)Htttitilitt4t<)<
STATISTICS OF INCOME . . . 1964
Individual
INCOME TAX
RETURNS
1^^
Boston Public Library
Superintendent of Documents
MAR 16 1967
DEPOSITORY
li^
i^m^.
jyi^ni
U. S. TREASURY DEPARTMENT • INTERNAL REVENUE SERVICE
Statistics of Income / 1964
Individual
INCOME TAX
RETURNS
U. S. TREASURY DEPARTMENT
Prepared under the direction of the
Commissioner of Internal Revenue
by the Statistics Division
Internal Revenue Service
Publication No. 79 (1-67)
INTERNAL REVENUE SERVICE
SHELDON S. COHEN Commissioner
WILLIAM H. SMITH Deputy Commissioner
ALBERT W. BRISBIN Assistant Commissioner (Planning and Research)
VITO NATRELLA
Director
JAMES M. JARRETT
Assistant Director
THOMAS F. McHUGH
STATISTICS Chief, Income, Finance, and Wealth Branch
DIVISION TED E. McHOLD
Chief, Statistical Techniques Branch
HERMAN E. GUTERMAN
Associate Chief, Statistical Techniques Branch
ROBERT J. TOLLIVER
Chief, Program Management Branch
This report on individual income tax returns was
prepared under the direction of Jack Blacksin, Supervisory
Statistician in the Income, Finance, and Wealth Branch, assisted
by Raymond D. Plowden and other members of the staff.
Other branches of the Statistics Division assisted
in development of the sample design and the computer systems
design, the preparation of processing procedures, and the post-
tabulation review of the data. Statistical and computer process-
ing of the data were conducted by the service centers at
Chamblee, Georgia; Kansas City, Missouri; Lawrence, Massa-
chusetts; Philadelphia, Pennsylvania; and Ogden, Utah.
For sale by the Superintendent of Documents, U.S. Government Printing Office
Washington, D.C., 20402 - Price $1.25
Letter of Transmittal
Treasury Department,
Office of Commissioner of Internal Revenue,
Washington, D. C, January 23, 1967.
Dear Mr. Secretary:
I am transmitting Statistics of Incotne - 1964, Individual htco me Tax Returns.
This report was prepared in partial fulfillment of the requirements of section 6108
of the Internal Revenue Code of 1954, which prescribes that statistics be published
annually with respect to the operation of the income tax laws. The data presented
in this report were based on the 65 million individual income tax returns filed on
Forms 1040 and 1040A during calendar year 1965.
Effects of the changes prescribed by the Revenue Act of 1964 are measured in
this report. The new tax rates, new dividends received exclusion, moving expense
deduction, income averaging, and excludable sick pay receive special attention.
Statistics are presented for sources of income, exemptions, taxable income,
income tax, self-employment tax, tax credits, tax payments, and overpayments, all
classified by size of adjusted gross income. Included are data for returns with
itemized deductions, Form 1040A returns, and Form 1040 returns with dividends
eligible and ineligible for exclusion. A series of marginal tax rate tables for the
various marital status classifications have been developed. Selected sources of
income and some tax items are reported for each State.
Commissioner of Internal Revenue.
Hon, Henry H. Fowler,
Secretary of the Treasury.
Contents
GUIDE TO BASIC AND HISTORICAL TABLES, vii
Section 1
RETURNS. INCOME SOURCES, AND TAX, 1
Returns and income increase, taxes decline, 1
New "Adjustments" affect computation of ad-
justed gross income, 2
Excludable sick pay, 3
Employee moving expenses, 3
Employee business expenses, 4
Self-employment pension deduction, 4
Income averaging, 4
Dividends in adjusted gross income show small
increase because of higher exclusion, 5
New information shown for sales of depreciable
property, 7
Section 2
PERSONAL DEDUCTIONS: EXEMPTIONS.
STANDARD DEDUCTION, ITEMIZED
DEDUCTIONS, 37
Exemptions for taxpayers' dependents numbered
74.7 million, 37
Standard deduction total increases 54 percent
with introduction of minimum standard deduc-
tion, 37
Itemized deduction returns decline, 38
Medical deduction exceeded $7.1 billion, 38
Taxes paid most frequently reported deduc-
tion, 39
Deduction for home mortgage interest almost
$6.4 billion, 42
Section 3
TAX BASE AND TAX RATES, 65
Progressive rates applied, 65
Tax base increases almost 10 percent, 65
Marginal tax rates, 66
Section 4
RETURNS WITH AGE EXEMPTIONS;
RETIREMENT INCOME CREDIT, 87
Half of returns of older taxpayers were non-
taxable--half reported no wages or sala-
ries, 87
Investment income important to aged, 87
New information from retirement income credit
schedule, 88
Section 5
STATES AND REGIONS. 95
Salaries and wages
in each state, 95
dominant source of income
Section 6
HISTORICAL DATA, 113
Section 7
EXPLANATION OF CLASSIFICATIONS AND
TERMS, 121
Classifications, 121
Explanation of terms, 122
Section 8
SOURCES OF DATA. DESCRIPTION OF THE
SAMPLE, AND LIMITATIONS OF THE DATA, 131
Sources of data, 131
Description of the sample and limitations of the
data, 132
Sample selection, 132
Method of estimation, 133
Sampling variability, 133
Response and other nonsampling errors, 134
Section 9
SYNOPSIS OF LAWS. 137
Section 10
1964 FORMS AND INSTRUCTIONS, 139
Section 11
INDEX, 189
Guide to Basic and Historical Tables
Section 1
RETURNS, INCOME SOURCES, AND TAX
Cumulated income and tax (Table 1), 8
Sources of income and loss (Tables 2-7), 9-22
Selected data by marital status (Table 8), 28
Form 1040A returns (Table 9), 30
Capital gains and losses (Table 10), 31
Foreign and domestic dividends (Table 11), 33
Overpayment and refund (Table 12), 34
Section 2
PERSONAL DEDUCTIONS: EXEMPTIONS,
STANDARD DEDUCTION, ITEMIZED
DEDUCTIONS
Minimum standard deduction (Table 13), 43
Standard deduction returns, sources of income
(Table 14), 47
Itemized deduction returns, sources of income,
type of deduction (Table 15), 50
Standard deduction returns by marital status
(Table 16), 54
Itemized deduction returns by marital status
(Table 17), 56
Itemized deductions as a percent of adjusted
gross income (Table 18), 58
Section 3
TAX BASE AND TAX RATES
Normal tax and surtax (Table 19), 68
Alternative tax (Table 20), 69
Income tax at each tax rate (Table 21), 70
Marginal tax rates (Tables 22-23), 74-76
Marginal tax rates by marital status (Tables
24-26), 79-83
Section 4
RETURNS WITH AGE EXEMPTIONS;
RETIREMENT INCOME CREDIT
One taxpayer over 65 years (Tables 2'
29), 89-93
Retirement income credit (Table 30), 94
Section 5
STATES AND REGIONS
State data (Tables 31-32),
Section 6
HISTORICAL DATA
Number of returns and adjusted gross income
(Table 33), 113
Characteristics of returns (Table 34), 114
Returns with income tax (Table 35), 115
Sources of income (Table 36), 116
Itemized deductions (Table 37), 116
Sources of income by income class (Table
38), 117
State data (Table 39), 119
SECTION 1
Returns, Income Sources, and Tax
TABLE CONTENTS
Text Tables
A. Number of returns, income, and taxes: 1963 and 1964, 2
B. Returns with excludable sick pay: Number of returns and amount, by ad-
justed gross income classes; 1963 and 1964. 3
C. Returns with moving expense deduction: Number of returns, adjusted
gross income, amount of deduction, salaries and wages, and income tax
after credits, by adjusted gross income classes, 3
D. Returns with employee business expense deduction: Number of returns,
adjusted gross income, amount of deduction, salaries and wages, and
income tax after credits, by adjusted gross income classes, 3
E. Returns with self-employment pension deduction: Number of returns and
amount of deduction by size of deduction and adjusted gross income
classes, 4
F. Returns with income averaging: Number of returns and income tax before
credits, before and after income averaging, by adjusted gross income
classes, 1964, 4
G. Returns with income averaging- Sources of income and loss, exemptions,
taxable income, and tax items, by adjusted gross income classes,
5,6
H. Total foreign and domestic dividends received: Form 1040 returns with
dividends eligible and ineligible for exclusion, amount of exclusion, and
dividends in adjusted gross income, by adjusted gross income classes.
6
1. Returns with dividend exclusion: Number of returns and amount, by ad-
justed gross income classes. 1963 and 1964. 6
J. Returns with gain from sales of depreciable property: Number of returns
and amount, by adjusted gross income classes, 1964. 7
Basic Tables
1. Number of retui
tax after credit
lated, 8
2. Sources of income and loss, adjusted gross income, standard deduction
and total itemized deductions, by adjusted gross income classes
9
3. Sources of income and loss: All returns, returns
returns with itemized deductions, and returns w
come, by marital status of taxpayer, 11
4. All returns - Sources of income and loss, exem
and tax items, by adjusted gross income classes.
5. Joint returns of husbands and wives and retur
Sources of income and loss, exemptions, taxabl
by adjusted gross income classes. 16
6. Separate returns of husbands and wives and re(
Sources of income and loss, exemptions, taxable income, and tax ite
by adjusted gross income classes. 19
7. Selected sources of income and loss by size of source: Number of
turns and amount of source by adjusted gross income classes. 22
8. All returns: .Adjusted gross income, exemptions, taxable income, and
come tax after credits, by adjusted gross income classes and by marital
status of the taxpayer. 28
9. Form 1040A returns: Income, exemptions, taxable income, and lax items,
by adjusted gross income classes, 30
10. Capital gains and losses, short- and long-term, and capital
over, by adjusted gross income classes, 31
11. Total foreign and domestic dividends received: Form 1040
dividends eligible and ineligible for exclusion, amount of ex
dividends in adjusted gross income, by adjusted gross incc
Ijusted gross income, taxable income, and income
adjusted gross income classes and classes cumu-
with standard deduction
ith no adjusted
ross in-
nptions, taxable
income
13
rns of surviving
spouse
e income, and ta
X items
ingle
carry-
classes.
Income and tax data presented in this report were
estimated from a sample of all returns filed during
calendar year 1965 and represent complete coverage of
all returns for the income year 1964, Over 65 million
returns were filed of which more than 99 percent
covered tax years ending December 31, 1964, The
Revenue Act of 1964 (P. L. 88-272) introduced major
changes affectingthecomparabilityof income, deductions,
and tax items with corresponding data for prior years.
These changes are explained wherever they affect items
in the report. A general discussion of the sources and
limitations of the data is given in section 8,
RETURNS AND INCOME INCREASE, TAXES DECLINE
Chart 1 shows the ten -year trend of returns in three
broad income size classes, A record number, 65, 375,
601 returns, were filed for 1964, representing a 2,2
percent increase over 1963, The number of returns with
income over $10,000 again showed the greatest growth,
increasing 16.7 percent from 1963, These returns repre-
sented 14,5 percent of the total filed, compared with 4.4
percent ten years ago. Those returns with incomes be-
tween $5,000 and $10,000 showed a moderate increase
of 3.9 percent. Returns with income below $5,000 con-
tinued to decline and now comprise 50,5 percent of
total returns. In 1955 this figure was 70.8 percent.
12. Overpayment, refund, credit on 1965 tax.
income classes and by type of taxpayment.
and
due. by adjusted i
Chart L -NUMBER OF RETURNS BY SIZE OF ADJUSTED GROSS INCOME,
1955-1964
c
^
Retun
,s under
J5.000
.^__
Return
: $5,00(
under J
10,000
Retums $10,000 or more
-•h
_.—
_. ■■
MS6 W67
1960 1961 1942
INDIVIDUAL INCOME TAX RETURNS FOR 1964
-NUMBER OF RETURNS, INCOME, AND TAXES: L963 AND 1964
Iteio
1963
1964
Change,
1963 to
1964
(1)
(2)
(3)
51,323,221
12,620,015
65,375,601
51,306,338
14,069,263
1,432,365
-16, 863
flfi/Ii», Ml.,.)
• • ■ U
368,778
300,321
11,452
9,212
21,116
2,756
9,313
6,4^9
2,713
583
897
48,' 20*
1,002
396,660
323,266
10^125
22,992
2,635
9,731
7,939
2,625
7,703
2,879
229,375
47,153
1,016
27,882
Sources of income:
Salaries and wages (gross)^
Business and profession net profit and net loss.
1,876
Sale of capital assets net gain and net loss
1,49U
1,943
20^785
-1,051
Income^tS^after credits
^Not comparable between 1964 and 1963 because
form. These changes are explained in full in tl
^For 1964 includes sick pay exclusion, moving
expense deduction, and self-employment pension deduction,
pay exclusion and self-employment pension deduction.
NOTE: Detail may not add to total because of rounding.
Table A presents a summary of the major sources of
income, taxable income, and income taxes for 1963 and
1964. Salaries and wages, the largest single source of
income, increased to over the $323 billion mark for
1964, This item is not directly comparable with salaries
and wages in earlier years because a gross rather than
a net figure is shown. Prior to 1964 the income tax
return forms had no specific line for deductible em-
ployee business expenses. Hence, this item was often
deducted by the taxpayer from salaries and wages before
making the entry on the tax return. Furthermore, a line
was provided on the pre-1964 returns for the subtraction
of excludable sick pay from the amount of salaries and
wages shown on the return and the net amount was tabu-
lated for Statistics of Income purposes. The design of the
1964 individual income tax return provided for the entry
of gross salaries and wages. Employee business ex-
penses, excludable sick pay, and a new item, moving
expenses, were subtracted from total income under the
heading "adjustments." These three items together
amounted to $2.9 billion and if subtracted from gross
salaries and wages, that item still increased 7.0 percent
over 1963,
Other major increases were noted for sales of capital
assets, up 23.1 percent, interest received which rose 9.9
percent, and business and professional income which in-
creased 8.9 percent. The gain in sales of capital assets
was the largest in several years. This gain was slightly
affected by the new law excluding from gross income all
or part of the gain on sale or exc^iange of a residence
from sales by individuals who have attained age 65,
Another important change was the treatment of a portion
of gains from sales of real property, under Section 1250
of the Internal Revenue Code, as ordinary income.
Most of the other sources increased with the exception
of farm net profit which dropped 4.4 percent and rental
income which declined 3.3 percent. Chart 2 shows the
proportion of adjusted gross income for 1964 attributable
to each major source of income.
Chart 2. -COMPONENTS OF ADJUSTED GROSS INCOME, 1964
INCOME FROM OTHER SOURCES 18.5%
ADJUSTED GROSS INCOME (net) $396,659,1
Income tax after credits dropped 2.2 percent to $47
billion. The 1963 figure was more than $48 billion. This
decrease was expected as the result of (1) lower tax
rates effective in 1964, and (2) the new income averaging
provision. For 1963 the minimum tax rate was 20 per-
cent and the maximum was 91 percent. These rates
dropped to 16 percent and 77 percent for 1964. The with-
holding rates also dropped from 18 percent to 14 percent.
Taxpayers saved $133 million as a result of using the
income averaging provisions in the Revenue Act of 1964.
The self-employment tax increased $13.5 million over
1963. There was no change in the tax rate on self-
employment income for 1964.
NEW "ADJUSTMENTS" AFFECT COMPUTATION
OF ADJUSTED GROSS INCOME
Prior to the Revenue Act of 1964 there were certain
items that were excluded from either gross income or
salaries and wages. Excludable sick pay and employee
business expenses were offset against salaries and wages
on the Form 1040 and payments by self-employed persons
to retirement plans were used as a deduction when com-
puting adjusted gross income. As explained above, em-
ployee business expenses were not always measurable
because no specific place was provided for their entry on
the return.
As a result of the new law and changed form design,
for 1964 there were no direct offsets to salaries and
wages on the return. Instead, these three items plus a
new one, employee moving expenses, each had a separate
line in a section of the return called "Adjustments."
The total of these adjustments was then used as a deduc-
tion when computing adjusted gross income.
The new adjustment, the definite place for reporting
employee business expenses, and the new limitations on
excludable sick pay caused adjusted gross income to be
not strictly comparable with data for prior years. The
four adjustments are explained in detail below.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
1964
"^^tfrnf
dolltr.)
TZ^'
Amount^
(1)
(2)
(3)
(4)
Grand total
1,870,761
877,343
757,536
522,233
tot 1
1,786,999
24,602
347,258
209,175
205,767
522,080
359,827
118,290
83,762
764,481
35;467
201,565
62;468
1U,862
696,100
7,097
77^ 366
78,345
207,532
61,436
413,^9
116,578
341546
108, 594
able C— RETURNS WITH MOVING EXPENSE DEDUCTION: NUMBER OF RETURNS,
ADJUSTED GROSS INCOME, AMOUNT OF DEDUCTION, SALARIES AND WAGES, AND
INCOME TAX AFTER CREDITS, BY ADJUSTED GROSS INCOME CLASSES
NOTE: Detail ma;v not add tc total because of rounding.
Excludable Sick Pay
The Revenue Act of 1964 effected a major change in the
law governing the exclusion of sick pay from gross in-
come. Prior to this law an employee could exclude sick
pay amounting to $100 a week from his gross income if
he were absent from work because of injury or illness.
This exclusion did not apply to the first seven days of
absence for illness unless the employee was hospitalized
for at least one day during his absence. There was no
waiting period in the case of an injury.
Under the new law, there is no differentiation between
sickness or injury and the limit on the exclusion for the
first thirty days is at the rate of $75 a week. If the sick
pay is more than 75 percent of the regular salary, the
exclusion does not apply for the first thirty days. In any
case, the exclusion does not apply for the first seven
days of absence unless the employee is hospitalized at
least one day during his absence. The limit on the ex-
clusion is $100 per week after the first thirty days of
absence.
These new limitations caused a 60 percent decline in
the number of individual income tax returns filed with
excludable sick pay. Table B shows that there were
758,000 returns with this exclusion, compared with
1,871,000 for 1963. The amount dropped 40 percent from
$877 million in 1963 to $522 million in 1964.
Employee Moving Expenses
As a result of the Revenue Act of 1964 employees are
allowed a deduction for unreimbursed expenses incurred
in moving household goods and personal effects, including
traveling expenses of the employee and his household
members, from his old home to a new job location. The
deduction, as defined in the Act, is allowable only if the
new location would have required at least an additional 20
miles of commuting if the employee had not changed his
residence. Furthermore, the employee must have full-
time employment in the new vicinity for 39 weeks during
the twelve months following the move.
Table C indicates that taxpayers claimed $93 million
of unreimbursed moving expenses on more than 290,000
individual income tax returns filed for tax year 1964.
Although the overall average deduction per return was
$319, the average within various income size classes
differed considerably. The low was $227 for taxable
returns with adjusted gross income between $2,000 and
$5,000 and the high was $618 for returns with income over
$15,000.
Returns with mo
ving expens
deductio
Number of
Adjusted
income
(TKcj.^d
after "
credits
il)
(2)
(3)
(4)
(5)
290,409
2,317,663
2,335,396
92,635
Taxable returns , total
281,635
2,285,802
2,293,609
87,931
2it,Z33
I 10.05:
18,511
28,405
37)656
24,106
21,158
10,546
24,742
127)449
225,215
207,387
280,912
206,023
200,114
611,069
177,282
131,843
21,523
26,054
135)150
237,986
295)304
210,497
201,574
607,139
171,033
110,301
10,487
1,721
2,432
4,145
6,228
10,956
13)o31
^0
6,094
3,443
292
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 un..er $50,000
$50,000 under $100,000
$100,000 under $500,000
$500,000 under $1,000,000..
9)755
17,514
27)799
21,920
22,064
25,226
23,320
Nontaxable returns, total....
3,774
31,361
41,787
4,704
No adjusted gross income...
1,702
4,58f.
13,587
o,581
15,414
l,12i
(M
t60o''under'$i'o00
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
1. :
1 :
Returns der $5 000
68)060
235,652
'950)742
253,652
'903)381
47)553
29,104
Returns $5,000 under $10,000.
Returns $10,000 or more
133)526
See text for "Description of the Sample and Limitations of
ion of Classifications and Terms."
^Estimate is not shown separately because of high sampling ■
he data are included in the appropriate totals.
NOTE: Detail may not add to total because of rounding.
Table D.— RETURNS WITH EMPLOYEE BUSINESS EXPENSE DEDUCTION: NUMBER OF
RETURNS, ADJUSTED GROSS INCOME, AMOUNT OF DEDUCTION, SALARIES AND
WAGES, AND INCOME TAX AFTER CREDITS, BY ADJUSTED GROSS INCOME CLASSES
Returns
ction
Adjusted .r.. income Classes
Number
gross
and wages
(gross)
dedllStion
credits
dollm.)
(1)
(2)
(3)
(4)
(5)
Orand total
2,201,250
20,103,721
20,244,416
2,238,028
2,507,348
Taxable returns, total
2,085,359
19,774,532
19,794,216
2,085,437
2,507,348
3,200
36,670
105)478
191,247
230)707
220,506
180,471
122,510
86,264
1)227
32
10
56)460
138,541
375,064
751,639
1,057,211
1,410,828
1,732,299
1,871,363
1,712,511
2,093,392
2,355,038
450,746
21)733
17,260
77)461
166,344
436,074
855,729
1,167,837
1,517,557
1,865,293
1,962,643
1,788,024
5,626,314
2,010,418
1,965,670
277,202
'482
25,357
45,290
86,796
150,817
193,415
196,718
191)573
166,624
453,141
156,191
166,256
23,115
6,576
118
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000....
$500,000 under $1,000,000..
3,085
9,455
27,246
57,745
31,611
121,935
161,377
186)253
684,735
305,342
134)609
77,306
9,538
Nontaxable returns, total....
115,891
329,189
450,200
152,591
No adjusted gross income...
6,271
9)285
19,016
25,315
15)707
17,589
^23,602
27)183
65,070
116)^6
20,331
9,210
34)947
85,701
77,371
132)240
14,043
4,905
8,611
17,729
32,581
24,302
24,195
26,225
-
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
.
