RETURNS OF INCOME DUE 2nd JUNE.

Manawatu Herald, Volume LI, Issue 4453, 17 May 1930, Page 4

RETURNS OF INCOME DUE 2nd JUNE.

PENALTY FOR NEGLECT. Furnishing' a return ol income is an minimi duty imposed by law on nil companies which, and persons who, whether for the whole or part of the income year, were in business or in receipt of profits or gains derived from the use or occupation of lands used for agricullnral or pastoral purposes it the unimproved value of such lands owned at any one time during the income year, was not loss than £l-1,(Mill, or in receipt of .prollls or gains derived from the extraction, removal or sale of minerals, limber, or llax, or in receipt of profits or gains derived from the use or occupation ol any crown land or other land administered by a Land Board and held as a small grazing-run or for pastoral purposes, or derived from the rise or occupation of any other lands reserved, set apart, or granted bv the Crown as endowments and occupied for pastoral purposes, irrespective of whether a profit - or a less was made; also by all persons in receipt of income from salary, wages, interest, rent, annuity or oilier annual payment, where such income exceeds £250 per annum. Returns are required annually from such companies and persons no lb withstanding that, by reason of the special exemptions allowable by law, they may not be liable for tax. Form No. 3, which is now obtainable at all post-offices, is the form to be utilised by all individual taxpayers, estates, and commercial, industrial or investment companies. The return should he completed and forwarded to the Commissioner of Taxes, Wellington, on or before the 2nd June. If for any reason, the return cannot he furnished by the prescribed date, application should he made for an extension of time. Where returns are accepted compiled to a date subsequent to the 3.lst March they should be furnished within two months after that date. Any person required by law to furnish a return and neglecting to do so Is liable on conviction to a penalty not exceeding £IOO. Neglect to furnish returns at the prescribed time not only renders taxpayers liable to prosecution, but also results in many cases in an assessment of considerably more tax than would otherwise be payable. In the absence of a return the Department has power to make an assessment of an amount oil which it is considered lax ought to he ievied. The acceptance of the estimated assessment does not, however, absolve the Laxpayes from the duty of furnishing a return. If the lax payable under the estimated assessment is more than cue amount payable on the taxpayer’s actual assessable income, the taxpayer may render himself liable for the higher amount in addition Lo prosecution for failure to furnish the return at the prescribed time. If the tax payable under the esI minted assessment is less than the amount of tax payable on the taxpayer's assessable income, the taxpayer may render himself liable to a penally of treble the amount of such deficient tax in addition to prosecution for failure to furnish the return, at the prescribed time. Reports of prosecutions for failure to make returns iu the past should he taken as a warning, and all persons liable to furnish returns are therefore advised in their own interests to forward such returns on or before the 2nd. June.