TAXATION AND REVENUE SYSTEMS—WISCONSIN.
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insurance companies, millers and manufacturers and church
mutual, for filing the first declaration or statement, with cer
tified copy of charter, $25; annual statement, $25; certificate
of authority to agents, $1; certified copy of a paper, etc., 15
cents per folio; affixing seal, 50 cents.
Every fraternal benefit society is exempt from all state,
county, district municipal, and school taxes or fees, but is
required to pay all taxes and special assessments on its real
estate and office equipment, and the same fees for filing its
articles or amendments and annual report and for certified
copies, as other insurance companies.
Railroad commission.—Public service corporations, for cer
tificates authorizing issue of evidence of indebtedness for pur
poses chargeable to capital account, $1 for each $1,000 face
value of evidence of indebtedness—these fees to be paid into
the common school fund income.
In each action in a court of record having civil jurisdiction
there shall be levied a tax of $1, which shall be paid to the
clerk at the time of the commencement thereof, which tax on
suits in the circuit court shall be paid into the state treasury
and form a separate fund to be applied to the payment of the
salaries of the circuit judges, and which tax in other courts of
record the salaries of the judges of which are wholly paid by
the counties or by any county and city jointly shall be paid
to the county treasurer to create a fund to be applied to the
payment of the salaries of such judges.
F. THE INCOME TAX.
On taxable incomes of individuals, firms, or copartnerships,
on the first $1,000 or portion thereof, 1 per cent; second, 1£
per cent; third, 1£ per cent; fourth, If per cent; fifth, 2 per
cent; sixth, 2^ per cent; seventh, 3 per cent; eighth, 3i per
cent; ninth, 4 per cent; tenth, 4$ per cent; eleventh, 5 per
cent; twelfth, 5J per cent; all additional amounts, 6 per cent.
On the taxable income of a corporation, joint-stock company,
or association, the rate is one-half of 1 per cent on taxable in
come which bears a ratio of 1 per cent or less to the assessed
value of the property used in its acquisition, and with each
increase of 1 per cent or fraction thereof in the ratio of the
taxable income to the assessed value of said property the rate
increases one-half of 1 per cent up to a maximum rate of 6
per cent Thus if a taxable income is over 5 and not more
than 6 per cent of the assessed value the rate is 3 per cent.
All income, other than that by statute exempt, which resi
dents of the state receive from within or without the state as
well as that which nonresidents receive from within the state
is taxable.
Where a resident receives income partly from within and
partly from without the state, other than income derived
from rentals, stocks, bonds, securities, or evidences of indebted
ness, said resident is taxed on a proportion of the total income
to be determined by the amount of property from which it is
derived located or to be acquired within the state and by the
business transacted within and without the state.
In the case of individuals, firms, and copartnerships the fol
lowing deductions from the gross income are allowed;
(1) Necessary expenses, including salaries or wages, of less
than $700.
(2) Salaries or wages of $700 or more, providing the name
and address of the employee is reported.
(3) Uninsured losses during the year.
(4) Dividends received from other persons whose income
has been taxed by the state, providing the amount of said divi
dends has been reported by the person taxed at the time of
the assessment.
(5) Interest received from bonds or other securities exempt
from taxation under the laws of the United States.
(6) Amount paid in taxes, other than inheritance taxes, and
paid upon the property or business from which the income to
be taxed is derived.
(7) All inheritances, devises, and bequests on which in
heritance tax has been paid.
(8) Life insurance received to the amount of $10,000, if the
taxpayer was legally dependent on the decedent.
(9) Current interest paid on existing indebtedness, provid
ing taxpayer reports the name and address of the creditor.
(10) Compensation or pensions received from the United
States.
The deductions 1 to 6 above apply also in the case of cor
porations, joint-stock companies, or associations. The interest
paid on the bonds of a corporation is not, however, allowed as
a deduction from the income, but the bonds are considered an
interest in the property and business of the corporation; and
the interest payable on the bonds is taxed to the bondholders
as a whole and collected at the source.
After the aforesaid deductions have been made from the
gross income, the remainder is taxable, subject to the follow
ing exceptions:
(1) (a) To an individual income up to and including $800;
(&) to husband and wife, $1,200; (c) for each child under the
age of 18 years, $200; (d) for each additional person, for
whose support the taxpayer is legally liable and who is en
tirely dependent upon the taxpayer for his support, $200;
(c) the aforesaid exemptions do not apply to incomes derived
from sources within the state by nonresidents thereof, nor to
firms, copartnerships, corporations, joint-stock companies, nor
associations. In computing the exemptions and the amounts
of taxes payable, the income of a wife is added to the income
of her husband, and the income of each child under IS years of
age to that of its parent or parents, when said wife or child
is not living separately from said husband, parent, or parents.
(2) Income of any mutual savings or loan and building as
sociation, or of any religious, scientific, educational, benevolent,
or other association of individuals not organized or conducted
for pecuniary profit.
(3) Incomes derived from property and privileges by per
sons now required by law to pay taxes or license fees directly
into the treasury of the state in lieu of taxes, and such per
sons shall continue to pay taxes and license fees as hereto
fore.
(4) Income received by the United States, the state, and all
counties, cities, villages, school districts, or other political
units of the state.
The taxpayer is to make out a list of his taxable income on
forms supplied by the tax commission or the assessor of
incomes.
To secure diligence on the part of the assessor, he is sub
jected to a penalty of $5 for each unanswered question on
each blank returned, the amount of penalty to be deducted
from his salary. For individuals, the period covered for the
annual income tax is in all cases the calendar year. For
firms, copartnerships, corporations, joint-stock companies, and
associations the period is for the calendar year except that
where the books are customarily closed at a date other than
December 31, or where the income is estimated on a basis
other than that of actual cash receipts and disbursements the
taxpayer may, with the approval of the tax commission, return
for assessment the income or profits earned during the business
years for which the accounts are customarily made up.
The assessor of incomes or the tax commission, as the case
may be, may increase and correct the amount listed by the
taxpayer. The state tax commission appoints three citizens in
each county as a board of review of which the county clerk is
ex officio the clerk.