1,537,327
10)674)l29
1,856,893
3,428,527
435,231
995,352
807,443
97
Returns $5,000 under $10,000.
Returns $10,000 or more
739,644
1,670,128
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Employee Business Expenses
The magnitude of deductible employee business ex-
penses is indicated in table D. Prior to 1964, employee
expenses for travel away from home, for transportation,
expenses of outside salesmen, etc., were deductible from
gross income, but no specific place was provided for them
to be shown on the individual income tax return. For 1964,
a separate line on the return was provided for them.
The large amount of employee expenses compensated for
under reimbursement or other expense allowance ar-
rangements with employers do not appear on the form and
cannot be tabulated. Certain other unreimbursed ex-
penses such as cost of work clothes and uniforms,
subscriptions to professional journals, union dues, small
tools and supplies, employment agency fees, etc., can
be taken as itemized deductions on the return.
As shown in table D, employee business expenses,
amounting to more than $2.2 billion, were reported on
2.2 million individual income tax returns. Half of the
returns with this item were taxable returns with adjusted
gross income between $7,000 and $15,000. These returns
contained 46 percent of the total excludable employee
business expenses.
Self-Employment Pension Deduction
The Self-Employed Individuals Tax Retirement Act of
1962, which first became effective in 1963, treats self-
employed individuals as employees of the business which
they conduct so that they may be covered under qualified
employee retirement plans, such as pension, profit-
sharing, annuity, and bond purchase plans, in much the
same manner as their employees.
Table F. —RETURNS WITH INCOME AVERAGING: NUMBER OF RETURNS AND
INCOME TAX BEFORE CREDITS, BEFORE AND AFTER INCOME AVERAGING,
BY ADJUSTED GROSS INCOME CLASSES, 1964
Table E . —RETURNS W
RETURNS, ADJUSTED
TH SELF-EMPLOYMENT PENSION
GROSS INCOME, AND AMOUNT BY
1964
DEDUCTION: NUMBER OF
ADJUSTED GROS^ INCOME
asses
1.63
Number
gross
fn,o„.„^
Number
Adjusted
Amount
(1)
(2)
(3)
(4)
(5)
(6)
28,919
'559,380
19,483
38,766
'922,041
3,995
6,9«
3', 141
8,157
1,812
1,837
16*, 178
U,(X3
50,230
35,286
55,293
261,702
117,173
23,828
11,815
'15,206
50,230
493,9i4
712
2,492
S,'216
2,227
1,678
2,347
2,493
14,643
3,137
8,383
12', 772
3,604
1,509
8^484
25,738
15,079
61,333
57,771
76,892
424,833
231,273
'4,650
'16,146
62,416
343,479
$5,000 under $10,000
2,486
$100,000 or more
Returns $5,000 under :plO,000.
NOTE: Detail may not add to total because of rounding.
For 1964, some 39,000 individual income tax returns
showed deductions for contributions to self-employment
retirement plans. This was a 34 percent increase over
the 1963 figure of 29,000. The $26 million deducted for
1964 represented a growth of 35 percent over the $19
million deducted in the previous year. Table E shows
that almost 70 percent of the amount deducted in 1964
was taken on taxable returns with adjusted gross income
over $20,000.
Number of
Income
----- ^ —
Before
averagir,g
?iiS"'
1)
■ i)
',3)
(4)
246,057
f7V,o.»d d^ll.,.)
1,836,840
1,704,123
716
eturns total
244,784
39^411
47,386
116,525
23,481
3,990
1,273
1,830,452
691444
136,007
802,748
516,843
6.338
1,699,431
12,068
126|359
737,787
480,577
131,025
1,208
36,263
INCOME AVERAGING
The income averaging computation, available for the
first time in 1964, was designed to benefit those indi-
viduals who have an unusually large amount of taxable
income in any one year. Income averaging has the effect
of spreading income over a five-year period. This per-
mits a part of the unusually large amount of taxable
income to be taxed in lower brackets, resulting in a
reduction of the overall amount of tax due.
As shown in table F, taxpayers on some 246,000 returns
made use of income averaging in 1964 and the tax savings
from this computation averaged approximately 7 percent.
The income tax before credits on these returns, before
income averaging, amounted to $1.8 billion. After income
averaging, the amount was $1.7 billion, reflecting a total
tax savings of $0.1 billion. Nearly 67 percent of the re-
turns with income averaging had adjusted gross income
between $15,000 and $50,000,
The income averaging method may be applied to many
different kinds of income such as salaries, dividends,
interest, or ordinary income from a sole proprietorship
or partnership. However, it is not applicable to other
types of income such as long-term capital gains, wager-
ing, or income from properties acquired by inheritance
or gift in certain cases.
Table G shows that approximately one-half of the ad-
justed gross income on returns with income averaging
was derived from a business or profession, a farm, or a
partnership. Salaries and wages, the next most import-
ant source on returns with income averaging, comprised
38 percent of the adjusted gross income. This income
pattern differed markedly from the pattern for all indi-
vidual income tax returns. For example, salaries and
wages comprised 81 percent of the adjusted gross income
reported on all individual income tax returns and income
from a business or profession, a farm, or a partnership
comprised only 9 percent of adjusted gross income. The
importance of earned income from a sole proprietorship
or partnership to many taxpayers who used income aver-
aging was further demonstratedby the fact that 42 percent
of such returns were subject to the self-employment tax.
Only 9 percent of the 65,4 million individual income tax
returns filed for 1964 were subject to this tax,
A detailed explanation of the income averaging calcula-
tion and applicable rules is given in the instructions for
schedule G in section 10 of this report.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Taxable ret'orns, tota:
$15J000 -jjiiler }2c',X
$20,000 under $50, «
$50,000 under $100, (
$100,000 under $500,
$500,000 under $1,0(
581,264
38,103
22,730
2,*71
18)321
35,751
42,411
103,065
29,365
2,578
10,961
5,875
Adjusted grcss
Sales of capital assets
Grand total
Taxable returns, total.
Under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,00
$100,000 under $500,01
$500,000 under $1,000
$1,000,000 or lore...
Nontaxable returns
22,742
1,081
31,508
3,199
329,178
133,718
2,166
84,155
67,254
63,182
18,045
$10,000 under $15,000...
$15,000 under $20,000...
$20,000 under $50,000...
$50,000 under $100,000..
$100,000 under $500,000.
$500,000 under $l,000,00(
287,300
3,006
2,503
2,503
Retirement income
1,878,573 1,704,128
Taxable returns.
Under $10,000
$10,000 under $15,000. .
$15,000 under $20,000..
$20,000 under $50,000..
$50,000 under $100,000.
$100,000 under $500,000
$500,000 under $1,000, 0(
70,812
350,657
629,109
1,924,756
,320,735
505,168
33,263
DIVIDENDS IN ADJUSTED GROSS INCOME SHOW
SMALL INCREASE BECAUSE OF HIGHER EXCLUSION
Although the amount of total foreign and domestic divi-
dends received increased 7.2 percent over 1963, the
amount included in adjusted gross income rose only a
ita" and "Explanation of Classifications and Tenns."
moderate 4,1 percent to a total of $11,9 billion (table H),
This is a result of an increase in the amounts of divi-
dends which may be excluded from adjusted gross income.
Figures reflecting the increased dividend exclusion are
presented in table I. Prior to the Revenue Act of 1964
the dividend exclusion could not exceed $50 per tax-
INDIVIDUAL INCOME TAX RETURNS FOR 1964
TAXABLE INCOME, AND TAX ITEMS, BY
= :^
~1
Tax fro
rented
Self-employment tax
-~
Foreign taxe
spaid
Other
7^1
Adjusted gross income classes
Number of
returns
Amount
(•n,<».w
doll.,.)
""JSnf
'=
Number of
dolUr.)
Number of
Amount
Number of
=
(54)
(55)
(56)
(57)
(58)
(59)
(60)
(61)
3,719
2,153
65,176
5,324
1,661,763
5,486
978
102,887
25,955
151,444
454,lo6
3,718
1;:
12
1
b86
313
ii;;:::
( 35,759
13,842
2,963
51
10
5,322
65
1,921
1,687
1,343
101
38
\ 62^432
122,273
720,867
472,235
243,356
18,262
5,478
1 -
762
2,947
(M
976
53
35
254
101
102,473
21^059
49,930
8,413
1,420
15
25,848
1,183
i'.ZOl
12,799
2,157
151,023
9,815
26,954
30,644
13,894
2,439
421
453,804
Under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
6,377
32,905
51,425
214,993
113,036
34,414
522
U2
Nontaxable ret^=.
362
Payments
tioi^""
Amount
Refund oa
sted '"""'"
Credit on 1965 tax
Adjusted gross income classes
returns
Amount
"^?Snf
'^S
TZ^'
Amount
dcll.r.)
Number of
Amount
(55)
(66)
(67)
(68)
(o9)
(70)
(71)
(72)
143,214
657,132
205,311
608,114
40,170
30,730
24,971
13,367
16,460
17,362
143,091
3,272
13,942
23,235
79,461
19,561
10
656,904
li;226
30,815
207,640
112,480
'262
204,965
10,787
40 ; 847
' 54
5,051
24,226
48,418
248,153
160,659
99,086
12,000
10,431
39,744
3,205
18^002
'349
3
1,752
15^841
6,689
'lis
24,760
2,903
9 ',052
13,138
40S
1,391
2,243
6,791
1,700
2,485
298
17,019
Taxable returns, to
410
$15,000 under $20,000
$20,000 under $50,000
9,050
115
(M
1_
346
90
L
572
-
1.
-
343
TOTAL FOREIGN AND DOMESTIC DIVIDENDS RECEIVED: FORM 1040 RETURNS WITH DIVIDENDS ELIGIBLE AND INELIGIBLE FOR EXCLUSION, AMOUNT OF
-TOTAL FOREIGN AND "^^^^^^'^^^l ^ DIVIDENDS IN ADJUSTED GROSS INCOME, BY ADJUSTED GROSS INCOME CLASSES
[Taxable and nontaxable
returns ]
Domes ti
received
Dividend
TlZT
gross
in adjusted
Total
Not eligible for
Eligible fo
excisions
income
Adjusted gross income classes
Number of
Amount
Number of
Amount^
TZZ'
Amount
T^Z^'
nZ^d
""t^s'
Amount
(1)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
9,749,169
12,828,144
1,123,490
350,931
9,446,952
12,477,204
9,341,594
910,815
5,665,760
11,917,365
d
2,625,043
3,218,993
3,905,136
1,364,662
1,640,330
9,823,153
E'E
46,808
36,159
267,964
2,481,436
3,119,425
3,846,091
1,317,843
1,604,172
9,555,189
2,433,776
3,080,731
3,827,090
218,266
433,520
1,726,034
1,594,905
2,345,820
1,146,413
1,381,324
$10, 000 or more
9,389,628
MOTE: Detail may i
Table 1.— RETURNS WITH DIVIDEN
AMOUNT, BY ADJUSTED GROS
EXCLUSION: NUMBER
INCOME CLASSES, 19
OF RETURNS AND
3 AND 1964
1963
1964
Adjusted gross income classes
Number of
t7V)u=«.d
Number of
(■Thou.^d
doI,.,„
(4)
Grand total
8,580,922
516,879
9,341,594
910,315
7,560,608
215,189
1,147,692
562,821
596,384
1,703,591
1,740,313
1,594,618
1,120,314
453,246
9,542
58,298
29,403
31,317
117^953
63,633
8,120,337
181,157
518; 973
1,846,203
1,973,314
1,341,163
1,221,257
792,594
'"^ ^ '
14,087
46,456
Ifi'oOO "°der $7' 000
Nontaxable returns
118,221
payer. The Revenue Act of 1964 changed the amount to
$100 so that, if both husband and wife have dividends of
$100 or more on a joint return, the exclusion became
$200, For 1964, taxpayers on 9.3 million returns claimed
exclusions for dividends. This was a 7.6 percent in-
crease over 1963. The amount of the exclusion, however,
jumped more than 76 percent from $517 million in 1963
to $911 million in 1964. Nearly half of the $911 million
(47 percent) was concentrated on taxable returns with
adjusted gross income of $10,000 or more. More de-
tailed information on dividends received is contained in
table 11.
The dividends received credit was cut in half by the
Revenue Act of 1964 and will be eliminated for 1965,
INDIVIDUAL INCOME TAX RETURNS FOR 1964
The amount of the credit was not tabulated separately
but is included in "Other tax credits" in table 4.
NEW INFORMATION SHOWN FOR SALES OF
DEPRECIABLE PROPERTY
Under Section 1245 of the Internal Revenue Code of
1954, the gain from sale or other disposition of certain
depreciable property, which prior to 1963 was treated
wholly as a capital gain, is taxable as ordinary income
to the extent of depreciation deducted after 1961. These
provisions apply to dispositions of such property after
1962. The portion of gain not treated as ordinary income
was combined with gain and losses from section 1231
property (business assets and livestock, for the most
part). If the combined amount was a net gain, the gain was
treated as capital gain. If the combined amount was a loss,
the loss was treated as an ordinary loss and reported as
"Net loss from sales of property other than capital
assets."
The property covered under section 1245 is depreciable
property (other than livestock) used in trade or business
or held for the production of income. Included is per-
sonal property or other tangible property used as an
integral part of (a) manufacturing, (b) production, (c) ex-
traction, or (d) the furnishing of transportation, com-
munications, electrical energy, gas, water, or sewage
disposal services. Also included are researcher storage
facilities used in connection with the activities in (a) -
(d) above. For 1964, elevators and escalators were added
to this list of property.
Similarly, under section 1250 of the Code, effective
after 1963, ordinary income treatment was given to a
portion of the lower of either (1) gain from the disposition
of real property used in a trade or business or (2) de-
preciation deductions on such property claimed after
1963 in excess of depreciation calculated under the
straight line method. The portion of the gain not treated
as ordinary income was combined with gains and losses
from section 1231 property, and treated as described
above.
of depreciable property
Other gain
of depreciab
from sales
e property
Adjusted gross income classes
Number of
Amount
dollar.)
rz,:'
Amount
(1)
(2)
(3)
(4)
187,952
130,053
148,026
529,862
147,285
27,053
55,085
27,156
12,160
20,621
3,856
1,354
40,667
9,856
26,110
10|287
25,190
6,237
3,891
30,179
118,641
19,129
43,497
22,974
10,783
17,532
3,459
29,385
17,888
94,875
52,095
About 188,000 returns showed $130 million of ordinary
gain from sales of section 1245 and section 1250 property,
as shown in table J. Other gain from sales of such prop-
erty was reported on 148,000 returns in the amount of
$530 million.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
|sxi
III
III
§11
Hi
'"SSS §R?gS§ S5
asa asss53
'3!jasis gsisasa ?!§ssss
' |3 S S S |2 3 S S S 5 s S 3 1 5
'^ 2 S Sj S c^ In en rS c^ oi i^ 3 "^
' E S_s P s s s 5 i ? § I S i s 8 §
SSas^ §sss§R ?sa'^"'
S5S^R^£ RS^s!.",^.^, ".°,*,°.^°,
n c «J ^ fn m c- 3 oj t> K n a- rH c^ ry (J- o ^
5 SISSSS I33S3S Iss"^"'
i>rsj^*o ^D to a> 0^ (T- <T- ^ S o S\ pi
JOJf-i^yD C^WCt^C
3si§5 H^SsS E§Hs
o -jt t^ 3 en o w c^ o^ fn S tn 5 ua o\ S
sg^Ri s-s-asss |s§s^"
jf!ss ssssig;
5p_^iS ssssls IggsJ
'^ggSg S2S3oS ^5s§g
^^ <JV OJ rH TO lA r- C^ ^ lO y O r^ Z^Ci C
H^sss is5S§i §Ss«
sSsS^a P,R^,tl P,^,l^,
;5ssis; saiSsS issRS
jtnSac-irt otocymofn SrooeSS S
3as S3gp3§ s&sss
r^ C' ai tn o CM o ^h r> c- n |H S m o> o^ Ia In
tM m lA m tn ^ >f o^ o^ (M o w -o S o >j- <a
-.tc-a'-ior- tr< \o o 'O to >t_^ if\ (t- xo -t ^
'^ "" ^ Ih ?Nojln?n^^ ^!?$^^
^a^ :;?5K£^S gs^g;8 8
In to r^ in 03 r-l nT ^n ■c P c^
33S SSS^S
-assss s!jss:
^ i^ ^ o £ ^ss^Ss ^"§So
gs^ggg siisii i
gg|§g gggg£
: ■» :di§§i §ii§°-°- o-o8i^-£ I
: 2 : ".diii ife&sSS- 5*»^ ^ ^ g I
'• *^ '. ^ u u s-i u u ^i u %* u <u aiajaj-a-So -qoooooooooooooOo
1 1 iillil IIIIIJ Ipsst 1 1 Jill ^Msi talis I ^^.^^ -oo-oo ooooc . .
? siliiii §ii§i§ §l8|li ? fefessss ssifcsss ssfefes « i||||||i§§§§ §§iig I :
s l«u»a* sifesa^j g^a^fts" g lillll llllll |1||1 3 ssus»s s.s.5&^-*a isaV* s a
li
II: gS"
INDIVIDUAL INCOME TAX RETURNS FOR 1964
-SOURCES OF INCOME AND LOSS.
1
fz:'
-
Salaries
and uage
Business or
pK>fessior
Farm
gross
(grcss)
Net profit
Net loss
Net profit
Net loss
A<ij-j£tcd gross income classes "^
Number of
returns
Amount
'::TZri'
Amount
dollar.)
Number of
retur.-is
Amount
Number of
Amount
"r":ru:."^
Amount
M
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(10)
(11)
(12)
Total 65
375,601
'396,659,831
57,523,861
323.265,701
4,889
,491
24,801,637
903,499
1,809,362
2,000,249
4,702,563
1,109,829
2,0,;' .
No
Ui.
$6
$1
$2
$3
*4
$5
$6
$7
$8
$9
$1
$1
$2
$5
$1
*5
$1
adjusted gross income
der $600 3
30 under $1,000.. 3
000 under $2,000 7
000 under $3,000 6
000 under $4,000 6
000 under $5,000 5
000 under $6,000 5
000 under $7,000 5
000 under $8,000 4
000 under $9,000 3
000 under $10,000 3
3,000 under $15,000 6
aioOO under i5o',OOo'.'.'.'.'.V.'.'.'.'.'.'.'.'.'.'.'.'.'. I
3,000 under $100,000
30,000 under $500,000
30,000 under $1,000,000
000,000 or more
937,988
107,878
204,380
211,330
125,320
974,720
415>50
837,778
875,555
027,314
609,927
460,198
211,761
34,946
1,073
1,275,784
2,477,991
10,587,466
15,530,018
21,448,932
26,875,193
31,590,278
35,142,649
36,213,181
32,850,227
28,691,531
78,290,817
24,832,960
34,505,018
5,707,258
710,407
3,436,143
2,505,476
5,722,002
5,113,759
5,348,207
5,384,850
5,313,432
5,099,173
4,578,105
3,674,215
2,870,824
6,150,330
1,235,216
856,997
22,933
697
1,165,624
1,971,431
8,052,535
12,233,016
17,958,763
23,361,552
28,218,631
31,952,890
33,152,678
30,042,109
26,163,412
68,572,161
18,280,803
15,948,079
1,206,204
129
158
435
455
452
335
270
586
234
313
,812
;oo2
,038
,493
955
704
338
103
077
699
997
310
658
90
30
61,178
64,620
113,465
516,877
827,345
1,093,020
1,331,460
1,346,789
1,309,315
1,276,238
i; 122; 190
3,826,810
2,582,315
6,386,259
1,558,815
295,674
10,753
9,016
161,153
34,001
21,082
59^496
75,263
70,091
59,073
37^421
33,338
23,046
41866
2,103
133
776,751
41,292
30,652
75,568
77,585
69,286
84,251
76,787
62,722
58,510
44,328
34,341
101,350
36,975
124,949
42,168
51,640
10,'303
6,562
157,850
233; 569
226,598
145,917
112,537
88,964
48;709
103,363
3i;400
3,807
11
10,431
50,930
92,852
360,224
448,160
434,072
338,338
307,466
205;277
550,526
254,642
375,670
68,382
'442
160,871
9i;i27
93,719
100,203
108,371
97,122
76,976
69,486
49,888
32,269
is; 274
29,701
6,927
80
42;;.
129;297
123,274
100,365
81 ; 694
51,161
48,977
50;792
164,897
57,335
5; 922
4,711
Re
urns under $5,000
urns $5,000 under $10,000 | „
urns $10,000 or more |
;
2,103
1.D08
742
911
4,027,965
6,104,030
14,669,642
474,223
289,627
1,156,384
276,689
1,368,436
171 ; 071
1,917,010
1,513,114
1,272,441
325; 741
128,972
1,219,925
375,271
471,979
Partnership
Ord
inary gain from sales
Net profit
Net loss
net gai
Net loss
property
umber of
Amount
Number of
'SS
'"^^:^'
fn,<«,»™i
Number of
doll.,.)
