: This list will be on Form 367, and in triplicate, and will be in pamphlet form, as in the case of lists on Form 23 A and 23 B.

He will first enter the names of all persons liable to an in*See Appendix.

come tax for the year, and will then enter the names of all corporations, companies, and associations so liable, all in alphabetical order, space being left after each group of names commencing with a certain letter for entering the names of other persons or corporations, as the case may be, whose returns may be expected before the list is forwarded as hereinafter provided.

The collector will enter the amounts returned on Forms 365 and 366 to his deputies as well as those made directly to himself, and all income taxes ascertained otherwise. In each case every fact necessary to enable the commissioner to assess and determine the amount to be collected should be specified in the proper columns, including columns 9 and 10, and in the space headed "Remarks by the collector."

Each triplicate list will be a counterpart of the other two, except that the collector will mark across the top of one, in red ink, the word "Original," across the top of another the word "Duplicate," and across the top of the third the word "Triplicate."

Before sending the list to the commissioner, the collector will make the entries on Form 367 in columns 2, 3, 4, 5, 6, 7, 8, 9, and 10, and, in case the tax to be assessed is paid before the list is sent, in columns 16 and 17, as follows:

(1) Care should be taken that entries made on any one line of the original should be made on the corresponding line of the duplicate and triplicate.

(2) The collector will enter in column 2 the names of all persons, corporations, companies, and associations in his district liable to assessment of an income tax, including those liable to the penalty of 50 per cent for neglect to make return in due time, or of 100 per cent for making a false or fraudulent return.

(3) In giving the post-office address it is not necessary to state the county or township, but merely the post-office as found in the post-office directory, except in case the collection district is comprised, wholly or in part, within the limits of a city, when the street and number will be given in lieu of, or with, the post-office address.