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Please extend to B. Ruml for his proposed solution to the income tax payment problem [TIME, Aug. 10] the heartfelt congratulations of myself and, I am quite sure, thousands of others like me who have been lying awake nights trying to figure out how to budget a 1942 income tax, a 1943 withholding tax, a 15% rise in the cost of living, and an earnest desire to purchase war bonds, into 1943's anticipated income...

Author: /time Magazine | Title: Letters, Aug. 31, 1942 | 8/31/1942 | See Source »

Income taxpayers, sweating in anticipation of new horrors to come, breathed easier this week when the Senate Finance Committee showed increasing interest in Beardsley Ruml's pay-as-you-earn tax plan for the future (TIME, Aug. 10). If the Senate and House approve the idea, the Ruml plan will mean that: 1) all taxes due on 1941 income (payable this year) are "forgiven"; 2) all taxes actually paid this year will be credited to the taxes due on this year's income; 3) henceforth all taxes paid will be on the current year's income (which...

Author: /time Magazine | Title: TAXES: Pay As You Earn | 8/31/1942 | See Source »

...Senate subcommittee's sudden endorsement of Beardsley Ruml's common-sense plan spelled the end of a fancy retouching job that Treasury's Taxpert Randolph Paul proposed: that relief from taxes due on 1941 incomes be granted only on low-income taxes, leaving high bracketeers with the excellent possibility of owing two years' taxes to be paid from one year's income. If the House still wants a withholding tax, whereby employers deduct tax payments before the pay checks go out, the Ruml plan will make that easier too: there will then be no problem...

Author: /time Magazine | Title: TAXES: Pay As You Earn | 8/31/1942 | See Source »

Most of the people who heard the Ruml plan agreed with Federal Reserve Board Economist Emanuel Alexander Golden-weiser, who exclaimed, "It's too good to be true! If there is something wrong with it I can't find...

Author: /time Magazine | Title: Too Good to Be True | 8/10/1942 | See Source »

...Ruml further suggested that if a taxpayer sees that his income for the current year will be much less than for the year before (as with many draftees) or much more (as with many war-plant workers) he might instead report on his estimated real income for the year instead of his actual income for the year before...

Author: /time Magazine | Title: Too Good to Be True | 8/10/1942 | See Source »

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