"^TZ^'
Amount
doll.r.j
Un
$6
$1
$2
$3
$4
$5
$6
$7
$8
$9
$1
$1
$2
$5
$1
$5
$1
Re
Re
(13)
(14)
(15)
(it)
(17)
(IE)
(19)
(20)
(21)
(22)
1,499,482
10,861,548
1,130,831
5,320,388
8,909,143
1,501,575
9o9,991
137,952
130,058
adjusted £ross incom
11,348
21,273
25,687
77,435
84,588
84,407
94,332
1021347
90,071
83,105
241,063
126,850
235,752
10,423
226
60,447
10,636
lt:lll
146,269
195,528
269,605
365;064
381,649
350,761
1,410,661
1,060,714
3,716,459
1,513,347
617,572
21,197
10
21
21
19
22
20
25
64
32
60
13
270
600
,878
228
348
717
012
672
482
i
638
235
339,482
15,179
8,661
26,273
41,446
18,718
26,440
20,644
25,226
22,409
23,589
80,860
63,430
74,904
U;865
32,650
84,677
106,240
360,763
377,480
359,857
336,216
334;i44
329,130
2S5|632
943,044
401,056
27,104
982
lo4,557
32,328
35,830
204^725
212,998
215,512
231,151
213,804
242,791
215i602
838,750
602,204
1,822,855
1,072,022
1,476,658
365,532
535,984
18,219
18,202
721805
75,195
92,240
951413
99,131
84; 518
292,488
138,627
31 ; 337
4,721
31
10,117
10,541
44;281
47,415
58,571
60;549
60,336
173,628
89,380
134,273
24,888
4,029
53
29
2,339
2,621
11 ; 568
10,702
18,614
12,978
12,575
10,627
13; 369
27,665
12,262
20,562
3,873
1,248
11416
er $600
1,857
1,230
4;073
9; 231
7; 523
5,769
18,876
10,296
6;433
3,424
000 $6'ooo
'oOO under flOO^OOO
0,000 under $1,000,000
$5 000
399,071
437,365
790,795
149,392
106,582
476,199
111,271
543,361
1,707,883
1,613,369
1,019,860
371,633
475,029
253,774
289,932
62,345
35,976
Footnotes at end i
1 of the Sample and Limitations <
"Explanation of Classif icati
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 2.— SOURCES OF INCOME AND LOSS, ADJUSTED GROSS INCOME, STANDARD DEDUCTION, AND
ITEMIZED DEDUCTIONS, BY ADJUSTED GROSS INCOME CLASSES— Co
Adjusted gross income
(taxable portion)
No adjusted gross incomi
Under $600
$600 under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000....
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000....
$9,000 under $10,000...
$10,000 under $15,000..
$15,000 under $20,000..
$20,000 under $50,000..
$50,000 under $100,000.
$100,000 under $500,000
$500,000 under $1,000,0(
$1,000,000 or more
10,755
4,177
1,829
84,622 113,104
52,974
48,704
280,140
268,635
313,696
1,490,096
1,409,628
1,522,598
1,735,514
1,892,098
1,900,325
146,462
32,517
131,771
102,513
76,165
60,907
48,5
90,205
163,515
458,157
367,729
306,996
291,741
290,
267,578
232,596
192,342
505,933
165,946
210,9.
31,099
38,935
97,826
99,457
124,353
150,063
181,044
17,715
19,515
39,787
84,893
128,715
39,159
,123,243
420,020
245,169
No adjusted gross ;
Under $0)0
$600 under $1,000.
$1,000 under $2,00(
$2,000 under $3,00(
$3,000 under $4,00(
$15,000.
$15,000 under $20,000.
$20,000 under $50,000
$50,000 under $100,001
$100,000 under $500,01
$500,000 under $1,000
$1,000,000 or more...
Returns under $5,000.
See text for "Descriptit
^Adjusted gross income :
^Deficit.
^Negative "Other source:
NOTE: Detail may not ai
24,299
27,004
19,689
19,915
21,223
21,703
25,717
5.027
3,159
72,172
251,517
310,131
163,473
5,495
5,429
"Explanation of Classifications (
Total
deduction
9,292,207
11,943,053
14,676,1d7
16,486,412
lo,263,321
15,846,760
14, 624, ■
U, 803, 674
50,053,084
68,733,029
29,355,3.
87,219
,295,259
,586,960
,772,765
587,287
,219,330
,888,323
,34A,256
,112,552
,503,006
,329,982
il5i;276
Table 3.— SOURCES
INDIVIDUAL INCOME TAX RETURNS FOR 1964
INCOME AND LOSS: ALL
Returns of single per-
hold or surviving spouse
ALL RETimiJS
Adjusted gross income
Salaries and wages (gross)
Business or profession:
Net profit
Net loss
Partnership:
Net profit
Sales of capital assets :
Net gain
Ordinary gain from sales of depre-
ciable property
Sales of property of her than capital
Net gain
Dividends in adjusted gross income...
Interest received
Pension and annuities (taxable
portion)
Royalties:
Net income
Net loss
Retuns With Standard Deduction
Adjusted gross income
Salaries and vrages (gross)
Business or profession:
Net profit
Net profit
Partnership:
Net loss
Sales of capital assets:
Net gain
Ordinaiy gain from sales of depre-
ciable property
Sales of property other than capital
Net gain
Net loss
Dividends in adjusted gross income.
Pensions and annuities (taxable
Net loss
Net loss
Other sources
Footnotes at end of table. See t
1,809,362
4,702,563
7,084,
3,491,
549,720
114,514
2,033,042
221,522
,245,428
,512,
32,323
635,298
1,979,340
439,442
992,545
Sample and Limit
(^)
e Data"
172,956
7,027
82,556
60,897 I (^)
"Explanation of Classi
86,613
101,196
8,951
( = )
62,407
107,120
,537,700
152,802
1,025,251
6,091
3,015
870,304
842,399
359,273
1,271,040
292,903
379,050
445,717
124,332
385,430
53,273
12
Table 3.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
-SOURCES OF INCOME AND LOSS: ALL
Adjusted gross
ums of Eircle per-
or suiTTiving spouse
Returns With Itemiaed Deductions
Adjusted gross income
Salaries and wages (gross ) .*.
Business or profession:
Net profit
Net loss
Partnership :
Net profit ■. . . .
Net loss
Sales of capital assets:
Net gain
Ordinary gain from sales of depre-
ciable property
Sales of property other than capital
assets:
Net gain
Dividends in adjusted gross income...
Interest received
Pensions and annuities (taxable
Royalties :
Net income
Other sources
R eturns With Ho Adjusted Gross Income
Adjusted gross income
Salaries and wages (gross)
Business or profession:
Net profit
Net profit
Partnership:
Net profit
Sales of capital assets;
Net gain
Net loss
Ordinaiy gain from sales of depre-
ciable property
Sales of property other than capital
Net gain
Dividends in adjusted gross income
Pensions and annuities (taxable
portion)
Net income
Net loss
Royalties:
Net income
Net loss
Other sources
See text for "Description of the Saj
^Adjusted gross income less deficit
^Estimate is not shown separately b'
■^Number not tabulated.
-^Deficit.
NOTE: Detail may not add to total
6,272
61,333
of high sampling
e of rounding.
. of Classifications
data are included :
Jie appropi-i
12,076
1,732
-ALL RETURNS -
INDIVIDUAL INCOME TAX RETURNS FOR 1964
INCOME AND LOSS, EXEMPTIONS, TAXABLE INCOME, AND TAX ITEMS, BY ADJUSTED GROSS INCOME CLASSES
Number of
1
n
Sal
—
Busine-s or profession
Farm
=-
(gross)
Net loss
Net loss!
Adjusted gross income
Number cf
returns
CTh<^tmnd
Number of
returns
returns
Amount
(77,«,»,Hf
Number of
Number of
Amount
(1)
(2)
(3)
(4)
(5)
(0)
(7)
(8)
(9)
(10)
(11)
(12)
(13)
Grand total
65,375,601
187,253,469
=396,659,831
57,523,361
323,265,701
4,389,491
24,301,637
903,499
1,809,362
2,000,249
4,702,563
1,109,829
Taxable returns, total
51,306,338
147,228,144
376,004,749
47,217,004
308,286,372
3,767,005
22,859,688
559,714
699,125
1,059,982
3,441,638
664,601
1,017,855
Under $1 000
4,274;235
4,230,995
4,994,752
5,474,381
5,315,394
4,801,475
3,857,806
3,018,742
6,593,499
1,456,670
1,208,517
158,700
34,626
'463
4,706,646
6,481,950
10,.'.53,223
16,306,O'.5
17,851,139
17,048,227
li;i69|926
24,186,409
4)640; 009
611,342
125,511
1)502
486,829
10)530)745
17,541,509
24,171,885
30,105,420
X, 503,142
35,943,123
32,700,244
28,610,501
78,094,242
24,772,473
10)429)137
5,649,031
700,233
952,174
3, 958) 146
3,750,279
4,510,389
4,915,445
5,100,558
5,022,548
4)555,715
3,564,227
2,865,259
5,142,358
1,233,570
22)533
685
303
444,486
5,678,942
9,171,886
15,282,277
21,409,124
27,U3,295
31,499,735
33,001,596
29,965,745
26,126,186
68,504,550
18,261,745
15)914307
3,525,076
1,138,354
46,755
21,302
11,311
223)531
322,204
376,105
352)955
326,686
266,356
213,557
581,345
234,029
312,559
4)533
29
771)446
1,092,611
1,215,056
1,244,110
1,229,628
1,100,132
1,032,707
3,785,715
2,571,80;
6,374,576
1,555,742
294,563
10,745
9,010
(')
45)330
60,329
57)572
57,561
45,868
37,068
82,271
22,890
25,494
4,808
1,939
129
(')
24)055
36,655
60,795
55)573
48,523
43,137
32,399
92,359
34,449
96,537
42)957
•9' 589°
9,539
6,553
113)509
137,046
144,889
34)530
62,192
101,278
31,521
31,304
'344
22
173)703
270,118
342,022
292)703
280,797
210,218
531,721
253,704
373,935
21)515
1,075
415
(')
16, 596
43,088
71,275
90,340
90, 171
75,061
67,377
49,888
70,351
17,969
29,394
6,865
2,546
145
'')
$1,000 ™der $2,000
$2,000 u:.Jer $3,000
$J,OUO iJ:Jer $4,000
$,.,Uv.j ixJer $5,000
$5,1>J0 ur,aer $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000....
$500,000 under $1,000,000..
14,568
41,974
80,682
97,793
88,615
83,655
70,807
51,161
112,499
48,817
53)503
5,295
Nontaxable returns, total....
14,069,263
40,025,325
=20,655, 082
10,305,857
14,979,329
1,122,486
1,941,949
343,785
1,110,237
940,267
1,260,875
445,228
1,049,323
No adjusted gross income...
3,937,988
2,588,100
2,930,145
1,980,335
1,130,568
609,471
460,339
5,255,204
4,241,139
7;942;917
5,739,768
3,730,219
3,147,180
1,275,784
1,991,162
4,281,434
3)907)423
2,703,309
3,148,949
106,834
3,436,143
2,021,956
1,763,356
1,333,479
837,813
468,405
333,366
281, 768
1,165,624
1,526,945
2,373,593
3,061,130
2,676,486
1,952,428
1,941,355
21,733
145)191
315,852
226,812
133,751
76,600
71,730
81,178
54,620
103,529
358,563
414,651
233)349
348,384
161,153
20)552
46,223
34,175
20,237
12,210
15,173
775,751
29)718
64,175
53,528
32,630
23,455
38,637
6,562
145)349
282,154
169,960
45)074
42,256
10,481
50,930
88,087
234,031
269,452
205,808
136,415
215,671
160,371
35)350
74,531
50,631
23,926
13)022
627,755
70, 133
$600 under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
93)073
57,363
43,615
30,480
32,993,932
22,904,054
9,477,614
72,712,547
79,474,725
=76,643,132
164,487,867
155,528,831
21)535)749
3,370,841
65,024,638
149,529,719
103,711,291
2,103,742
1,608,911
1,176,837
14)659)542
474,223
289,627
139,547
1,156,384
276,689
376,290
1,368,436
460,739
171,071
1,917,010
1,513,114
1,272,441
655,116
325,741
1,219,925
Returns $5,000 under $10,000.
Returns $10,000 or more
375,271
Partnership
Sales of capital assets
Ordinary gain from
sales of depreciable
property
Sales of property other than
Net profit
Net loss
Net gain
Net loss
Net gair.
Net loss
classes
Number of
Amount
Joil.r.J
"T.Zi'
Amount
returns
Amount
Number of
Amount
Number of
Amount
Number of
Amount
doll.,.)
"^u^n^'
Amo-j.,1
(14)
(15)
(16)
(17)
(18)
(19)
(20)
(21)
(22)
(23)
(24)
(25)
(26)
(27)
Grand total
1,499,482
10,3bl,548
432,971
1,130,831
5,320,888
8,909,143
1,501,575
959,991
187,952
130,058
82,480
73,140
186,299
245,469
Taxable returns, total
l,2-»..v.-
,„,,.„-,....,,
-21,.-
...n....
'.,-'^-.?2^.
»,!•-.;, =?3
i,2»l,318
812,401
147,285
99,879
59,570
55,009
121,695
141,497
95^669
36,450
81,098
239,082
126,237
234,900
'225
21;) 558
290,703
337,734
365,097
346,027
293,431
1,399,761
1,054,211
3,698,316
1,511,609
615,451
21,186
13,806
18)366
24,159
19,180
53,673
32,132
50,144
4)455
224
121
13)355
17,813
14,595
15,047
53,168
58,482
175,090
70)921
12,831
13,115
273)533
326, 551
321,861
320,485
299,187
937,481
399,457
527,769
25)957
968
197)547
219,875
211,293
205,776
866,607
589,609
1,786,803
1)454)157
359,558
520,895
"!.)-"72
76,764
92)171
97,523
99,158
84,115
290,350
138,222
186,679
31,262
' 58
(*)
9,395
20,y.i
31,685
48,190
58)766
59,335
58,835
49,320
89)052
133,352
3)339
53
29
(')
2,213
4,785
6,569
13,335
11,154
11,355
10,123
9,518
12,915
12)160
20,621
3,856
' 80
(*)
448
1,556
2,267
5,578
3,682
7,045
4,944
3,650
5,789
10)237
25,190
5,237
3,343
172
[ 3,914
4)753
6,027
3,923
3,910
?)S?
12,681
5)041
354
283
820
2,743
5,497
3,030
1,568
2)923
10,469
10)302
4,172
1,791
11
1 6,132
9,853
9,658
10,908
9)542
19,684
14)712
3,321
1,393
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000
$500,000 under $1,000,000..
3,997
5)?S
9,488
8,637
8,446
21,071
13,622
28,286
10,221
6,420
262
Nontaxable returns, total....
220,985
461,770
111,282
529,974
975,554
804,610
210,257
157,590
40,667
30,179
22,910
18,131
64,604
103,972
No adjusted gross i.icome...
11,348
21,273
22,773
48,059
41,039
31,867
18,300
26,326
60,447
10,636
16,498
56,049
66)905
73,316
123)371
45,270
10,600
7,475
14,732
12,895
8)895
339,482
15,179
3,532
21,260
33,304
8,202
9,025
94,940
82,650
84,677
96,430
253,106
198,678
115,553
62,684
71,731
154,557
32,328
33,443
119,481
L23,738
76,286
51,540
203,187
39,812
17)031
37,207
39,677
23,624
15,476
19,161
48,335
10,117
25)119
23,936
15,730
10,381
13,975
5,840
2,339
2 520
7,947
6 733
4 37
11,416
3,606
2 517
3*653
2,571
2' 608
2,995
13,037
4,137
65,553
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
7,446
7,266
3,960
Returns under $5 000
::"::-
253 774
84 o22
52 074
Returns $5,000 under $10,000.
Returns $10,000 or more
175)999
5
43)351
1,61
1,99
3,369
1,125,
6,764,
277
004
654)
029
908
289,932
426,286
"
21
Id 9^
INDIVIDUAL INCOME TAX RETURNS FOR 1964
INCOME AND LOSS, EXEMPTIONS, TAXABLE INCOME, AND TAX ITEMS, BY ADJUSTED GROSS INCOME CLASSES-
Dividends
in adjusted
pernio
■.S'„..
;t,..au...
Adjusted gross Income
gross income
U.on)
Net i, come
Net loss
Net i. com.
Net IDSS
Number of
'S
returns
Amount
returns
Amount
Amount
*II.r.)
Number of
<fc/:ar.J
Number of
returns
'^— " 'TtZnt
(Thou,M,d
(2S1
(29)
(30)
(31)
132)
(33)
(34)
(35)
(36)
(37)
(33)
(3V)
(40)
•
Taxable returns, total
72,222
Under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $5,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000....
$500,000 under $1,000,000..
11,402
118,670
208,596
278; 809
321,896
33i;085
287,840
272,713
489|l75
691,040
130,529
31,988
'452
3,154
60,808
145,401
244,377
251,392
2591735
238,091
1,150,842
929, 885
2,951,058
1,771,274
1,743,459
389^755
512; 730
831,616
1,105,413
1,665,631
1,864,964
1; 720; 220
1,462, 590
4,137,065
i;046;522
145,979
32,217
434
332; 709
449,017
549,843
573,464
522; 070
445,301
1,541,221
1,364; 306
424,222
210,591
15;902
34,784
100,492
126,386
140,137
116,317
97,395
60;903
48,155
125,317
46,496
56,821
11, 4U
3,630
73
35,555
134,468
223,303
210,507
184,324
130;592
116,677
275,406
165;923
50,764
25,700
ao;653
133,033
212,587
245,967
257,123
281,497
263,861
190;734
503,301
155,078
210,241
35,503
3,305
121
102; 131
184,450
199,741
180,701
162,459
123; 823
504,020
290,679
640,715
202,902
73,694
i;585
25,735
52,355
92,832
127,905
165,304
183,127
16S;346
137,394
361,876
99,741
95,382
15,796
4,091
100
8,482
18,897
42,446
30,446
77,963
65;513
206,016
125;924
37,494
24,239
1,420
1,733
7,350
18,051
26,496
26,967
28,479
26,025
19; 664
64,143
51; 023
11,646
4,290
78
3,738
9,441
12,612
15,641
17,908
20,055
15;767
69,204
55,453
142,882
75,799
68,329
5;465
I 2,007
j 1,907
5,382
5; 420
1,781
372
17
1,242
780
6,622
19; 818
8,703
12,472
Nontaxable returns, total....
910,503
791,712
3,247,279
1,675,565
745,021
1,061,350
1,084,686
854,855
328,174
304,555
119,749
111,849
4,986
7,379
NO adj^ted gross income...
42,244
61,010
2?^;4u
206,^.50
109,444
54,558
46,171
14,470
127^757
130,025
90,559
284; 487
142,281
306,896
1,090;262
658,480
304,215
139;605
59,988
140,820
521,352
403, !■ .
211,-;
103,.:...^
6,728
16,965
51,740
6,272
3,555
31,455
90,205
61,333
32,360
81,077
37; 133
17,715
13,744
12,386
11,483
12,902
3,499
1:
854
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
2,377
2; 345^320
1,146,413
9; 339; 628
6,978,231
5; 527; 012
3,012,131
4; 373; 193
'420; 020
245,169
'S'iSg
i;2oi;527
1,291,717
3,033
Returns $5,000 under $10,000.
Returns $10,000 or more
18, IM
Other
Adjustments
Total
Exemptions
Number of
taxable
Taxable income
before"''
credits
Adjusted gross income
~-?-nr
*;;.!■.;
Number of
Amount
Retirement income
Investment
Number of
'^S
"^j:^.^
'S
(43)
(44)
(-5)
14.;.)
(47)
(43)
(49)
(50)
(51)
1 53 )
(54)
0^^„a ^t3l
4,627,749
3,177,195
2,879,266
66,9S°,9n8
12,352,080
13,452,530
51,923,075
229,375,078
47,896,997
1,442,389
183,369
l,797,4o5
312,690
Taxable returns, total
4,436,733
2,992,498
2,613,095
58,403,521
83,336,886
.
51,30f,,33e
229,268,292
47,792,076
1,040,541
142,522
1,601,464
257,427
41 000
7,846
101,628
2171665
241,416
2221829
232,360
399U8I
5; 608
3,886
3,700
45,169
154; 390
248,642
337;445
298,918
640,578
163,745
117,187
2; 020
28,486
121; 186
196,353
255,470
250,147
273,073
235,105
542,830
184,160
195,353
7;651
331
122
143,512
1,352,724
2; 755; 480
3,798,886
5;472;934
5,709,244
5,212,940
4,487,505
11,667,568
3,569,435
4,792,002
i;05i;705
140,481
194,999
311,866
2,823,988
3,389,170
6,271,934
8,203,683
9,783,627
10,710,684
10,228,936
8,437,332
14,511,845
3,232,619
2,784,005
75; 306
2,179
901
'1%777
m;230;995
4,994,752
5,365,249
5,474,381
5,315,394
4,801,475
3,857,806
3,018,742
6,593,499
1,456,670
1,208,517
34; 626
1,057
31,204
2,130,143
3; 515; 230
12,170,876
18; 319; 522
20,004,943
19,049,927
17,421,037
51,914,829
17,970,472
26,832,008
4; 522; 030
557,625
756,274
345; 269
1,453; 237
2,111,241
2,713,377
3,219,608
3,556,247
3,429,478
9,373,997
3,764,292
7,02i;623
2;272;681
313,317
433,367
10,175
109,335
159,352
140,235
124,711
63; 364
61,016
110,590
47,373
66,955
4;721
157
84
302
3,083
18; 025
18,647
10; 133
6;666
7; 364
11,402
28
16
(')
19,065
55,773
114; 716
134,688
107; 420
92,026
14i;823
260,223
51,209
'443
209
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000
$500,000 under $1,000,000..
724
3,078
6,573
10,258
13,673
U,061
14,314
12,991
12,412
43,992
28,254
65,458
20,520
9,234
620
761
Nontaxable returns , total
191,016
184,597
266,171
8,535,387
24,015,194
13,452,530
616,738
606,785
104,921
401,848
41,347
196,001
55,263
No adjusted gross income...
=381,067
64; 326
149,889
138,399
50; 630
66,358
20; 170
25; 912
23,526
22,330
26,884
24,676
41,708
30; 534
31,372
30,733
1,301,155
946,693
1,641,226
i;i39;300
763,565
1,238,100
3,153,123
2,544,584
5,237,092
3;443;861
2,238,131
1,838,308
3,937,988
2,582,994
2,838,339
1,806,737
979, 052
518,038
357,015
5,111
173; 598
151,516
91,383
103,324
206
22,246
103,418
9i;713
236,749
32
3,649
16,893
14; 931
52,601
(')
67,672
142,983
106,023
13; 371
11,357
23; 549
41,423
-
So^'under'ii'ooO
7
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
920
2,707
4,301
6,303
d *5 000
864,444
1,272,753
2,490,546
1,529;343
937,185
1,260;761
17 111 549
43,627,527
47,634,335
21,039,718
13,095,519
345,436
11,579
19 898 422
90; 537; 348
111,190,955
73,510
405.554
34,872
Returns $5,000 under $10,000.
