Evening Republican, Volume 14, Number 38, Rensselaer, Jasper County, 14 February 1910 — INCOME TAX IN SWEDEN. [ARTICLE]

INCOME TAX IN SWEDEN.

«■ aad the Resovts es *«»•> Test,of Uvr. Consul General E. D. Winslow writes from Stockholm in regard to. the operations of the Income tax in Sweden: “Since 1903 a new direct and progressive tax has been In force, viz., the Income tax (InkomsUkatten), the regulations concerning which were issued by the royal ordinance of June 21, 1902. General self-declaration was introduced, 1. e., the obligation of giving information in good faith concerning one’s Income, real estate, etc. This obligation devolves upon every one having been assessed the preceding year at an income of at least 2,000 kroner (1 krone equals 26.8 cents), or having possessed at least this Income, or else a smaller income. In case at least 1,000 kroner of ft were derived from real estate or capital, and finally upon every one summoned by the assessment authorities thereto. Neglect in fulfilling one’s declaration duty entails the loss of right to appeal against the assessment in question. Intentional false information Is fined four to ten times the amount of tax withdrawn. The following kinds of Income are assessed: Income from real estate, calculated at a rate of 6 per cent for landed estate and of 5 per cent for other real estate; Income from capital, 1. e., Interest on loans given out, bonds and bank deposits, and also dividends on shares In Swedish joint stock companies and private banks; income from work, pension or life annuity. It Is to be observed that this assessment differs from that of the Allmanna bevillningen (general supply) In so far that dividends on the shares mentioned are assessed for Income with the shareholders, the companies being free from paying Income tax on the dividend to the shareholders, but not for more than 6 per cent of the paid up capital. Further deductions may be made for Interest on loans and for certain losses in business. "Concerning the progressiveness of .the tax, it Is to be observed that for incOmes*hot amounting to 6,000 kroner certain deductions of varying amounts are admitted, Incomes below 1,000 kroner being altogether exempt from tax. For greater incomes a progression Is made, at most by multiplying the original Income by four, this maximum commencing with an income of 145,500 kroner, thus the calculation of the tax In this special case is carried out as If the Income were 582,000 kroner. “The tax accrues with 1 per cent of the amount calculated, according to the progression regulations. The tax In 1903 yielded In round numbers 10,500,000 kroner (2,814,000).”