RETURNS OF INCOME

Bay of Plenty Beacon, Volume 6, Issue 74, 21 May 1943, Page 3

RETURNS OF INCOME

DUE Ist JUNE PENALTIES AND PROSECUTIONS FOR NEGLECT

Returns of income, arc required to be furnished by all cofnpanies ancl persons in business, or in receipt. of profits or gains derived from the use or occupation of all lands used for agricultural or pastoral purposes (irrespective of the. value of isuch lands) or in receipt of profits or gains derived from the extraction, removal, or sale of minerals, timber or flax; also by alii

persons in receipt of income from salary, -wages (Including . bonuses, overtime, allowances etc.) interest, rent, annuity, or other annual payment or dividends or other profits from shares in companies wliere such income exceeds £200 per annum, whether the income from interest, rent, annuity or divide mis is derived, from a sourcc withi.n New Zealand or beyond New Zealand.

Returns are required annually from such persons notwithstanding that by reason of .the special exemptions allowable by law they may not be liable for tax.

The following return •forms are available:—

Form No. 3—Where income derived. from salary or wages. Form No. 3A—Where income derived from farming.

Form No. 3B—-Where income derived from business or profession. Form No. 4 —Where income derived by a company.

In the case of a person who derives income from farming and also from a profession or trading or manufacturing concern it will lie necessary to furnish two returns (forms 3A and 3B).

Farmers: Particular attention is drawn to the fact that all farmers, must now make income-tax returns on form No. 3A whatever the unimproved value of the tfand farmed.

The return should, be completed and forwarded to the Commissioner of Taxes, Wellington C.3, on or before the Ist June. If for any reason the return cannot be furnished b}' the prescribed date application should be made for an extension of time. Where returns are accepted compiled to a 'date subsequent to the 31st March, they should be furnished within two months, of that date.

In the absence of a return the Department has power to make an assessment of an amount on which it is considered tax ought, to be levied. The acceptance of the. estimated assessment does not, however.

absolve the taxpayer from the duty of furnishing a return.

Persons required by law to furnish returns, of income are cautioned that failure to supply such returns renders them liable to prosecution under the pentil clauses of the Land and Income Tax Act, 1923. Present staffing difficulties in the Land, and Income Tax Department render imperative the necessity for strict compliance, with the law. For this reason taxpayers are Avarned that it is the intention of the Commissioner cf Taxes to apply more rigorously the penal provisions of the Act.