26,493,166
23,385,092
22,558,513
9,465,035
15,126
26,975
;780
243
;75?
J0;691
"Description of '
Classification;
INDIVIDUAL INCOME TAX RETURNS FOR 1964
-SOURCES OF INCOME AND LOSS, EXEMPTIONS, TAXABLE INCOME, AND TAX ITEMS, BY ADJUSTED GROSS INCOME CLASSES— Cont
$100,000 under !
$1,0(
Nontaxable returns, total.
No adjusted gross income
Under $600
$1,000 under $2,000
$2,000 under :
$3,000 under :
Returns under $5,0i
153,839
182,998
198,153
216,629
234,563
232,257
19,072
13,326
36,829
16,123
13,000
7,945
14,016
791,591
1,644,348
,387,142
,819,379
81,061
70,913
56,928
2,482,198
2,763,758
789,482
265,607
\l
126,226
122,746
138,384
Cash requested
Bonds only requested
Grand total.
Returns under $5,000
Returns $5,000 under $10,000.
Returns $10,000 or more
182,388
204,810
204,274
204,380
117,157
127,818
267,847
296,863
316,350
331,043
230,820
328,912
353,211
965,562
254,906
o31,690
742,949
405,280
351, 516
43,339
7,785
131
593,927
179,698
403,547
138,309
65,355
22,543
30,913
69,086
132, 045
135,324
152,942
11,31A
1,
1,
12,409
1,
1,
1,
13,560
2,943
1,474
2,
1,
129,176
116,200
108,029
106,211
30, 582
26,095
27,172
26,661
23,723
272,254
108,534
53,919
See text for "Description of the Sample and Limi
^These data are based on information reported by
n Schedule F in Statistics of Income — 1964, U.S.
^Adjusted gross income less deficit .
^Deficit.
*Estimate is not shown separately- because of high sampling variabili
^Negative "Other sources."
NOTE: Detail may not add to total because of rounding.
the Data" and "Explanation of Classifici
with income from Schedule F as shown on
Tax Returns.
necessarily agr<
Taxable returns, total.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
$15,CX)0 under $20,1
turns, total.,
gross income.
$600 under $1,0
$1,000 under $2
$2,000 under $3
2,018,480
2,887,396
3,681,897
4,130,139
4,026,437
3,413,109
2,757,1
6,183,003
1,354,400
1,106,438
143,253
'864
13,519,111
15,950,150
15,818,9
13,332,795
10,750,:
23,503,.
5,209,157
4,452,807
2,303,059
7,142,878
13,065,329
.,842,945
572,296
653,042
2,413,223
3,633,033
3,342,827
2,452,(
3,423,(
3,913,255
3,84.4,111
3,270,349
2,635,1
5,825,5
1,175,304
810,7
98,621
1,818,.
5,905,.
11, 283, e
2,408,191
6,064,2—
1,497,165
306,162
268,536
252,6:
195,389
88,665
86,892
231,392
Returns under $5,0
Returns $5,000 und
Returns $10,000 or
Partnership
8,906,427
7^943'!
3,062,.
5,553,471
13,890,275
,686 1,028,247 1,555,027 526,156 1,045,3X
246,019 422,381 1,392,978 307,574 353,671
- 122,703 431,142
Ordinary gain from
sales of depre-
ciable property
$9,1
1,000..
$10,000 under $15,000.
$15,000 under $2C
$20,000 under $50,000.
$50,000 under $100,000.
$100,000 under $500,000,
$500,000 under $1,000,0<
$1,000,000 or more
312,512
303,149
266,764
16,711
13,351
19,760
17,156
473,400
86,839
23,288
1,476,675
895,121
1,244,281
143,869
75,995
118,456
22,809
3,426
17,324
3,471
23,449
■I';:
5,040
9,836
3,923
10,156
8!740
9,015
6,559
8,279
20,217
13,29-/
24,046
30,L29
28 1 649
15,495
6,412
37,285
57,112
43,149
40,570
154,832
4,932
12,433
18,255
13,144
Returns under $5,000.
Returns $5,000 under
Returns $10,000 or mo
231,107
369,903
606,517
374,096 936,783 663,351 202,417 130,302 52,113 32,320
89,438 96,621 1,164,972 795,844 344,874 209,567 51,894 26,526 19,798
1,762,382 5,587,472 576,293 367,428 62,323
for "Description of the Sample and Limitations of the Data" and "Explanation of Classifications and Terms.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
EXEMPTIONS,
Pensions and
annuities
{taxable portion)
Grand total
Taxable returns, total.
Under $1,000
I under $2,000.,
I under $i,000. ,
) under $5,000.,
I under $6,000.,
1 under $7,000.
I under $8,000.
I under $9,000.,
1 under $10,000
37,132
200,827
47-1,064
82,016
110,862
129,785
610,686
116,653
27,593
217,314
200,117
171,037
189,735
76,638
116,505
33,804
63,022
2,094
1,211
13,361
7,440
10,911
104,131
128,742
78,268
45,013
235,752
274,779
86,319
36,980
19,272
222,768
171,577
100,475
Returns under $5
Returns $5,000 ui
Returns $10,000 c
361,179
601,690
1,470,713
1,402,271
1,789,457
3,593,741
936,214
583,990
533,251
683,394
.,035,022 655,971
,442,228
343,672
767,702
539,355 451,381
Adjustments
Taxable income
Retirement incc
197,541
177,283
178,8,""
180,909
250,743
214,497
198,189
511,116
$50,000 unde'r $100,000...
$100,000 under $500,000..
$500,000 under $l,000,Oa
bntaxable returns, total..
No adjusted gross income.
Under $600
$600 under $1,000
$1,000 under $2,000
4,292,231
1,337,480
873,397
$2,(
Returns under $5,000
Returns $5,000 under
Returns $10,000 or m
7,278
19,630
33,978
30,367
30,233
29,862
table. See text for "Descriptio
8,230,116
22,251,247
21,320,699
Sample and Limitations of '
837,396
681,897
130,139
6,133,003
1,354,400
1,106,438
8,788,710
12,854,651
15,773,132
16,261,567
15,567,563
16 ',563 '373
24,490,721
7,710,389
3,899,681
457,434
537,541
10,293
117,512
8,780
116,627
113,711
6,095
4,951
34,376
11,590
243,830
1,433
43,257
74,251
46,202
25,512
1,265,352
2,020,031
;, 009, 530
Data" and "Eicplanation of Classifications and Ten
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Adjusted gross income <
Self-employment
Tmc withheld
,s, total.
■ $2,000..
$3,000..
■ $A,000. .
■ $5,000. .
$9,000 under $10,000...
$10,000 under $15,000..
.$15,000 under $20,000..
$20,000 under $50,000..
$50,1
$100,000 under $500,000.
.$1,000,000 or mor4...!..
Nontaxable returns, total.
No adjusted gross income
5,327
87,58/;
340,516
779,311
435,689
146,258
695,552
095,811
332,310
878,947
246,811
287,620
434,471
387,846
334,247
270, 172
213,430
578,955
232,797
290,752
34,795
7,097
118,533
697,637
1,685,780
3,359,419
3,865,8
3,807,1
3,247,3
16,952
147,945
471,197
%1,184
,671,907
;,418,581
1,902,629
,930,198
',734,963
,977,508
1,357,133
1,616,613
752,709
251,547
8,382
$600 under $1,000
under $2,0
under $3,0
0, under $4,0
Returns under $5,000.
Returns $5,000 under :
Returns $10,000 or mo:
2,147
12,610
75,221
116,415 23,657,423
51,712
67,733
22,355
9,251
12,681
72,195
367,144
42,943
1,151,886
275,839
339,005
269,852
1,977,524
12,729,632
13,981,243
Cash requested
only requested
Taxable returns, total
Under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000
$500,000 under $1,000,000
$1,000,000 or more
Nontaxable returns, total
No adjusted gross income
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 or more
Returns under $5,000
Returns $5,000 under $10,000
Returns $10,000 or more
^Adjusted gross income less deficit
^Deficit.
■'Estimate is not shown separately b
^Negative "Other sources."
NOTE: Detail may not add to total
12,524
38,601
79,254
2,679,983
3,016,826
2,763,780
2,150,503
1,576,069
156,339
345,990
120,224
52,960
3,927
22,028
20,090
20,865
21,135
281,938
31,430
11,690
11,527
45,713
54,558
50,915
621,433
1,240,481
2,142,469
liigh sampling '
226,337
716,202
,144,636
98,996
71,176
129,500
565 1,064,996 7,038,723 976,225
731 2,210,787 12,064,946 2,
591 1,272,259 2,856,355
80,726
21,840
2,656
2,990
6,303
9,967
7,579
5,052
_ 25,535
306,399
434,390 116,943
590, g72 536,915
.—SEPARATE RETURNS
INDIVIDUAL INCOME TAX RETURNS FOR 1964
AND LOSS, EXEMPTIONS, TAXABLE INCOME, AND
Number
returns
exemptions
n
Salaries and
Business or profession
Farm
Adjusted gross incojLe
*/J.r.)
.ages (gross)
Net profit
Net loss
Net profit
Net loss
T^^'
amount
Number of
Amount
Number of
Amount
Number of
Amount
Number of
returns
^m
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(10)
(11)
(12)
(13)
Gr«nd total
24,639,817
34,264,200
^74,572,686
21,697,022
60,538,911
712,409
1,919,442
157,^6
292,542
364,475
515,733
141,562
213,514
Taxable returns, total
16,947,092
21,845,437
68,236,576
15,505,794
56,005,201
477,775
1,702,093
77,630
97,195
170,284
366,853
57,387
82,515
518,177
4,060,097
3,176,398
2! 190^590
1,523,750
1,001,316
369^008
211,333
333,532
86^669
D,008
4,009
518,177
4,299,002
4,014,046
3;082;781
2,144,396
1,446,739
546^545
302,351
147^ 181
22,714
7,269
300
189
485,365
5,925,920
7,914,155
9; 810! 877
8,329,628
6,471,496
4,810,071
3,917,808
1,460,216
'87o|726
696,606
112,730
287,908
482,020
3,789,536
2,887,354
2;033;216
1,422,093
934,899
591,046
184! 919
251,082
47,039
36,112
4,146
1,202
50
5,3951843
6,994,396
8,578,097
8,918,040
5! 325! 020
4,203,616
2,586,787
1,619,364
2,533,476
590,018
577,374
114,074
45,262
2^043
91^347
93,069
71,126
36,729
27,307
19,906
13,190
24,138
11,313
11,600
1,134
223
10
9
108)506
175,669
178,265
101)982
87,749
63,869
62,595
187,977
129,499
12)509
1,358
5,565
1 10,812
10,127
10,837
6)414
5,456
3,024
2,466
4,016
1,635
1,669
16
10,310
7,656
7,765
U,761
3,587
5,339
6,539
2)040
6,647
3,315
12,000
3,628
2,838
1,040
1,939
t 45)680
37,246
23,363
17,789
10,925
7,271
6,851
3,684
4,424
1,631
1,345
76
1
46)845
57,005
47,339
43,069
28,347
18,989
22,727
12,697
25,301
14,466
24,822
2)026
164
1,109
10,143
9,673
6,032
3,125
2,672
'757
1,936
723
1,640
221
20
19
1,033
$1,000 under $2, 000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15, 000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000....
$500,000 under $1,000,000..
6,819
9,381
8,978
9,550
5,469
4,511
2,803
1)125
2,793
3,394
4)502
609
Nontaxable returns, total....
7,692,725
12,418,763
'6,336,110
6,191,228
4,533,710
234,634
217,349
80,346
195,347
194,191
148,880
84,175
130,999
No adjusted gross income...
14^,507
3,524,961
2,093,495
1,226,587
473,952
149,126
47,333
222,009
3,912,023
2,670,708
2,925,296
1,593,453
687,052
251,099
=287,456
1,131,073
1,590,150
1', 151^692
508,862
208,871
285,404
24,052
3,247,583
1,761,428
722,517
293,081
97,586
38,520
1,030,772
1,306,674
950,081
669,026
120! 648
91,085
66;884
65,807
20,186
6,333
2,722
1,484
27,568
70) 608
35,148
10)933
5,225
7)730
2,537
403
835
160,028
7)250
8,611
3,287
'631
5,279
56) 134
47,348
15,453
1)714
762
21,882
33,547
46,283
26,443
5)119
3,968
40,172
18,461
9,770
11,635
1 3,746
391
85,130
$600 under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 uaier $4,000
$4,000 under $5, 000
10,354
13,014
5,098
3,181
Returns under $5,000
Returns $5,000 under $10,000.
Returns $10,000 or core
20,332,985
3,780,942
525,890
27,939,179
5,509,092
'39,706, 152
24,905,733
9,960,797
17,884,374
3,472,435
340,211
21! 397; 718
3,369,126
555,436
108,329
48,646
857, 973
454,924
606,543
122,471
27,492
3,0U
230, 559
27,839
34,094
323,959
32,153
8,353
100)404
71,494
14)950
5,164
17)462
32,473
Partnership
Sales of capital assets
Ordinary gain from
sales of
depreciable property
Sales of property other than
capital assets
Adjusted gross income
classes
Net profit
Net loss
Net gain
Net loss
Net gain
Net loss
returns
Amount
'^Z^'
^ ^Amount
Number of
returns
Number of
,^ri
Number of
returns
dollmr.)
Number of
returns
Amount
fTkou.n.)
returns
Anount
(M)
(15)
(16)
(17)
(IB)
(19)
(20)
(21)
(22)
(23)
(24)
(25)
(26)
(27)
266,340
934,391
79,075
131,566
1,326,989
1,656,022
235,806
18,468
8,919
U,344
7,285
19,336
Taxable returns, total
202,273
874,037
51,111
69,968
1,026,070
1,506,368
270
528
177,847
13,473
6,492
10,265
5,533
12,650
15,924
2,915
27,259
27,579
20,749
18,321
17,284
ll'416
9; 298
5,536
10! 028
13,640
2,343
23
10
2,497
30,296
49,854
52,175
44U72
40,423
23,937
120,587
82,063
187,411
2^250
1,988
1 7,017
4,411
6,316
4,716
3,915
31708
2,024
252
6,104
2,650
3,959
758
21
20
3,936
2,181
5,907
4,197
2,016
5,575
2,567
376
9,358
6,703
11,604
''&
1,493
(■ 9,760
I 86,926
102',066
97,325
98,509
77,618
64,945
44,486
106,457
37,125
47,098
9,112
'16O
84
2,387
28,828
63^022
53,604
70,327
55,671
62,277
46,006
96^489
273,846
190!681
50,741
83,559
30
31
25
16
13
14
16
872
279
034
969
383
290
837
223
3
13,141
19)506
19,243
13,586
17,637
10,632
3,607
ll)627
13,165
1,668
3
3,611
■ 2,203
'563
983
6
8
1,060
1,082
1,740
847
17
'} 2,508
':
309
175
2
471
1,863
'236
344
236
1,109
2,008
2)918
} 1.235
5
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000....
$500,000 under $1,000,000..
1)327
2,660
1,079
1,430
632
4,U2
39
Nontaxable returns, total
64,067
60,304
27,964
61, 596
300,919
149,154
64
381
57,959
4,995
2,427
4,579
1,702
6,636
12,069
No adjusted gross inco^. . .
2,548
14,511
14,948
16,922
3^217
2,104
1,590
3,525
5,453
9,628
7^467
3,389
14,653
4,238
j;:
630
46,287
1,935
3,661
2,583
7,132
.19,551
40,424
ill
( 10,805
15,242
11,320
38)869
25,229
10^970
17
8
13
9
1
571
760
i
403
26,411
5,745
5)530
'96I
1,113
} 911
. 2,3U
1,017
889
(')
I')
2,698
jl 1,915
h
10,995
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4, 000
$4,000 under $5,000
322
159,799
47,818
238,344
489^117
49,794
331 511
154
112
68
389
451
069
9,673
5,972
2,824
2 m/
9,861
3,422
3,837
861
14,022
2,760
18 423
Returns $5,000 under $10,000.
Returns $10,000 or lore
13,807
30,275
299
1,024
831
70,793
51,373
2
3
415
2,561
end of table. See
for "Descrlptii
of the Data"
"Explanation of Classifications f
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 6. -SEPARATE
RETURNS OF HUSBAND
S AND WIVES AND RETURNS OF SINGLE PERSONS: SOURCES OF INCOME
TAX ITEMS, BY ADJUSTED GROSS INCOME CLASSES— Continued
AND LOSS
EXEMPTIONS, TAXABLE
INCOME,
AND
adjusted gross
Income
interest received
(taxable portion)
Rents
Royalties
Adjusted gross Income
classes
Net Income
Net loss
Net income
Net loss
Number of
returns
f^u^*j
Number of
f^^'j
Number of
^Amount ^
Number of
nZ!!!,,
"^fuL"'
"v^ld
Number of
Amount
Number of
dr.;j.r.;
(28)
(29)
(30)
(31)
(32)
(33)
(34)
(35)
(36)
(37)
(38)
(39)
(40)
(41)
Grand total
1,884,783
4,100,853
5,554,546
3,008,463
643,824
977,566
1,012,467
1,057,072
371,467
204,985
107,983
165,874
6,199
7,328
Taxable returns, total
1,456,534
3,731,918
4,246,094
2,369,355
384,234
660,885
597,714
762,166
266,728
133,928
72,203
U0,670
5,142
5,533
Unde $1 000
11,402
110,081
170,048
158,580
146,033
U2,487
1A1,621
125,441
86,505
65,870
58^062
69,902
11,822
3,806
104
3,154
128; U9
145,332
159,772
151,813
129,950
148,797
126, 187
99,532
4i4,192
8231756
382,085
362,702
52,480
45,690
463,036
590,147
563,521
547,229
520,247
423,217
324,512
215,742
133,626
255,290
76! 069
11,388
3,524
11,563
148,495
248,086
244,909
246, £A7
197' 501
176,222
126,045
89,243
264,405
49,330
27,224
2)885
1 -•-
78, 676
62,251
54,575
26^273
23,449
15,657
9,562
22,139
1^466
520
15
99,732
118,793
102,166
69,034
45,851
44,187
14)210
20)559
6,070
3,203
201
j 7,223
I 69,804
92)661
75,566
49)238
17)lA3
38,908
15,466
2)847
898
4,115
42,244
98)451
70,383
55)593
31,381
18) 107
86,003
87)015
21,670
9,505
398
466
29,458
38,366
34,209
25)571
8)358
19,424
6,054
5,295
1,038
357
16
7,327
8,737
19,825
16,680
10,830
5)155
3,931
13,963
6,175
7,961
3,037
1,808
395
5,939
9,903
10,024
4,662
4)309
3,411
1,659
3)549
5,570
31
10
2,501
6,732
5,030
6,343
3,485
5,631
4,437
3,250
856
15,929
14,752
34,188
3)533
1,667
3,703
' s
53
2
$1,000 under $2, 000
$2,000 under $3, 000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
*e,000 under $9,000
$9,000 UQier $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
i50,000 under $100,000....
$100,000 under $500,000...
$500,000 under $1,000,000.
$1,000,000 or more
1,506
1,412
1)317
73
Nontaxable returns, total...
428,249
368,935
1,308,452
639,108
264,590
316,681
414,753
294,906
104,739
25,204
1,057
795
No adjusted gross Income..
16,125
42,548
77,333
75^103
27,326
11,800
10,034
23,549
82,789
61,063
40,252
23,105
112,067
45,796
197,388
311,810
510, 935
168,418
42,863
16,210
15,032
31,448
I'i
34^21
16,825
29,915
1,661
11,099
28,417
70I086
18,503
5,300
4,009
16,320
113^610
40,002
9,807
9,129
11,090
50,923
91,850
62)621
15,642
5,501
16,582
58)591
20,674
21,585
16,664
10)243
2,310
35,665
5,262
10,302
9,260
5,554
2)344
1,715
13)157
6,807
1)500
641
3,538
1)355
6,552
6,287
1,089
1,177
3,130
( = )
(')
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 or mire
680
Returns under $5,000
Returns $5,000 under $10,000
Returns $10,000 or nore
1,010,944
572,712
697^096
2,553,946
1^629! 779
'823'458
?iS
660,984
744,753
190,498
573,724
227,731
33)377
121,726
48,241
35,018
19)637
100)352
1)500
1,492
'543
s^-s
Adjustments
Total
deductions
Exemptions
returns
taxable
Taxable Income
Income tax
before
Tax credits
Number of
,22
"^u^^^
f7>,„„.„d
Retirement Income
Investment
Number of
Amount
Number of
<i,llMr,)
(42)
(43)
(44)
(45)
(46)
(47)
(48)
(49)
(50)
(51)
(52)
(53)
(54)
Grand total
1,162,097
525,128
366,170
13,385,344
20,558,519
7,435,264
17,204,559
45,147,659
9,456,994
746,386
88,222
191,736
24,930
Taxable returns, total
1,006,469
483,923
318,115
10,144,471
13,107,261
16,947,092
44,987,927
9,430,110
522,238
67,720
169,659
21,275
93^972
114,630
102,826
49^616
32|442
39,304
95,493
1321172
47,842
21,969
3,700
42,162
53,579
70,230
50U39
30;978
19,108
25,352
sUii
470
87
25,638
42,777
31,810
32,335
19,' 486
12,738
26,620
6,612
5,782
1,029
1,266,159
1,214,642
1! 301,' 554
1,097,089
426^081
287,045
215^065
431,712
168,420
24,' 815
78,642
310,906
2,579,401
2,408,428
l) 849! 669
1,286,638
327^927
181,710
881308
13,628
113
:
518,177
4,060,097
3,176,398
2)190)590
1,523,750
'646) 012
369,008
211,383
85)107
86,669
13,008
'l69
106
31,177
2,081,159
4,291,688
6)660)324
5,945,903
4,746,253
3,616,118
2,359,508
3,066,809
1,164,574
1,992,961
688,679
537,462
87,735
209,153
5,184
337,329
716,148
1,042,820
1,204,157
1,108,685
919,482
723,470
468,922
711,718
315,540
705,950
305)152
52,807
135,299
105)305
74,054
48,553
34,352
25,956
23,455
9,966
40,657
18,209
1)598
31
273
7,679
13,413
10,484
8,005
5,378
3,940
3,426
1,545
6,103
2,680
251
12
706
15,344
25,446
23,781
15,403
14,862
8,762
8,556
6,590
15,909
3,757
2)393
762
51
34
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000....
$100,000 under $500,000...
$500,000 under $1,000,000.
$1,000,000 or more
664
1,738
2,014
1)244
884
987
2,172
3)955
1,120
631
98
132
Nontaxable returns, total...
155,628
41,205
48,055
3,240,873
7,451,258
7,435,264
257,467
159,732
25,884
224,148
20,502
22,077
3,555
No adjusted gross Income..
'39,954
47' 300
65,369
38,772
5^867
15,940
6,110
5,421
12,892
11,960
1,844
1,218
1,159
14,643
6,772
10,862
11,602
2,120
1,089
843
1,076,484
638',031
364,563
161,418
85,708
231,569
133,205
l!602U25
1,755,178
150^659
94,274
144,507
2)088)490
1,142,539
350,807
116,522
38,124
29,314
5,010
84,048
123,146
9)209
3,450
200
20,689
82,304
36,487
10,533
9,519
3,396
13,470
6,110
1,772
2,105
i' 68,071
118,097
27,674
7,899
2,407
2,401
4)501
1,069
4,633
3,431
1,210
$1,000 under $2, 000
$2,000 under $3, 000
$3,000 under $4,000
$4,000 under $5,000
780
823
535
Returns $5,000 under' $10,000
Returns $10,000 or mre
544,770
362^506
289,083
341301
204,460
120, 630
41,081
8,217,180
1^739^63
16,763,507
3,305,455
489,558
7,405,952
26,467
2,847
12,927,041
3,754,476
523,042
19,194,293
18,202,718
7,750,648
3,330,416
2)557)270
512,597
144,483
89,307
22)776
13,601
102,735
46,721
42,279
9,034
6,196
Footnotes at end of table. .
*e text for
"Descrlptl
n of the .
?le and Urn
tatlons of
the Data" a
nd "Bcplana
tic
n of Classlf
cation
sand
Tern.
.■■
INDIVIDUAL INCOME TAX RETURNS FOR 1964
EXEMPTIONS, TAXABLE INCOME, AND
Taa frojL recomputed
prior year
investment credit
SeLf-employment
Tm withheld
Under $1,000
$1,000 umier $2,000.
$2,000 >inder $3,000.
$3,000 ui»ier $4,000.
$4,000 under $5,000.
$5,000 under $6,000.
$6,000 under $7,000.
$7,000 under $8,000.
$«,000 under $9,000.
$9,000 under $lD,Oa
$10,000 uaier $15, OC
$15,000 under $20,0C
$20,000 under $50,0C
$50,000 under $1D0,C
$100,000 under $500,
$500,000 under $1,0C
$1,000,000 or more..
Nontaxable returns, tc
No adjusted gross li
Unier $600
$600 under $1,000...
$1,000 under $2,000.
$2,000 under $3,000.
$4^000 under $5^00o!
$5,000 or ncre
Returns unier $5,000..
Returns $5,000 under i
Retxims $10,000 or nci
I -
7,693
17,674
{I
L 10
550,102
440,862
279,121 44,176
,180,945
,613,343
568,064
74,354
27,930
13,088
Cash requested
onl^ requested
Taitable returns, total
$2^000 under $3^000
$3,000 unler $4,000
$4,000 UMler $5,000
$5,000 under $6,000
$6,000 unier $7,000
$8^000 wrier $9^000!!!!!!
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000...
$100,000 under $500,000..
$500,000 under $1,000,000
$1,000,000 or more
Nontaxable returns, total. .
No adjusted gross income.
Under $600
$600 under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
Returns under $5,000
Returns $5,000 under $10,00
Returns $10,000 or more....
56,270
48, 535
58,094
153,078
259,366
.,403,970
Adjusted gross
riptlo
lees deficit.
■^Estimate is not shown separately b
^Negative "Other sources."
NOTE: Detail may not add to total
limitations
of high sajrpli
■ of rounding.
384, 150
586,336
"Explanation of Cli
117,635
54,079
28,346
40,651
21,052
3,172,824
1,611,117
570,932
36, 110
21,729
17,878
21,497
3,473
13,669,.
139,337 868,739
137,217
INDIVIDUAL INCOME TAX RETURNS FOR 1964
iJf
|o|
III
III
M
I"
a I
II!
Hi
ri-
(^<A53n?\ •<f rH -O g- to "SgSS fR
§^"^5^^ S^SwS mS^^ ^'~*''
Ss3Hp Ss§3s
sej Rg^g; ;^'
^oS^SRIto °r^MH^ ^^Sg
isssa-
O cJ H S 00 f^ m ^ [^ S O t- ry ro ^ C-
r^ n rv] ir\ r»j ^ vD cm ii r- f^ o TO r- oj H
JSiSsS Sssss §sg5
^^sSm ssg^l SfelS
sKcoor^^ SSSJhw R! c^
§-"
gSssIs 5SSSS sSe
o) vo n cNjt^ --t tn o rH eo (-
§ aisSiS ^SSsa ISI"
oRp2ii nSSss §323
oj S Si 3 S S o ov oi S r- ? 5
sssS5 33s3
3 Irt 5 ^ M S
s?s s~slS ^f
^ rRto n fy vo
?SS; SSiJSS
§^§S£S S^l§;
SF!ag^3;^ S!3SS3 k!S!^
|SSS§5
sISsI ssH
cJ5!JS";^" R:
sgpssg
3S g^S?
Sr^HMWcJ rj^^O^S pjvgcot
!?gs&aj? gadss sss
s ^sgsss agggg
|g§|S^^
mil mil §§§§ ||§
I ipll! Illll Ijjl IJi I
« Is 88 8 8
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Hi
iii
ill
115
I 2
§1?
Ili
S E
15
III
Hi
IJ
52S| srts
5 SS 'gSS||
P)SPf5 PSS
SSSg gS3
r^ r- (^ t^ c^ >A rHojOCT-irt H rf (^ :* rHtyco
SESS"^
S S S"3S| gSgSS
s isss §s§ss Sis
5 SSisSs iH§§ 3&SI
R S o SSS |«S,|?
isasg sssgg
His
asSs
3ft5S"a
!3s;8S ssss sa'
|5si3
S3SS
fSsS sHg
3 §a?
ss^SS HIa 3"^
sag ^°
§5 g
i«.2-»S- »feS»S-«
i §11111 mil
t Ifisii §§§§§
III 111! lis
111! §§8
§ii§ lis
d•«^-o-o 88S,
nil!
!!!!
nil
l§ll
§g§§
lie
INDIVIDUAL INCOME TAX RETURNS FOR 1964
S S §8?!
ill
sTksrs fs^-gs "
M
g 3Hs ISSas as^s §^°
!^ rH H r-i >" d ^<^^•:^^
lif
I|r32|
s §§R3sS sSs^s S§is
lis?
•stsss sssas s^
g
1
! I
° I
I 1
sa§ss SS|3 S:f^
3 §§s3ss §aSpa
II?
S S ya o \o >!■ <n to lA >| tn ^ (^ 3 ^ tn
sggss gsg:^
14
a SS53SR
a Sg5g8S S38^3 5§gg
11^
l,l
3§§SS
sss'as asK"
S cj H S in (^ tM \o IN 3 *■
u'ss"?
b 0^ TO O > 5 f^ 3 S 3 ■■
2 3S§§sS aSHS
1 §§5:
S§sss3 SSsil t^.^t ^"
!s« gags^ §35^
§ sSss
§§|3I
g§S3gg
■o -vf rH CO ra to ^ "^ d '^ ^S 2j "^
r
SSinSSS SKS
sSH^ ssr
:S5clS S3S?
SIsS ^'
III'
!33SS
H ^ in Pi « K ^ cvj TO o^ '
in-vtPt-So S°I3£;'^ '^ r? ^ rf
sIsS
ll
s§§a§S
^ mm ma
1 1
I ^
5SS4.:£ S&sa^S
iiiii mil iiii ii§
iSJSSS ;^£.Sa*
:g S:^^:^^A
i 1 iffll! »lll ill! i!i 1 1 ii
INDIVIDUAL INCOME TAX RETURNS FOR 1964
111
Mi
' 5 rfi§
§S '§
ii
i35i §§§
S3S sssa sa"
3SS2 iS§
ri
111
§ s sss ssgl3 ssll S°
§ g§i=
5 I
I
fi
SS83S PSSS |3;
Hi
3 S gsS SsSss
3KSg
W
3 <N >-< ^ Ci lAOppft^ia (Vr;
111
i 3 S3;
3 S'"""-
;3! sssss sjsSf
8 S SRKS S^Hs ISSK
S »g3S
j>r|n 'Oto O'C^ -^t jHa
IJi
is5 ssH^I §S§5
gsgs
S5I^
W
S3?5 sas"" s-*"
Ii5
S i ^Ks Sils? sss3 s"'
s 3 §33! I3I5S
sis
3 I
=ssas ^fesa^
illji mil nil ii§ I II giiiii iiiij
|8§i§ §§§§§ §111 III I "" t Iliiis §§§§§
fill
III
*»,;
^^S.» US;*
I Ills
I ^8
III
INDIVIDUAL INCOME TAX RETURNS FOR 1964
M
i Ss§ iS§K3 ssss ^ '
a SSS 3;^S!3e
s asgs
S s S ss| P.P.i m^.
11=
h\
asssaisssa asas
SSf;
— S TO ^ oj S c- r-l m [^ o t> to oj rg
g s§ss
i^^l^s sSsS^ SI3§ s""
I srSp
5 en 5 oj in in ^ fn 3 S ^ h m to >!■ ''
gliSI
:PSS8S PSfri
i i'S.'^-^
s slsS_§s S§|2S |§^,i 1^
Hi
(-1 CO cv 3 S S ^^ ^ a^ oj £> (n S vD K O O *"
^ |s§s|^^ IIh^sS ^3,31
^ssSsss isasS §9^°
§ sl^^S^ s3l9S §s5i
J52 5S^3m o^^3 oj
III
35sgl§ §^^3^ s5
G^ 00 in H fn to i> f^ irt n ^ vo ir\ "O o >A oj vo
TO 0(nia-.fTOO ^-^i/Carc^ tC^o^'tn
ili
^ ^^§§^3 ^?§§^ £^^5
^ S^ll
ig g||s
iJi'
§ssl§§ R^§§3 s^^"
§S?5
„ gg3gS3 KSgSg SSSg
g sSsssR Si^H iS§§ §°
§ sss§
33aSsSr
S S§|SS2 M^IgS 3R8S |Sid
■£) r~ rg o (n sO o 5 ^^ «> ;i ^
§ sisIsS^ 32SS3 3s~§
li
iigiiiiiiiiiiiiii|ii |i|fi|
= j^SXa SfegS;*
? tiSSSS §8888 ^.°,^,°.
S 3 Us
J3 C 3 H O
Ill
Pi
Hi
Hi
Li
!§
ill
1^1
iJl
IJ
I
I
! I
I S
M
115
LI
|.i
|o|
INDIVIDUAL INCOME TAX RETURNS FOR 1964
ggis
3 gSSfeS SSRS
ssRss ssas
§ §5H§ sg22 ""^
s.^ 3as"Pi a-"
^. |r SSil^, Rsp
--V ^S^ & In ol pi 5 r^lQtH^
H3 ssaSS BSpS ^^
!a f^Sro t^^mc^'^ d ^ "^ '^
S 3
s S S
3 ISis
S R'^"'^""
i sS^K
I sS^s
g §Ss
S 3g£ gSS
3§S S"^
Sdg§
33M
3 ~ Sg^S ggS^S §SS§
S S §§§ i^SSS SIss S""
3 sSssSS SsssS SS3i
s sSSSss |,3|s| HI;
SSd
2 gggsgs sSp^S sis§
R SpsSrS Sgslg PJJ
s ag3§SI 3Ss§s §3S3 s"
SoSo ~ «^000 SrtE
■SS;iS ;ifeSS-U
||g||||j|||jj||||11| |||||, ||gp||||||||||||ll| |||||
gS-«.»SA S-SSSS ;Jg-3S U»^ & g^i
S SioSS
2 d
s s
° S
1 1!
S i5
IP
ill I
INDIVIDUAL INCOME TAX RETURNS FOR 1964
returns
fn,«.„d
Exen^itlons
Taxable
Income tax
Joint returns of husbands
and wives
Adjusted jrosa Incone claases
Number of
Adjusted
gross income
Exemptions
Taxable
Inoome
Income tax
after
credits
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(3)
(9)
(10)
Grand total
65,375,601
'396,659,831
112,352,080
229,375,078
47,152,855
38,730,324
'311,457,956
83,892,336
178,733,074
36,667,882
Taxable «tun>s total
51,306,338
376,004,749
88,336,886
229,268,292
47,152,855
32,658,709
297,632,683
72,843,977
178,298,581
36,667,882
41 000
519,777
4,274,235
4,230,995
5;365U49
5,474,381
5,315,394
4,801,475
3,857,806
3,018,742
6,593,499
1,456,670
1,208,517
158,700
34,626
1,057
463
6,306^032
10,630,745
24|l7i;885
30,105,420
34,503,1A2
35,943,123
32,700,244
28,610,501
78,094,242
24,772,473
34,407,979
10,429,137
'7C0I283
952,174
2,823|988
3,889,170
8;203',683
9,783,627
10,710,684
8!437;382
1/1,511,845
3,232,619
2,784,005
366,805
75,306
2,179
901
31,20;
2,130,143
4,979,284
8,515,230
12,170,876
15,564,570
13,319,522
20,004,943
19,049,927
17,421,037
51,914,829
17,970,472
26,832,008
8,528,317
4,522,030
557,626
756,274
5,161
343,498
814,244
1,426,534
2,079,007
2,676,478
3,186,260
3,525,596
3,401,653
3,154,118
9,792,079
3,709,244
6,882,146
3,204,243
2,220,198
426^619
165,450
868,934
1,992,579
2,863,552
3,663,490
4,119,636
4,016,552
3,406,306
2,755,089
6,176,523
1,352,374
1,103,606
142,993
29,914
864
347
2,246^460
12;960;269
20, 193, m
26,779,4«i
26,117,334
73,193,334
22,995,041
31,374,039
4;835;278
572,296
650,222
198,540
1,257,757
3,635,846
5,912,033
8,079,834
9,550,103
9,474,943
7,939,393
6,445,125
14,090,8U
3;i22;261
2,665,969
348,342
69,785
1,956
31,458
540,224
2,133,207
4,8U,265
3,738,953
12,820,399
15,727,221
16,223,350
15,552,049
48,143,763
16,564,051
24,427,649
7,695,936
3,893,492
457,434
535,080
-
85,474
1,427,619
2,140,459
tv'oOO UBder Ig'oOO
2,764,956
6,080,075
2,826,965
246,811
286,340
14,069,263
'20,655, 082
24,015,194
606,786
.
6,071,615
'13,825,273
16,043,359
434,493
7
432,317
3,937,988
2,588,100
2,930,K5
1,980,335
1,130,568
609,471
460,339
^1,552, 252
1,275,784
1,991,162
4,281,434
4,899,273
2;703;309
3,]/;3,949
74i,245
3,153,123
2,544,684
5,237,092
4,765,750
3,443,861
2,238,131
1,388,308
22,246
103,418
102,449
236^749
276,398
iii;ri?
1,573,175
1,443,556
959,958
550,933
421,186
'1,210,026
2,351,009
3,594,644
3,324,331
2,445,046
2,317,854
594,674
887;571
3,283,662
3,687,693
2,982,064
2,058,371
1,779,404
1,55!
19,262
61,796
78,350
273,534
\ ^
ll OOOuMer 12 000
$5,000 or lore
32,993,932
22,904,054
9,477,6W
^76,643, 132
164,487,867
155,528,831
43,627,527
47,634,835
21,039,718
28,146,773
lli;i90;955
4,668,445
26,'540;300
11,540,945
18,362,052
'33,563,288
134,433,522
143,411,U4
25,273,132
43,258,286
20,360,919
7,680,112
69,230,755
101,822,206
1,197,755
23,618,591
Separate reti
ims of husba
ods and wives
Betums c
f heads of household
Adjusted gross IncoiK classes
Mujiber of
returns
Adjusted
Exemptions
income
Income tax
credits
(Thou sand
dbl/.^.;
returns
' Adjusted
gross Income
Exemptions
inccine
Income tax
credits
(11)
C12)
(13)
(U)
(15)
(1£)
(17)
(18)
(20)
Grand total
2,915,178
'l0,C>t0,590
4,356,035
4,920,093
1,017,804
1,775,640
'9,698,457
2,516,362
5,559,893
1,129,172
Taxable returns, total.
1,957,775
8,571,395
2,396,504
4,912,032
1,017,804
1,564,225
9,339,059
2,169,655
5,548,403
1,129,172
71,217
258,629
359,195
3281218
221,809
137,254
83,326
21^392
38,254
9^859
1,172
320
23
33
60,910
394,048
908,472
1,304,909
1,470,417
1,210,223
618)877
361,856
201,335
445,352
170,569
286,454
76,706
IO0I288
42,730
137,475
368,707
435,988
457,970
325,275
220,106
119,626
74;75S
34,782
52,276
12,420
12,456
1,469
407
3,707
U3,843
4U,207
644,832
317,489
713,343
532,973
409,240
226,878
321,370
129,976
229,895
59,503
43,502
12,908
64,205
1,410
23,694
110^129
145,166
129,449
100,475
79,937
44,738
27,668
70,977
33,700
79,891
27,493
23,147
7,718
} 45,354
163,338
248,511
237,263
268,735
129^025
75,639
49,716
76,964
17,163
15,409
2,434
651
24
9
75,642
413,531
879,493
1,295,678
1,476,360
'9621538
642,763
471,596
907,212
291,138
440,393
161,706
109,450
15,257
11,224
41,385
192,894
186,590
109,777
70,164
111,487
26,533
24,013
13
16,325
134,089
370,415
649,616
829,958
718,618
615,694
428,852
324,781
222)520
348,325
129,249
12)457
9,581
2,514
21,562
60,973
144 508
129,491
ia'ooo uBd" S'ooo
63,160
134,717
104,066
53,515
7,532
$1,000,000 or lore
5,567
1,959,531
8,061
211,415
'359,398
347,207
U,485
.
g
22,710
207,543
155,440
280,150
173,112
79,996
24,902
^45,674
74,685
119,613
425^856
274, U7
110,652
33,050
216,595
2U,402
557,384
476,671
283,878
110,530
67,021
17
2,578
1,555
1,780
it"
27,839
80,840
16^147
51233
'41,873
6,416
22,318
S;S3
42^430
38,632
U,192
34|U7
118,193
90,928
36,066
24,962
13,125
1,178
4,077
2,764
3,460
.
$5,000 or Ecre
2,335,244
519,774
60,159
'5,509,873
3,356,949
1,173,767
3,435,380
840,754
79,900
2,040,361
2,017,020
862,713
348,720
382,266
286,817
950,642
113 ; 183
4^7671495
l'036i858
1,178,471
2,919,988
1,461,434
400,707
Footnotes at end c
"Description of '
' Sample aul LlnritBtlons of the Data" and "Explanation of Classifications and Terms.'
INDIVIDUAL INCOME TAX RETURNS FOR 1964
BY ADJUSTED CROSS INCOME CLASSES
Adjusted gross iDcome c
Retxims of surviving spouse
Income tajc
after
4,934
22,325
25,901
23, 8«
22,470
932,316
1,877,480
i,334,899
i, 842, 835
$50,000 under $100,a
$100,000 under $500, (
$500,000 under $1,00(
Nontaxable returns, total. .
No adjusted gross Income.
Under $600
$600 under $1,000
$1,000 under $2,000
$2,000 uaier $3,000
$3,000 under $4,000
$4,000 under $5,000
Returns under $5,000
Returns $5,000 under $10,000..
Returns $10,000 or more
6,480
1,526
2,832
31,057
17,639
1,504
93,897
183,837
156,668
Lljaltations of the Data" and "Explanation of Classifications
15,736
5,345
2,954
'34,196,;
21,548,'
8,787,(
629,170
493,960
74,827
144,949
17,153,931
16,185,693
6,887,935
,911,350
,195,354
total because of ]
INDIVIDUAL INCOME TAX RETURNS FOR 1964
III
II?
IJi
Ji
I Ji
II 1 1
3 s i
I li
III 1^
s § sss 3
R las i s
sSssi ?3l?S§
3slrt3 PSS?
SSSS SgR5S
SSS^S ?S§§3S
^§s;
S5§s SSsSS"
sssIS H&ssi
SSSSa S3S8R8
§sss§ ^SsaS'
^ CO W >t n CM f^ -^ <M ^
^tl^^5 3;:iSS =
^§§§o ^§^^§^
m^i
OBiSSri S53C
33SS!_3 R,hF^.3SE
!§Ss§ sisis'^
jSS§ 3Ssis8
HS§3sS
HgsSS?
's§s^S°
iSaiisSs
HsgRsa
I 31111 llllis
^ S§§§§§i§8§8
^- :6§i§§ : 8S^
^||lllls lll
g^*»a*:a $$;
INDIVIDUAL INCOME TAX RETURNS FOR 1964
-CAPITAL GAINS AND LOSSES, SHORT- AND LONG-TERM, AND CAPITAL LOSS CARRYOVER, BY ADJUSTED GROSS
Net loss
of capital
Adjusted gross income (
33,129
51,572
76,764
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 jnder $15,000....
$15,000 under $20,000
$20,000 under $50,000...,
$50,000 under $100,000...
$100,000 under $500,000.,
$500,000 under $1,000,00(
ider $600.
123,212
145,928
205,183
168,191
312^ 913
559,056
H>.
20,247
20,801
21,821
17,745
341,975
248,157
518,152
173,554
52,426
3,505
2,679
$3,000.
$5,000.
102,896
U3,561
300,313
238,355
25,119
23,936
15,730
10,331
13,975
30,947
91,790
40A41
61,977
61,182
35,355
33,918
7,375
78,903
41829
8,034
li,507
17,861
56,429
10,387
13,512
253,774
289,932
426,286
138,912
199,226
322,002
31,153
37,628
91,701
42,451
31,889
182,639
459,293
l,142,'l42
Returns with :
! of capital assets
Short-term (after carryover)
carryover from
Net long-ten
Taxable returns, total.
■ $2,000.
■ $3,000.
■ $4,000.
273,533
326,551
321,8a
,000 I
$9,000 under $10,000
$10,000 under $15,000...
$15,000 under $20,000...
$20,000 under $50,000...
$50,000 under $100,000. .
$100,000 under $500,000.
$500,000 under $1,000,00
$1,000,000 or more
Nontaxable returns, total.
Under $600
$600 under $1,000
$2,000 under $3,000
$4,000 under $5,000
$5,000 or more
Returns under $5,000
Returns $5,000 under $10,0
Returns $10,000 or more...
197,547
211^293
,464,167
520,895
33,443
119,481
123,788
1,019,859
1,125,277
6,764,004
I 6,225
12,935
15,434
20,436
17,004
20,706
15,607
21,550
30,809
28,296
33,035
96,480
19,263
7,195
46,318
335
5,001
12,359
7,038
2,377
1,649,925
1,143,131
3,456,590
63,265
23A,7&4
231,995
23,242
60,027
32,654
311,532
314,455
287,516
509,833
95,653
26,773
257,486
190,649
113,333
61,562
68,783
1,619,116
1,110,096
3,360,110
2,050,562
2,872,283
142,686
101,728
382,833
for "Descriptioi
57,703 34,550
57,432 39,526
296,130 150,400
and Limitations of
20,570
19,796
163,268
32 INDIVIDUAL INCOME TAX RETURNS FOR 1964
TablelO.— CAPITAL GAINS AND LOSSES, SHORT- AND LONG-TERM, AND CAPITAL LOSS CARRYOVER, BY ADJUSTED GROSS INCOME CLASSES— Co
Returns with net gain from sales of capital assets— Continued
Returns vith normal tax and surtax only
Number of
Sm!Ss
of capital
assets in
adjusted
Short-term (after carryover) |
U>ng-term
Capital loss
oariyover from
1959-63
Net long-term capital
Adjusted gross income classes
capital gain
T.,?Sl'lT 1
let long-term capital
gai.
Net long-tem
capital loss
Number
*.l/.r.)
N^ber
rrJl!
Number
Amount
doJlar.J
Number
Amount
Number
of
Ajiount
Number
Amount
doll.,.)
(29)
(30)
(31)
(32)
(33)
(34)
(35)
(36)
(37)
(33)
(39)
(40)
(41)
(42)
4,247,733
10,679,248
30,082
21,297
66,765
141,990
4,247,783
10,429,482
Taxable returns, total
4,245,653
5,371,Oi6
320,373
182,638
241,028
4,087,639
10,383,884
29,527
20,755
65,737
139,576
4,087,639
10,U2,356
244*299
273,533
326,551
321,861
320,486
299,187
282,650
937,481
399,457
510,139
41,075
2,676
29
10
2,387
33,430
80,938
136,712
164,972
201,190
197,547
219,875
211,293
206,776
866,607
589,609
1,721,797
584,495
142,757
9,197
1,464
} 6,225
12,935
15,434
20,436
17,004
20,706
15,607
21,550
30,468
102,942
50,443
75,020
8,410
621
10
1
1,730
6,305
7,309
12,155
4,948
13,181
8,856
12|832
61,719
36,535
111,507
6*, 521
469
2,806
2,306
6,392
6,817
9,415
8,073
6,065
35,613
28,296
55,633
3,050
5
1
1,400
2,957
2,903
2,901
5,748
10,857
5,648
5,945
30,809
33,035
93,737
31,627
'223
354
■ 9,760
171^074
237,382
263,571
317,871
311,532
314,455
287,516
269,829
895,141
381,274
492,203
39,246
10
4,594
67,912
152,366
264,593
310,909
395,431
374,698
433,305
401,804
394,255
1,649,925
1,143,131
3,329,479
1,158,873
281,632
31234
1 2,608
10,024
5,070
6,347
101
3,451
132
1,974
7,581
1,755
307
5
< 1,621
2,205
2,411
i 12,384
10,388
22,833
3,479
24S
4
7,275
1,689
4,410
2,974
1,619
4,484
15,660
23,242
58,499
15,411
3,743
216
9,760
I 94,256
171,074
237,382
263,571
1 317,871
\ 311,532
314,455
287,516
269,329
895,141
381,274
492,203
39,246
2,492
27
10
261,636
308,006
392,530
368,950
388,310
1,619,116
273,086
$500,000 under $1,000,000
$1,000,000 or more
17,468
2,929
Nontaxable returns , total
163,587
150,200
8,352
7,413
6,058
8,738
160,144
295,3&4
555
542
1,028
2,414
160,144
236,626
4
42,620
28,122
37,686
19,838
23^556
I 2,604
1,407
'(4,341
613
2,228
3,025
5,713
j} 16,904
36,953
42,615
i 27,421
36,251
9,899
38,780
45,775
46,560
154,350
)■'■
(.')
!'■-
2,414
1 2?;421
i 36,251
9,881
38,765
43,087
46,256
*5,000 or more
148,637
Setums under $5,000
Returns $5,000 under $10,000
Returns $10,000 or more
929,952
1,583,976
1,895,312
489,051
1,074,576
3,957,619
60,544
107,763
237,857
29,504
55,697
242,590
33,665
129,141
14,623
899,936
1,533,120
1,814,727
941,388
2,071,471
7,666,387
5,'369
21,239
1^012
16,444
5,724
11,378
49,663
9,048
13,493
U9,449
399,936
1,533,120
1,81A,727
926,771
me Classes
Returns with alternative tax computation
Numbe
r of
jns
ad
gain
sales
apital
Ur.)
Short-term (after carryover)
Capital los
carryover
Net long-
"•—-r •■■'•"
Net short-term capital
Net long-
capital
gain
dcll.r.)
capital
Adjusted gross inc
Number of
Amount
TZZ'
(n^^j
Number of
returns
f7>K»«nJ
excess of
capital
doll.,.)
(43)
(44)
(45)
(46)
(47)
(43)
(49)
(50)
(51)
(52)
Grand total
99,679
14,76
43,510
20,448
78,889
5,448,943
8,302
40,691
5,370,054
Taxable returns, total
99,671
2,733,487
14,76]
48,503
20,443
78,882
5,448,340
8,302
40,691
5,369,958
17,630
56,407
414
65,006
477,279
1,321,410
350,361
519,431
2,24
8,19
4,03^
2,822
15,621
21,812
4,547
3,706
111 213
6,527
330
27)118
37,772
4,773
6,471
127,m
950,434
2,636,968
696,406
1,037,921
780
4,925
2,443
105
1,528
17,243
l',132
_
923,316
$1,000,000 or more
1,031,450
8
50
5
103
96
xt for "Description of the Sample and Limitations of the Data" and "Explanatit
than $500.
ate is not shovm separately because of high sampling variability. However, t:
Detail may not add to total because of rounding.
1 of Classifications and Terms."
( data are included in the appropriate
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Not eligible for
ALL RETURNS
Taxable returns , total
$600 under $1, OOO
tl, 000 under «2, 000
$2, 000 under $3,000
$3, 000 under $4,000
$6,000 under $7,000
$7,000 under $8, 000
$8,000 under $9,000
$9, 000 under $10,000
$15^ 000 under $2oIoOo! [V^\'.'.'.'.'.'.V.'.['.\'.['.'.'.'.'.'.'.'.'.'.'.'.'.
$20,000 under $50,000
$50,000 under $100,000
$100, 000 under $500, 000
$500,000 under $1,000,000
$1, 000, 000 or more
Nontaxable returns, total
No adjusted gross income
Under $600
$600 under $1,000
$1,000 under $2,000
$3,000 under $iIoOO. ........................[....[.'.['..
$4,000 under $5,000
$5,000 or more
Returns under $5,000
Returns $5, 000 under $10, 000
Returns $10, 000 or more
JOINT RETUHMS
Grand total
Taxable returns, total
$600 under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20, 000
$20,000 under $50,000
$50,000 under $100,000
$100, 000 under $500, 000
$500,000 under $1,000,000
$1, 000, 000 or more
Nontaxable returns , total
No adjusted gross Income
Under $600
$600 under $1, 000
$1,000 under $2,000
$2, 000 under $3, OOO
$3,000 under $4,000
$4,000 under $5,000
$5, OOO or more
Returns under $5,000
Returns $5,000 under $10,000
Returns $10, OOO or more
See text for "Description of the Sample and Limitations
NOTE: Detail may not add to total because of rounding.
22,009
38,339
54,248
10,969
14,746
4sl054
41,351
19,802
3,585
12,173
1,181
2,790
6,095
46,808
36,159
267,964
344,067
305,236
281,393
,308,735
994,933
1,989,532
,747,622
23,806
31,403
39,196
46,466
51,636
54,3
51,776
47,838
218,266
259,029
433,520
1,726,(
1,594,906
2,345,820
1, 114, :
2,211,1
3,487,-
le Data" and "Explanat
116,725
30,005
10,172
140,029
162,012
147,525
643,335
1^322^972
1,006,876
2,111,035
3,415,550
INDIVIDUAL INCOME TAX RETURNS FOR 1964
-OVERPAYMENT, REFUND, CREDIT ON 1965 TAX, AND TAX DUE, BY ADJUSTED GROSS INCCME CLASSES AND BY TYPE OF lAXPAYMENT
of tajtpa^ent
$10,000 under $15,000..
$15,000 under $20,000..
$20,000 jider $50,000..
$50,000 under $100,000.
$100,000 under $500,000
$500,000 under $1,000,01
Nontaxable returns,
No adjusted gross
Under $600
$600 under $1,000.
$1,000 under $2,00
$5,(
5,365,249
5,474,381
5,315,394
4,801,475
3,857,806
3,018,742
6,593,499
1,456,670
1,208,517
158,700
l'057
463
3,328,912
3,353,211
2,965,562
2,254,903
2 '742 '949
36,472
246,276
232,310
552,133
522,980
415,165
3,218,583
3,257,049
2,873,597
36,380
243,038
223,063
97,275
131,290
29,775
11,435
529,938
727,380
985,909
3,152,962
3,198,671
2,824,576
2,124,815
1,539,282
2,419,435
243,062
100,436
115,785
132,045
135,324
1,130,568
609,471
460,339
38,133
111,245
129,102
126,923
141,337
103,978
73,110
112,642
3,327,509
1,795,566
1,303,198
108,184
125,352
120,701
,008,438
653,769
375,050
21,354
107,923
96,894
68,016
79,731
21,142,438
2'775^005
Adjusted gross :
overpayment — Continued
Returns by type (
taxpayment — Contin
$15,000 under $20, (
32,606
26,517
41,431
31,339
53,029
34,200
30,077
222,602
163,138
173,372
144,591
481,232
184,240
335,246
304
31,925
37,580
77,825
99,957
8,195
10,534
139,959
75,109
126,047
21,309
10,261
8,987
42,547
7,218
23,523
42,757
60,755
211,539
724,935
333,206
Under $600...
$600 under $1
$1,000 under 1
$2,000 under
$3,000 under
Returns under $5,000
Returns $5,000 under $10,0
Returns $10,000 or more...
29,551
6,117
table. See ■
for "Description of 1
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 12 . —OVERPAYMENT, REFUND, CREDIT ON 1965 TAX, AND TAX DUE, BY ADJUSTED GROSS INCOME CLASSES
BY TYPE OF TAXPAYMENT— Continued
Adjusted gross income classes
I under $2,000. ,
I under $6,(
' under $7,(
under $8,C
under $9,C
Nontaxable returns, total.
No adjusted gross income
Returns $10, (
20,960
17,933
13,036
22i,7<ll
53'20A
57,699
76,649
80,719
75,139
58,758
47,383
12,668
31,737
30,566
14^297
393,443
6,751
11,924
14,478
123,476
23*754
2,732
3,874
18,659
3,579
6*298
1,590,597
1,380,001
3,834,289
59,304
125,772
229,968
470,901
303,604
175,779
300,192
289,973
,108,099
15,967
189,993
531,593
753,371
1,000,598
1,101,492
1,218,714
1,243,660
1,214,227
4,378,603
1,380,711
171*452
,499,817
i, 779, 511
1,936,898
185,144
200,064
191,301
34,830
6,147
4,348
212,639
305,609
57,185
73,433
375,247
951,333
14,178
25,858
39,736
319,039
766,292
340,975
153,978
6,639
11,063
194,330
,942,710
time of filing — Continued
Returns by t^-pe of ta3:payment — Continued
declaration
Adjusted gross :
Grand total.
$15,000 under $20,000.
$20,000 under $50,000.
$50,000 under $100,000
$100,000 under $500,00(
$500,000 under $1,000,1
56,657
102,095
138,710
123,538
99,719
89,031
282,789
153,516
258,983
43,565
Nontaxable returns,
Under $600
$600 under $1,000...,
$1,000 under $2,000. ,
$2,000 under $3,000. ,
5,898
9,997
3,775
5^419
60,567
71,631
76,720
72,083
334)589
291,686
1,157,449
640,612
458,251
54,100
Returns under $5,000
Returns $5,000 under $10,000...
Returns $10,000 or more
See text for "Description of the Sample and Limitations of the Data" and "Explanation of Classifications
Estimate is not shown separately because of high sampling variability. However, the data are included i
NOTE: Detail may not add to total because of rounding.
28,547
34,179
38,132
declaration
427,080
256,063
136,805
70,128
103,311
77*762
153,854
32,749
15,731
5,234
9,495
29,282
28,652
21,439
15*678
Returns by type of taxpayment
16,297
15,438
9,807
8,629
7^297
10,869
7,029
18,751 2,709
43,475 2,205
29,125 2,011
Payments
declara-
SECTION 2
Personal Deductions
(Exemptions, Standard Deduction, Itemized Deductions)
TABLE CONTENTS
Text Tables
K. Number of exemptions by type, 37
L. Number of returns and amount of deduction by form of deduction and by
adjusted gross income classes. 38
M. Total itemized deductions; 1961-1964. 38
N. Returns with deduction for medical expense by adjusted gross income
classes. 39
O. Deduction for taxes by types of tax and adjusted gross income classes,
P. Returns with home mortgage interest dedu
1 amount of deduction by size of deduction
i -. At
Number of returns and
( adjusted gross income
ic Tables
Characteris
indard deduction: Adjusted
exemptions, deduction, and
3 of returns with minimum st:
gross income, selected sources of income,
tax, by adjusted gross income classes, 43
Returns with standard deduction: Sources of income and loss, deduc-
tions, exemptions, taxable income, and tax items, by adjusted gross in-
come classes, 47
Returns with itemized deductions: Sources of income and loss, deduc-
tions, exemptions, taxable income, and tax items, by adjusted gross in-
come classes, 50
Returns with standard deduction: Adjusted gross income, exemptions,
taxable income, and income tax after credits, by adjusted gross income
classes and by marital status of the taxpayer. 54
Returns with itemized deductions: Adjusted gross income, exemptions,
taxable income, and income tax after credits, by adjusted gross income
classes and by marital status of the taxpayer, 56
Itemized deductions as a percent of adjusted gross income: Number of
returns and amount of deduction by adjusted gross income classes.
For 1964, individuals deducted from adjusted gross
income exemption allowances of $112.4 billion, itemized
deduction allowances of $46.8 billion and standard deduc-
tion allowances totalling $20.2 billion. These amounts
represented increases of 2.0 percent, 1.7 percent, and
53.6 percent, respectively, over 1963.
EXEMPTIONS FOR TAXPAYERS' DEPENDENTS
NUMBERED 74. 7 MILLION
Table K shows that a total of 187.3 million exemptions
were reported on the 65.4 million returns for 1964. Total
exemptions included 104.8 million for the taxpayers, 74.7
million for their dependents, 7.6 million for taxpayers
who were age 65 or over, and almost 107,000 for tax-
payers who were blind.
Exemptions for taxpayer and spouse increased by 2.1
million over 1963. Exemptions for dependents increased
by 1.2 million, and exemption for age and blindness in-
creased by 406,000 over 1963.
No detailed data on exemptions are included in this
volume; however, many recent reports in this Statistics
of Income series contain detailed exemption information
by size of adjusted gross income. See, for example, table
22 in Statistics of Income— 1963, Individual Income Tax
Returns.
Table K.— NUMBER OF EXEMPTIONS BY TYPE
[Taxable and nontaxable returns]
Type
of exemptions
Number of
exemptions
.5,375.001
ia7,253,4o9
Taxpayer's ex
Taxpayer an
Age 65 or o
65,375,601
65,375,601
'103; 973
31,639,059
104, 814, 463
'""'
Dependent's e
74,695,776
^
Data" and "Explanation
STANDARD DEDUCTION TOTAL INCREASES 54
PERCENT WITH INTRODUCTION OF MINIMUM
STANDARD DEDUCTION
The standard deduction was reported on 38 million
returns in 1964 and the amount claimed totaled $20.2
billion. These figures represented increases of 7.7 per-
cent and 53.6 percent, respectively, over the 1963 levels.
Returns claiming a standard deduction in 1964 constituted
58.2 percent of all individual returns compared with 55.3
percent in 1963. The upward movement in this proportion
in 1964 reversed a long term trend and was the result of
the introduction of the minimum standard deduction
provision.
The Revenue Act of 1964 provided for a minimum
standard deduction as an alternative to the 10 percent
method of calculating the deduction already in effect.
The minimum standard deduction was $200 ($100 for
married persons filing separately) plus $100 for each
allowable exemption. This deduction, like the regular
10 percent standard deduction, could not exceed $1,000
($500 for married persons filing separately). The tax-
payer had the option to elect whichever method afforded
him the most benefit. However, indications are that
some taxpayers elected the more familiar 10 percent
deduction when the minimum standard deduction would
have been greater.
Table L shows that taxpayers on 23.5 million returns
elected the minimum standard deduction totaling $10.6
billion. The remaining 14.5 million returns showed tax-
payers using the regular 10 percent method which
amounted to $9.6 billion. As was expected, the majority
37
38
INDIVIDUAL INCOME TAX RETURNS FOR 1964
(Taxable a/,d nontaxable
returns)
itemized deductions
Adjusted gross income classes
"-r.nf
deductions
(Itemized
s£ard,
Number of
Total
deductions
(1)
(2)
(3)
(4)
j^^
165,375,601
66,989,908
26,909,591
46,632,084
120,893,892
12,100,040
22,904,054
9,477,614
8,654,418
8,457,232
26,493,166
23,385,092
4,225,498
13,064,645
7,239,838
1,894,084
4,435,899
$10,000 or more
21,151,276
Returns with
standard
10 percent
deduction
"s^Lfded^cUr
Adjusted gross income classes
Number of
Total
deduction
Number of
Total
minimum
standard
deduction
dolU,,)
(5)
(6)
(7)
(8)
14,501,045
9,579,924
23,532,648
352,042
3,863,092
8,045,135
2,237,776
70,438
1,533,739
5,741,931
2,233,816
17,729,924
4,011,450
1,791,274
6,689,897
1,400,408
See text for "Description of the Sample and Limitations of the Data" and
"Explanation of Classifications and Terms."
^Includes 432,317 returns with no adjusted gross income which were consi
have no deductions.
NOTE: Detail mi/ not add to total because of rounding.
(75 percent) of returns with the minimum standard de-
duction had income under $3,000.
Table 13 presents some other characteristics of tax-
payers who used the minimum standard deduction. For
example, 85,2 percent of their adjusted gross income was
salaries and wages and 6,7 percent was business and
farm income. Forty percent of the minimum standard
deduction returns were filed jointly, a much lower pro-
portion than that for all returns. About 10.6 percent of
the minimum standard deduction returns had an addi-
tional exemption for age.
Detailed income and tax data classified by size of
adjusted gross income are presented for standard deduc-
tion returns, using either method, in table 14,
ITEMIZED DEDUCTION RETURNS DECLINE
Table M shows that itemized deduction returns de-
clined by 1.2 million from 1963 to 26,9 million for 1964.
This decrease was due to the introduction of the new
Table M.— TOTAL ITEMIZED DEDUCTIONS: 1961-1964
f»J»«K/0
Returns wl
h itemized
deductions
Number of
of all
Adjusted
income
Total deductions
Income year
Percent of
adjusted
gross
(1)
(2)
(3)
(4)
(5)
(6)
1961
61,499
63,943
26,451
28,154
26,910
42.2
41.2
212,754
233,115
244,070
38,391
41,661
46,832
19.6
1963
1964
19.8
minimum standard deduction which gave certain low in-
come taxpayers who had itemized in previous years a
bigger deduction for 1964. A rough estimate of the magni-
tude of the shift from itemized to standard deduction
would be 2.5 million returns. This figure was derived
by adding the 1.2 million decrease in itemized returns
from 1963 to 1964, to the average year to year increase
of 1.3 million itemized returns during the period 1959-
1963.
Total itemized deductions of $46.8 billion for 1964
increased by only $779 million over 1963. Chart 3 com-
pares the major types of deductions for 1964 and 1962.
Detailed itemized deductions were not tabulated for 1963,
Chart 3.-ITEMIZED NONBUSINESS DEDUCTIONS, 1964 AND 1962
Billion dollar
Detailed income and tax data classified by size of ad-
justed gross income are presented for itemized deduc-
tion returns in table 15, Table 18 presents a distribution
of itemized deduction returns classified by the ratio of
deductions to adjusted gross income (computed for each
return). The table is divided into five parts: one each
for total deductions, medical and dental expense, taxes
paid, interest paid, and contributions.
MEDICAL DEDUCTION EXCEEDED $7 1 BILLION
Table N shows that individuals who itemized their
deductions claimed $7.1 billion of deductions for medical
and dental expenses on 16.7 million Form 1040 returns
for 1964. This deduction resulted after certain limita-
tions were applied to the expenditures (see explanation
below).
A deduction for unreimbursed medical and dental ex-
pense was allowed, with limitations, to taxpayers who
itemized these expenses on Form 1040. A supplementary
schedule, Form 2948 "Medical and Dental Expense
Statement," was available for taxpayers to record ex-
penses and compute the deduction. The column headings
INDIVIDUAL INCOME TAX RETURNS FOR 1964
39
Table N.
—RETURNS WITH DEDUCTION FOR MEDICAL EXPENSE BY ADJUSTED GROSS INCOME CLASSES
Returns with deduction for medical and dental expenses
Number of
Adjusted
Sross
Total
dental and'
drug
expenses
Medical, dental, and drug
deductions for persons in
Group I
Deductions for per
sons in Gro
up n
deduction'
and drug
Drug deduction
Number of
Adjusted
gross income
Number of
Adjusted
gross
rTTn/und
_........„.
Number of
Adjusted
gross
income
Amount
Aillmrm)
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(10)
(11)
(L2)
Grand total
16,705,«3
132,104,789
7,095,325
2,634,214
24,349,139
2,053,664
14,167,463
109,540,948
5,036,669
8,271,027
59,501,903
411,604
Taxable returns, total
1,300,363
1,920,946
1,801,704
1,499,839
1,134,617
2,465,077
403^210
43,248
13,131
208
,.6?,534
6,000,444
1,912,165
22,239,597
1,391,393
13,423,235
106,993,997
4,609,050
7,795,702
57,395,6i0
367,010
6,343
-,,545
j^«l)690
6,824,200
9,924,645
12,484,259
13,505,729
12,706,898
10,749,848
29,229,280
9,312,864
11,270,193
3,195,632
2,198,339
260,417
414,537
62^044
196,022
370,831
622,994
638,389
616,279
540,035
418,688
1,052,998
348,895
106|016
39,256
1,556
33,38i
139,147
209,057
231,044
212,639
176,787
140,453
120,531
76,911
249,183
112,121
162,396
36,095
11,816
386
205
60,235
357,163
741,989
1,041,057
1,174,(>;7
1,150,131
1,049,540
1,017,931
3,017^738
1,932,433
4,853,531
2,423,136
2,008,448
256,105
409,768
7,170
42,373
90,582
U4,746
117,292
100,778
38,833
87,735
56,802
214,287
117,081
241,841
76,L24
33,414
1,495
340
6,774
240,762
565,045
912,278
1,285,135
1,597,278
1,752,516
1,671,258
1,387,711
1,063,010
2,237,962
U3,233
246,225
1^411
3
6,343
334,493
1,440,157
3,225,993
5,308,743
8,803,037
u',5y.',i2(,
11,764,028
10,069,030
25,433,733
7,514,002
6,554,170
803,529
204,841
4,308
1,070
54,875
153,649
280,251
407,665
505,702
527' 440
452,301
361,833
838,712
220', 266
29,891
5,841
13
3,171
154,663
387,545
512,099
842,695
985,879
1,046,844
805^507
579,915
1,131,320
189,890
85,476
1,970
155
2,918
247,543
934,018
2,165,368
3,805,922
5,435,477
6,799,023
7,263,047
6,824,220
5,491,698
13,331,197
3,215,858
2,182,884
123,910
22,557
25,955
$3,CXX) under $4,000
38,191
53,543
48,955
39,978
$9,000 under $10,000
22,010
8,651
4,700
$100,000 under $503,000
13
$1,000,000 orniDre
Nontaxable returns , total
4,636,205
1,094,831
722, «8
2,109,542
667,266
744,228
2,546,951
427,619
475,325
1,606,268
44,594
18,206
56,778
347,213
299^619
174,285
189,375
6,414
47,360
533,541
935,143
1,033,060
771,405
1,309,282
3,458
23,026
176,361
240,142
226,934
154,539
265,371
18*646
190,434
229,927
157,289
48^258
4,122
300,882
572,296
540,491
387)350
5,308
11,525
103,268
161,086
142,987
1571307
6,271
38,132
157,480
1A8,Z30
142,935
109,345
2,292
32,290
233,360
370,775
494,4^
484,833
923,461
3,150
11,502
73,094
79,056
83,995
69,255
107,567
3,956
21,460
100,495
98,171
95,175
73,213
82,855
1,406
18,147
150,928
245,740
324^671
537,182
470
1,594
9,799
$3,000 under $4,000
l',13S
4,880,676
8,335,496
3,489,469
16,342,866
60,466,911
56,095,012
1,981,890
3,045,636
2,067,798
1,286,433
770,708
577,073
3,922,636
5,390,914
15,035,589
764,330
566,717
727,617
3,612,387
7,606,818
2,948,258
12,484,224
55,383,821
41,667,903
1,217,562
2,478,925
1,340,182
2,392,643
4,466,068
1,412,316
8,274,355
32,301,570
13,925,433
160,113
Returns $5,000 under $10,000
Returns $10,000 or more
204,025
47,466
Data" and "Explanation of Classifii
in table N conform generally to the language of Form
2948 (a facsimile appears in the back of this report).
Persons in Group 1 included (1) taxpayer and wife if
either was age 65 or over, and (2) each dependent parent
of the taxpayer who was age 65 or over. Persons in
Group II included (I) taxpayer and wife if both were
under age 65, (2) dependent parents under age 65, and
(3) all other dependents regardless of age, A return was
classified in both Group I andGroupllif the taxpayer had
deduction for expenses related to persons in both
categories.
Returns with deduction of expenses for Group I indi-
viduals numbered 2.6 million and showed a deduction
totaling almost $2.1 billion. Prior to 1964, the deduction
for Group I included expenses for drugs (and medicine)
only to the extent that they exceeded 1 percent of adjusted
gross income. All other medical and dental expense was
allowed in full as a deduction for Group 1. The Revenue
Act of 1964 removed the 1 percent floor on medicine
and drugs and allowed a full deduction for all such
expenses.
Returns with deduction of expenses for Group II indi-
viduals numbered 14.2 million and showed a deduction
totaling $5.0 billion. The 1 percent floor on drug ex-
pense still applied to Group II. In computing the deduction
for Group II, a taxpayer added the drug expense in excess
of the 1 percent floor to the other medical and dental ex-
pense and reduced the sum by 3 percent of adjusted gross
income. The remainder was the deduction for Group II.
The computed medical expense deduction was subject to
maximum dollar allowances based on the total number of
exemptions other than those for age and blindness. The
maximum was $5,000 per exemption but not more than
$10,000 for individuals taxed as single taxpayers and
$20,000 for other taxpayers. However, disabled taxpayers
over 65 were each eligible for a maximum deduction of
$20,000.
TAXES PAID MOST FREQUENTLY REPORTED
DEDUCTION
Over $14 billion of State and local taxes paid were
deducted on 26.6 million Forms 1040, which represented
98.7 percent of the itemized deduction returns for 1964.
Although the Revenue Act of 1964 disallowed a personal
deduction for State cigarette and tobacco taxes, automo-
bile and driving license fees, alcoholic beverage taxes.
Chart 4. -PERCENTAGE DISTRIBUTION OF TAXES DEDUCTED,
BY TYPE OF TAX, 1964
property All c
General and local
DEDUCTION FOR TAXES PAID J14.1 BILLION
40
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 0. —DEDUCTION FOR TAXES BY
TYPES OF TAX
AND ADJUSTED GROSS INCOME CLASSES
Taxes deducted
Total
Real est te taxes
General sa
les taxes
Adjusted gross income classes
Number of
Adjusted
Amount of
taxes
Amount
Number of
Amount
(1)
(2)
(3)
(4)
(5)
'•■'>
'")
^^^^^^^
26,558,769
14,070,330
19,365,510
6,050,339
,,-,lB,OQl
24,828,613
236,991,343
13,447,613
18,093,967
5,660,606
,:,S35,359
10,133
333,470
915,702
1,517,006
2,066,179
2,624,571
2,900,160
2,345,890
2,464,484
1,940,935
4,713,024
1,204,625
1,092,998
153,911
34,012
1,052
461
9,134
547,195
2,340,238
5,373,440
9,333,603
14,470,783
18,857,916
21,335,047
20,893,353
18,395,018
56,241,259
20,516,192
31,348,137
10,128,065
5,554,841
944*741
40,S 1 ^^'^°
156,299 376,153
329,092 704,803
549,049 1,108,705
837,226 1,654,235
1,096,241 2,093,249
1,247,534 2,203,960
1,211,037 2,003,872
1,062,132 1,643,298
3,202,159 4,070,199
1,159,076 1,032,752
1,684,069 919,176
522,387 129,272
284,016 28,407
30,179 879
36,482 337
17,488
67,397
222U15
346,956
478,377
557,783
434^534
1,431,059
639*747
155,415
4|696
4,257
276|797
761,615
1,259,492
2,220,088
2,435,986
2,379,059
2,093,768
1,665,053
4,057,578
1,044,765
948,635
134,336
29,516
390
191
9,387
35,673
li'ooo ""d^"^ |4'000
78,326
195,773
239,206
262,050
219,787
635,339
200,134
43,948
14,470
637
1,730,156
1,276,712
82,642
25,357
73,411
398,828
428,250
355,675
201,736
246,899
8,812
61,695
611,025
l,066,&i.6
1,225,092
393,613
1,847,610
15,261
99,54s
130,498
127,377
161^735
17,500
52,006
275,526
303,528
257,609
201; 273
4,691
10,919
70,063
86,051
13,234
41,344
267,111
2771323
562
1,522
10,708
$3^000 under $4,000
$4,000 under $5,000
$5,000 or more
19,234
12,829
21,134
6,330,747
13,003,716
7,224,306
21,475,493
95,354,647
125,375,696
1,536,557
5,573,449
6,960,825
9,790,444
6,195,515
zM'-^^v
X^J^^'M
314,044
Returns $5,000 under $10,000
Returns $10,000 or more
1,186,636
1,117,321
Taxes deducted— Continued
State and local income
taxes
Personal property taxes
State and^l^
cal gasoline
All other
Asjusted gross income classes
Number of
Amount
Number of
Amount
Number of
Amount
'r.->
(8)
(9)
(10)
(11)
1.12)
(13)
(14)
^^^^^^
15,874,924
2,862,151
7,930,545
397,«!5
22,459,744
1,573,625
569,225
15,417,940
2,-819;348
21,391,333
537,812
2,721
129,535
394,146
736,678
1,144,929
1,506,878
l|812;061
1,623,091
1,296,498
3,238,276
350,676
770,626
107,383
24,007
737
2,371
10,557
28,172
90,626
128,422
159,356
168,431
155,480
577,307
297,542
649,259
273,495
172,303
20,760
68,778
201,275
358,855
532,819
747,654
362,704
878, 2X
784,176
600,290
1,582,816
416,661
337,666
55,973
185
1,574
5,260
10,830
13,163
25,215
32,718
34,554
35,286
26,933
86,884
23,249
43,003
14,838
10,863
174,448
575,856
1,085,089
1,609,415
2,221,270
2,537,261
2,592,145
2,273,979
1,806,601
4,383,478
1,068,057
372,149
111,813
23,770
677
7,635
30,137
62,245
98,414
144,004
174,435
183,706
165,757
138,694
350,422
35,728
64,135
8,629
'l65
87
14
6,761
34,679
43,008
36,738
121,161
44,450
2,253
3,446
Nontaxable returns, total
456,984
1,068,411
57,015
3,738
81I547
102,005
99,472
244
531
3,472
5,087
5,001
4,497
20,918
80,103
109,005
103,009
49,965
76,100
2,269
4,285
4,410
2,092
6,030
3,152
194^572
256,353
249,839
149,190
181,885
362
8I2SO
12,804
13,455
8,640
12,428
626
868
5,601
5,022
3,752
8,099,222
713,150
2,030,389
3,942,487
2,463,331
158,322
189,799
4,331,334
11,656,525
243,018
818,150
512,457
214,349
Ret $ ,
23S,526
NOTE: Detail may not add
and certain miscellaneous excise taxes, the taxes paid
deduction for 1964 increased 7.9 percent over 1962.
Chart 4 presents a percent distribution of taxes paid
by type of tax. Table O shows the number of returns
with, and amount of taxes paid by type of tax and by
income classes. The types of tax are described below.
Real estate
The largest portion of the deduction for taxes, 43.0
percent, was taxes imposed upon real estate, amounting
to almost $6„1 billion. This deduction was reported or
72.9 percent of the returns with taxes deducted.
General sales
Over 84 percent of the returns with taxes deducted
showed an amount of State and local retail sales taxes.
The deduction, amounting to $2.6 billion, was 18.6 per-
cent of total taxes paid.
State and local income
The deduction for income taxes imposed by States, and
by political subdivisions thereof, amounted to about $2,9
billion, or 20,3 percent of total taxes. Almost 71 percent
of this deduction was reported on returns with income
$10,000 or more.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Personal property
Only 2.8 percent, $397 million, of taxes deducted repre-
sented State and local ad valorem taxes on personal prop-
erty imposed on an annual basis.
State and local gasoline
Almost $1,6 billion of non-Federal gasoline taxes were
reported on 22.5 million returns. This was the most fre-
quently deducted tax, being claimed on 84.6 percent of all
returns with taxes deducted.
All other
The remaining 4.0 percent of taxes deducted, $569
million, included State transfer taxes (incurred in the
production of income), foreign taxes paid (if not claimed
as a tax credit), and any amounts of taxes not specifically
identified. All taxes related to a taxpayer's trade or
business were deducted on schedule C or F.
Table P.— RETURNS WITH HOME MORTGAGE INTEREST DEDUCTION
NUMBER OF RETURNS AND AMOUNT OF DEDUCTION
GROSS INCOME CLASSES
BY SIZE
OF DEDUCTION AND BV ADJUSTED
Number of
returns
mortgage
deduction
Amount of
deduction
Size of deduction
Adjusted gross income
classes
Under $50
$50 under $100
$100 under $200
$200 under $300
$300 under $400
$400 under $500
Number of
Ajoount
Number of
returns
Amount
Number of
Amount
T.Z.f
r T).o„.^d
Number of
returns
Amount
"T.Z.f
Amount
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(10)
(11)
(12)
(13)
(14)
Grand total
12,947,834
6,391,183
360,230
9,982
528,515
39,632
1,481,890
225,419
1.688,459
419,744
1,638,838
590,327
1,662,924
746,035
Taxable returns, total
12,404,173
6,115,135
339,883
9,341
500,093
37,539
1,416.298
a5,5ii
1,623,462
403,744
1,619,019
566,363
1,595,476
715,838
135,649
330,731
636,230
ll 526^610
1,612,302
1^246^434
3,021,769
696,599
490,307
44,781
7,123
203
33,669
96,630
211,749
403,079
627,242
717,736
726,844
635,658
1,714,537
485,875
403,044
3,341
373
15^261
25,903
35,271
47,630
44,237
39,336
30,215
23,311
52, (»0
170
708
970
1,400
1,200
1,080
890
1,385
297
5,724
20,372
30,258
49,979
76,204
65,557
70,156
42,328
32,064
78,948
16,940
10,403
1,C13
142
379
1,493
2,225
3,790
5,580
5^272
3,302
2,435
5,965
1,274
765
13
10,491
69|005
119,991
177,925
211,730
133,813
164,604
119,659
43)313
23,619
298
1,571
10^215
17,850
27,695
27I773
25,393
18,142
38,051
6,725
4,315
340
1
Ij 24,122
70,799
113,632
186,024
244,482
231,429
199,568
144,822
312,988
59,671
32,368
2,701
5
5,814
17,334
28,162
46,593
60,482
57.976
49.635
36.038
14l840
8,200
676
1
49,157
97,588
170,215
243,108
232,491
218,541
152,255
58)874
35,003
2,806
6,744
16,939
33,912
59,100
84,797
81,837
76,839
53.368
118.815
20.640
12,188
982
36,905
37, Ul
154,112
212,113
223,621
226,360
169,901
64,'556
39,515
"12
68,931
$6,000 under $7,000
95,498
$9,000 under $10,000
$5o'oOO under $100,000!!;!!;
$100,000 under $500,000
$500,000 under $1,000,000...
$1,000,000 or more
76,751
163,994
29,001
17,748
1,410
Nontaxable returns, total
543,661
276,048
20,347
641
23,422
2,093
65,592
9,908
64,997
16,000
69,819
23,964
67,448
30,147
Under $600
6,236
16,533
72,577
106,269
116,433
88,782
136,831
2,923
25*496
45,181
55,025
47,130
95,090
1 -•
6,807
307
272
145
8
} 2,322
I 6,908
6,U0
7,320
l| 5,762
453
552
436
2,742
17,152
16,958
14,972
2,651
2,550
2,135
969
1,157
3,141
10,937
14,632
12,653
12^434
793
2,715
3,581
3.079
3'. 088
2,625
9,400
13,460
13,426
16,889
3.154
4,589
4,829
4.610
2,902
6,425
13,955
14,225
13,531
16,410
2 866
6,352
6,053
Ret d $5 000
7A4liu.6
4,269,036
3,194|363
2,669,034
135^032
74,015
5^226
1,913
131,097
289,912
107,506
9,717
21,817
8,098
291,710
865,224
43,385
132,524
49,510
261,116
1,018,344
64.222
253,706
219,230
1.032,429
75,726
361,446
153,155
183,197
1,002,053
83,955
Returns $5,000 under $10,000..
Returns $10,000 or more
449,525
212,555
Size of deduction— Continued
$500 -orider $600
$600 under $700
$700 under $300
$800 under $900
$900 under $1,000
$1,000 under $2,000
$2,000 or more
Adjusted gross income
classes
Number of
Amount
Number of
returns
Amount
Number of
Ancunt
Number of
Amount
(•n.o„.»d
Number of
returns
dolttr,)
Number of
returns
don.r.J
Number of
fn>n,.md
(15)
(16)
(17)
(18)
(19)
(20)
(21)
(22)
(23)
(24)
(25)
(26)
(27)
(28)
Grand total
1,458,054
798,781
1,183,090
769,388
935,000
698,721
662,460
560,342
416,515
393.397
840.339
1.043.134
36,523
Taxable returns, total
1,404,152
769,287
1,144,419
741,081
397,320
670,430
636,196
533,066
398,315
376.679
796,350
933.239
32,688
82,915
Under $1,000
1 7,089
22,531
54,505
112,483
130,020
220,896
183,447
159,264
351,915
67,050
41,270
3,183
486
10
3,852
12,322
29,349
98*643
121,227
100,715
193,059
36,760
22,603
266
5
12,272
38,518
76,906
141,142
167,954
155,058
131,139
313,339
61,262
39,338
405
7,923
24,874
49,741
91,251
108,653
100,258
203,234
263
6,921
17,930
47,055
92,658
m,049
123,268
124,177
12',?fl
35,693
2,967
457
10
5,109
13,533
34,337
68,847
82,859
91,968
93,222
209,798
41,031
26,703
2,223
342
(1 16,559
23,195
48,428
60,346
93,130
50^574
367
13,915
19,6C»
40,924
50,953
73,684
71,327
190,378
42,791
26,988
2,171
312
9
(j 2,952
V 4,440
10, 227
16.735
27.200
48.810
50.632
156,324
48,864
29,552
2,229
343
4.231
9.647
15.929
25.619
46.138
47.700
147.750
46,327
28,099
2,114
325
5.263
15.602
26,093
42,412
44,016
54,277
293.122
153.144
142,126
14.201
2.186
69
29
5.210
6.128
18.183
31.479
51.067
51,444
62.374
353,075
194.096
191.399
20,044
3,099
100
2,705
4,566
5,222
15,CB8
3,953
1,079
16
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000
$500,000 under $1,000,000...
$1,000,000 or more
U,128
37)348
11,295
3,748
Nontaxable returns, total
53,902
29,494
43,671
28,307
37,680
23,241
26,264
22,276
18,200
17,218
43,489
54,395
3,835
12,872
6,535
U.,931
11,189
9,970
3,634
6,537
6,121
5,367
)
5,350
UA03
9,248
10,506
3,796
4,514
7,207
6,000
6,790
2,327
5,833
6,611
7,396
15,013
2,130
4,405
4,937
5,519
11,250
1,827
3,713
4,620
5,162
10,942
1,525
3,ni
3,944
4,375
9,321
4,229
5,817
3,385
4,769
3,954
5,499
3,200
4,565
j l,lt»
3,214
4,486
7,677
6,238
20,765
1,481
4,399
5,708
9,311
7,574
26,422
1 :
( 3,335
$5,000 or more .
123,800
869,709
464,545
67,182
476,817
254,782
88,164
682,123
417,303
57,038
441,462
270,838
512^747
374,685
35,633
382,626
280,462
31,881
319,357
311,222
26,870
269,934
263,538
20,823
153,140
237,552
149^375
224,845
32,292
200,915
607,132
765)402
(^)
(^)
Returns $5,000 under $10,000..
Returns $10,000 or more
included in the .
245-158 O - 67 ■
42
INDIVIDUAL INCOME TAX RETURNS FOR 1964
DEDUCTION FOR HOME MORTGAGE INTEREST
ALMOST $6. 4 BILLION
Of the $12.5 billion interest paid deducted for 1964,
over 50 percent was for home mortgage interest. Sixty
percent (12.9 million) of the returns with any interest
deducted showed home mortgage interest.
Table P presents a size distribution of the home
mortgage interest deduction by income classes. The
average (mean) deduction was $494. Returns with income
under $5,000 showed an average deduction of $343, while
those in the class $5,000 under $10,000 had an average
deduction of $447. In the income class $10,000 or more,
the average rose to $625.
Home mortgage interest deducted included such items
as (1) interest paid by a tenant-stockholder on his portion
of indebtedness of a cooperative apartment, (2) interest
paid by a condominium apartment owner allocable to his
share of the property, and (3) redeemable ground rents
paid or accrued.
e i
II! II
IIP*'
I ^2 s :
lis 1^
^11 p
III IT
III Ji
lisl I?
:SS8g slsss
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Sissp KftS^^ 3
ssliS sr|s3 I
>t<n^ojt^ (D f-i n o n^
3S§S S " I
:RiSS8 SSSS3 S
t.s2:jf; °"."Si_s s
a § § H K 3 a_s
gagSg 35fS§
iiiii lii^"
l\¥3. 3pJ.
gSgS3 gSSg
fSIss s 3
ssss?
iii^i Hi s:
11
mil
llIlT
Ill'
if?i=
IplI
•III!?
p_S§3 aiiii s
!_3?J3S ^.^.e^.m" S
"aS5s sS^"*-^ 3
'SSSS EiqiS-"™
S5H2 spssS 3
^5Sa S5
sisSS SS §
assy's ^■'^'
g§l3§ S5g i
^r~^o«S r->j>j- n
|||r"s s""""
sslis |3^ ^
3g:sss s;S §
sgsas 33'-"'
SoSSS mS
ass-s. s-asas
§!§§§=
I 31111 mil : iiill mm
I Jsiii §§§§§ i Il§§§ §iii§§
I i
m& ifeiaS. I
Kuzs ag-fess-u
i4a.a *ss.fes.s
I I 51111 11111 : ||iii 111111
-''- s |i§§§ §§§!§ I |o§§§ iiiiii
INDIVIDUAL INCOME TAX RETURNS FOR 1964
li
I i
i
11
.si?
*" 3 S I ^
lnii
S " s I*
III 1^
'iSsR Issss
'tntoo^Ri "°;S3S''
'SSJJ, §J.^.R^. 3
:S I 3
S 38 3 §
S S3 2 S
".5.°° ~^.°J
IIP. ikAki 3
rH S cv mfS f^i W O >r>
SInoyDrH £>t>m
gs"3§3 g'sS ■""
to fn 3 o Ti QO m r>j g TO
Svoc^tooi oJr-cM^
|SSS| 3Sg3 §
;?K ssss a
^ 1 §
ass-s ^fessu
lasa- s&fesss
I °-iiii mil : pill mill
s saas* »«.&»s- s g*^aa is^fess.
§ Si
lis]]
I 2-^1 -I
|s|l?
Illli
j|ll
il^i
nil?
ilin
lliJi
SSoS 23qS n
iiH 38S8 §
'Sss? kSs S s
'§3^0 ^^^§^ S
°S>'S S3-- S
'IssS §S?:
Sals 3i§H S
SSS3 3SS S S
3S SEi-° " S
sa" 5?ci»o; ^
iiiS 5s§?5 s
g3§SS SS
|gS3| gS3 S
spssi ssS §
nUs Sss s
sSasR ^o ^
gssp. II
3S_3_S3_ SssJ
3 i Ijlll lljll I ,,, _^^^_
^ » !§§§§ §§§§§ I s|§§i §§§§§§
INDIVIDUAL INCOME TAX RETURNS FOR 1964
IIJ:
nil!
Ill d«
If
il
1,2 §
II
36Hs S I ' ' i
SS£SS S S
'IH
3SS 3
3H_6s 8 3 ' ' i
g '
p^sSs S
sSSss
:IIS"
8|S§S
si
|H>
II 1^
ills?
nw
SS"S£ ■""
§S3ig 8
!lH§ I
!RS 3
H§3 S ■ '
i^a* ssfesau
;3 ^. :»3*S ^feSiS-S- I
I I |llli Hill I pill llllll
I Is
Iss
ifess ? ISuaa i&isi£i
1 s °-iiii mil I §1111 llllll
6 » lilii §§§§§ • Il§§§ §§§§§§
INDIVIDUAL INCOME TAX RETURNS FOR 1964
3 S 8 1 =
■HI e^
.Rg§
^.S IT
1^1 J I
111]?
a §si I
Sg " 8
s Ssl 3 i '
3sS §
s I IIJIl jllll f ijjil Ijllll
^ ^ !§§§§ §§§!§ I Tliii §§§§§1
111:
IlIJi
^2S s :
■ 3 s
3 a
5 I
ddii ii&&A I
=»a* ssfeaas
I |iiii iiiii I i|iii iiiiii
Idi^i am I l**sis isifesia
I?
°^
1 1 i
s: 1
3s 2
11 i
la '^
1-^.° i
Table 14.— RETURNS WITH
INDIVIDUAL INCOME TAX RETURNS FOR 1964
EXEMPTIONS, TAXABLE INCOME, AND TAX ITEMS,
Adjusted gross income
D-isiness or professii
Grand total.
Taxable returns, total.
507,507
,909,383
3,283,510
3,445,931
3,276,598
2,829,333
1,072,746
1,867,157
248,810
154,141,953
121,095,292
3,023,712
3,206,897
3,079,417
104,152
250,469
387,682
479,983
1,229,250
617,837
739,454
67,820
8,049
19,351
IB, 229
11,950
9,119
19, 195
2,293
2,497
1A2,760
204,328
256,525
253,595
216,719
227,030
Under $600...
$600 under $1,
$1,000 under i
$3,000 under :
Returns under
11,736,-
2,497,(
1,264,468
1,9M,950
3,574,195
3,731,719
2,620,874
1,753,077
1,229,197
.,14A,061
.,436,305
:, 134,387
,592,517
,061,601
.,469,840
890,829
56,053,084
68,733,029
29,355,841
297,065
271,8f
172, o:
92,724
92,856
50,300
86,590
264,289
240,582
280,093
59,177
35,636
196,0
68,675
31,968
1,605,162
1,160,520
725,650
369,906
162,198
40,744
410,387
174,771
87,412
Adjusted gross
Ordinary gain from
sales of depre-
ciable property
) under $3,000.
I under $4,000.
1 under $5,000.
■ $10,000. .
^r $15,000.
:r $20,000.
r $50,000.
:r $100,000
126,602
136,094
121,570
134,345
115,801
111,<
1,020
12,742
13,004
17,748
24,658
27,000
25,572
25,269
30,976
22,515
64,376
17,010
2,012
2,874
4,049
7,035
5,435
10,723
3,152
3,335
3,524
3,629
4,225
2,919
2,516
3,923
5,339
1,599
2,036
1,519
$500,000 under :
254,724
163,132
U 1,864
8,391
6,354
10,386
192,077
112,356
47,141
473,478
431,007
756,595
3,936
2,919
8,161
5,951
34,656
25,319
17,580
U,272
11,553
IB, 975
40,566
19,430
8,530
"Description of ■
"Explanation of
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Interest receiv.
Pens ions and
(taxable portion}
Taxable retu:
under $2,000.,
under $3,000.,
I under $5,000.,
under $6,000.,
Nontaxable returns,
$600 under $1,000.
203,574
94,227
3,935
206,802
221,038
226,653
554,256
180,550
150, 170
11,951
70,206
13,029
5,879
13 847
8,817
10,369
LI, 239
15,275
8,346
11,122
7,585
8,347
20,307
23,436
5.693
11,099
322
2,762
53
2,132
1,827
1,355
68,853
ll'324
462,767
469, 187
653, M2
355,488
88,420
41,637
3,767,870
3,047,213
1,515,600
198,481
46,920
17,91/;
1,441,973
1,081,094
901,081
,680,381
,619,716
,473,376
$50,000 under :
$100,000 under
$500,000 under
$1,000,000 or 1
$600 under $1,000
$1,000 under $2,0
$2,000 under $3,0
$3,000 under $4,0
$4,000 under $5,0
$5,000 or more...
Returns under $5,00
Returns $5,000 unde
Returns $10,000 or :
101,070
15,818
3,317
85,409
38,567
14,093
719,340
380*773
3,873
8,105
3,074
5,032
320,491
7,353
685,527
54,546
1,415,286
48,315
1,578,623
40,869
24,437
17,356
,459,481
1,322,488
11,423
,183,236
28,196
766,022
711,726
4,520
I 17,659
40,916
70*356
48,927
45,495
108,037
2,395,794
1,420,699
682,762
359,394
,533,156
,733,429
,813,939
crlptlon of the Saaiple and Lijnltations of the Data" and "Explanation of Classifications
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 14. —RETURNS WITH STANDARD DEDUCTI
Tax credits--Contlnued
tax
Tax from recomputed
prior year
investment credit
Self-employment i
Tax withheld
,000 under $2,000..
,000 under $3,000.,
,000 under $4,000.,
,000 under $5,000.,
,000 under $6,000.,
,000 under $7,000.,
,000 under $8,000.,
,000 under $9,000.,
17,032
1A*,944
229,1,
2y,,lt2
173,352
U8,709
114,372
97,657
3,559,1
2,9«,'
3,138,1
$10,0
$15,0
) under $100,000.
751,261
693,295
103,404
36,109
Nontaxable returns, total.
Under $600
$600 under $1,000
$1,000 under ;
■ $3,000.,
$3,000 under $4,000.
$4,000 under $5,000.
457,572
277,973
145,876
67,075
Returns under ;
Retumfl $5,000
Returns $i0,00(
Cash requested
only requested
189,109
189,792
175, 197
46,892
40,635
32, W7
$10,000 under $15, (
$15,000 under $20, (
$20,000 under $50, (
$100,000 under $50(
92,969
351,232
206,471
318,472
50,903
15,572
Nontaxable returns, total.
under $1,000.
00 under $2,00(
00 under $3,00(
,201,940
869,547
500,047
282,471
108,873
125,726
108,134
2,433
1,513
3,077
Returns under $5,000
Returns $5,000 under $10, (
Returns $10,000 or more..
5,859,
5,422,867
1,305,642
See text for "Description of the Sample
^Estimate Is not shown separately becaus
^Negative "Other sources."
NOTE: Detail may not add to total becau
"Explanation of
of high samplln
of rounding.
included in the appropriate totals .
INDIVIDUAL INCOME TAX RETURNS FOR 1964
3le 15. —RETURNS WITH ITEMIZED DEDUCTIONS: SOURCES
BY ADJUSTED
returns
,
Salaries
Business or profession
Fam
Number of
exemptions
gross
Net profit
Net loss
Net profit
Net loss
Number of
returns
Amount
dollar.;
Number of
*ii.r.;
Number
of
Amount
r7h>».d
d.ll.r.;
Number of
Amount
Number of
Z"!
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(10)
(11)
(12)
(13)
Grand total
26,909,591
91,146,029
244,070,130
23,576,612
190,109,102
2,721,257
17,636,158
459,021
735,901
410,739
1,200,753
376,113
765,853
Tameable returns, total
25,009,385
84,774,680
237,951,274
22,637,151
187, 191, 081
2,404,332
16, 854, 618
387,207
543, 833
327,677
1,046,588
326,126
525,378
Under $1,000
:, 1,000 under $2,000
1,2,000 under ! 13, 000
ili^OOO under Is^OOO
15,000 under $6,000
i 16, 000 under ;7,000
17,000 under 18,000
8,000 under 19,000
19,000 under $10,00
;10,000 under $15,0
115,000 under :i20,0(
120,000 under :150,0(
150,000 under $100,
100,000 under $500
1500,000 under $1,0
1,000,000 or more.
J.'.'.'.'.'.'.
0.'.'.'.'.'.
30,000'..
12,270
364,852
947,484
1,548,821
2,088,651
2; 914; 586
2,854,688
1', 945; 996
4,725,342
ll 095^718
154,258
34,128
1,056
12,270
432,966
1,521,141
3,229,468
5,387,034
8,128,575
10,201,354
10,695,583
9,564,831
7,716,527
18,252,032
4, 626, 295
4, 279, 705
597,675
124,056
3,628
11,006
5; 486; 216
9,438,549
14,580,981
16,951,285
21,399,293
20, 920, 221
18,443,156
56,339,667
20, 571, 315
31,427,156
10,151,383
5,574,132
699,724
8,205
7561567
1,303,492
1,837,028
2,422,138
2,738,646
2,704,805
2, 348, 685
1,857,411
4,436,128
IS
665
7,195
402, 603
1,809,492
4,369,842
7,956,386
12,872,755
17,171,400
19,701,460
19,301,496
17,071,135
50,180,437
15,651,904
15, 679, 069
3,567,015
1,160,646
46,739
21,302
35)622
87,298
162,585
210,164
235: WS
217,189
179,998
140,395
403,797
180,711
274,337
35,417
4,529
89
1,522
44,063
162, 224
383,764
612,627
764,442
789,427
805,152
708,594
2,556,465
1,953,967
5,635,122
1,488,922
286,514
10,745
9, 010
3,578
13, 684
24,736
36,533
48:321
39,332
34,918
63,076
20,597
4:664
1,910
129
65
2,953
12,743
19,425
40,376
IS
33,674
26,858
75,335
30,312
87,537
38,035
42,673
6,570
9,589
(M
23)947
35,720
41,480
26)214
21,573
14,278
40,088
16,963
21, 070
3,370
603
22
(')
10,148
35,948
65,790
85,497
85,139
75,985
53,767
51,357
42,413
148,925
109,647
204,157
55,842
20,135
1,075
(■)
3,444
26)622
37,231
40,888
39,236
33,691
17)428
39,365
25)502
6,605
2,496
145
(1)
1,799
12,910
32,355
42,202
42,728
46,238
37,936
27,525
24,895
55,591
34,084
133,328
51,248
52,628
5)295
Nontaxable returns, total
1,900,206
6,371,349
6,116,656
939,661
2,918,021
316,925
761,540
71,614
192,068
83,062
154,165
49,987
141,475
Under $600
1600 under $1,000..
! 1,000 under $2,000
! 12, 000 under ! 13, 000
13,000 under Ik4,000
i 4,000 under ^5,000
(15,000 or more
463^534
468,993
373,473
214,553
257,177
75,362
160,854
990,341
1,342,940
1,381,000
1,4551653
11,317
7071239
1,167,554
1; 286:549
1,919)752
176
214
173
765
322
384
318
360
323
21,563
40,640
239, 206
468, 6U
614,885
482:566
1,050,526
5,557
12,365
75:922
64,704
45,736
6,286
9,191
71,598
142,755
149,556
146,126
256,028
2:537
16:309
14,495
9,090
12,702
6,640
5,596
23)373
29,614
24,107
16,733
2,319
3,226
20)985
15,423
630
1,497
19, 743
28,871
30,670
22,226
50,528
3,222
2,012
u)287
?)g
10,956
5,821
15,220
16,450
23,533
17,322
49,073
Returns under $5,000
Returns »5,000 under $10,000.
Returns ^10,000 or more
6,605,108
13, 064, 645
7,239,838
15,498,615
47,673,301
22,142,299
95,754,638
126, 172, 990
4,941
12,234
6,400
,448
16,413,014
87,030,373
86,665,715
762,288
1,054,773
1,729,712
3,915,376
11, 991, 071
137,643
206,041
115,336
183, 565
208,014
344,323
182,663
144,977
83, 099
301,367
352,594
546,791
163)543
88,229
181,763
200,500
384)568
Pa.-tnersh
P
Sales of capital assets
Ordinary gain from
sales of depreciable
property
sales of
property other thai
assets
capital
Adjusted gross income
Net prorit
Net loss
Net gain
Net loss
Net gain
Net loss
classes
returns
dolUrm)
TZ^'
(Thou^J
Number of
Amount
dollar.;
Number of
dblliraj
Number of
Amount
Number of
Amount
fn«,.«d
Number of
Amount
*ll.,0
(14)
(15)
(16)
(17)
(18)
(19)
(20)
(21)
(22)
(23)
(24)
(25)
(26)
(27)
936,411
8,528,863
273,188
658,727
3,205,192
7,083,505
1,087,829
715,247
103,560
73,842
42,975
46,427
99,737
141,454
Taxable returns, total
670,015
8,359,606
244,924
531, 721
2,663,668
6,720,409
997,351
650,249
90,137
64,689
36,762
37,819
84,814
122,437
5,246
14,100
51,004
52,' 279
160,520
99,133
211,034
47,083
10,262
225
91
(')
5,454
23,930
53, 236
109,491
172,020
221,155
228,113
210,111
169,310
8041092
3,342,314
1,469,116
2l',186
13,806
} 4,813
9^529
13,477
12, 196
17,303
13,842
13,733
49, 592
27,665
56,788
13,576
4,416
224
121
5,394
111 222
8,870
14', 927
12,220
10,695
53,' 750
167,647
77,158
70,514
12,831
U,115
j y!62i
1 82,527
122,175
146,930
190,457
200, 290
186,141
183,386
170,728
650, 249
323,670
480,252
26)574
967
423
(^)
5,360
36,637
62, 652
86,804
114,600
120, 547
129,489
131,776
129,769
574,459
444,027
1,560,488
1,018,096
1,425,762
359,058
518,484
(')
5,212
20,125
52:105
59,531
66,598
72,354
66,161
61,600
225,973
121,211
175,229
30,668
4,550
58
31
(')
3,871
13,076
39,366
46, 106
40: 787
36,702
136, 716
78,879
125,274
24,318
3,867
53
29
(1)
1,911
2,520
6,350
5,729
6,531
4', 789
8,837
16,433
9,008
17,286
3,621
1,203
(^)
703
2,096
4,132
2)250
4,149
10,736
6,713
18,691
3)016
372
172
I 3,461
2,730
2,310
1,613
2,705
2,205
4,140
6,925
817
15
5
2,470
950
550
1,177
2,332
7,743
9)531
3,976
1,788
30
11
{ 2,610
( 5,938
6,052
6,224
5,443
4)838
5,619
14,345
6,686
13,476
3,710
l)382
43
1.1,000 under t2,000
12,000 under !;3,000
! 3,000 under 1^,000
i 14,000 under ^5,000
115,000 under $6,000
16,000 under : 17, 000
; 8^000 Il^der • 19; 000
(19,000 under $10,00
10,000 under 15, 0(
15,000 under (120,01
(.20,000 under (50,0
(150,000 under 100,
(1100,000 under $500
1500,000 under $1,0
(11,000,000 or more.
( ')
4,720
X.'.'.'.'.'.
X
DO,OOo!;
7,854
15,931
12,573
25,491
9,995
5,390
252
359
Nontaxable returns, total. . . .
68,396
169,057
28,264
127,006
321,504
363,096
90,478
64,996
13,423
9,153
6,193
6,606
14,923
19,017
1 2,028
141212
13,381
11,785
1,662
11,171
19,111
g;S
74,494
3,330
4,346
5,322
till
8,678
10,917
7,236
6,941
681000
1 ^:^^
71,028
60,322
68,417
39,411
49,298
34,376
56,468
50,142
175:121
3,347
14,345
25,119
17,555
12, 158
15,640
1,451
2,724
10, 868
16,992
12,031
8,709
12,203
I 2,521
2,919
1,411
3,415
3,157
1,118
1,186
639
3,117
3,214
2,339
1,873
5,538
1 2,017
L 2,516
^ 3,616
I 2,859
2,355
(11,000 under $2,000
12,000 under (13,000
13,000 under ;X,COO
14,000 under $5,000
4,105
3 675
.
132,999
266,763
1,053,858
42,763
fci nai
a5i
186, 205
340, 777
560,649
125,742
371: 653
11
74?
12
26,018
33,54^
40, 174
Returns $5,000 ujider $10,000.
Returns tlO,000 or more
5
83,721
13,923
1,58
5)123
694,
6,007,
409
45)93?
f'0'7
6,277
27,811
40,805
75)114
, of table. See text for "Description of the Saa^le and Limitations of 1
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 15. —RETURNS WITH ITEMIZED DEDUCTIONS:
Number Amount Number
Returns
Returns
Returns
$1,000
> under *2,000
) under i<i,000
> under $5,000
> under i6,000
! under S7,000
1 under s8, 000
I under S9, 000
I under $10, 000
<0 under $15, 000
10 under $20,000
10 under |50, 000
)0 under $100, 000
CO under $500, 000
100 under $1,000,000...
lie returns, total
$600
inder $1,000
I under $3,000
1 under $i,000
> under $5,000
> or more
$5,000 under $10,000..
$10,000 or more
206, X)0
198,792
169, 951
637, 053
127,946
31, 671
1,018
1,185
61, 695
172,153
343,046
352,427
323,170
21,113
58,033
109, 624
107,605
131,182
72,347
356,397
231, 716
571,135
195,370
72, 835
14,946
32,675
66, 143
59,239
72,913
60, 214
51,946
14,456
13,121
17,084
14,787
26,254
ll' 324
2,545
4,901
1,736
487,515
17,311
109, 123
113, 992
1,429
5,723
58,904
82, 237
637,475
912, 137
8,736,486
179, 208
210,478
164,605
85,330
"~n —
1,879
72, 172
134,036
144, 595
,680
3,203
11,765
75,158
95, 148
73,792
42, 216
64,398
313,233
47l! 675
177, 328
331,157
434, 387
69,435
72,085
131,871
2,012
5,980
14, 265
Grand total
Taxable returns, total. .
Under $1, 000
erl^;:
er |50,(
er $100,
$100,000 under $500, (
496,021
145,841
111,634
12,390
2,001
43, 385
72, 174
135,706
177, 160
182,849
209,077
176,682
160,613
1,321,009
, 679, 539
,529,582
1,159,076
.,684,069
522,387
284, 016
2,136,128
2, 524, 740
2,531,394
2, 230, 534
1,776,951
4,262,507
1,016,121
835,795
109, 161
24,114
807
338
15,026
84,958
229, 776
2,978,772
1,060,571
9,831
319, 519
367,973
1,427,592
1,963,363
2, 507, 322
2,781,854
2,757,311
2,407,380
1,906,584
(54)
., 881, 677
.,511,073
199
21,126
428,673
402,012
341,070
202,200
150, 219
15, 518
Under $600
$600 under $1,000
$1,000 under $2,0
$2,000 under S3,0
$3,000 under $4,0
$5^000 or more.'..
$5,00
$10,0
15,035
18,575
17,038
15,421
19, 306
376, 570
.,099,137
768,896
(')
6,804
19, 209
23^ 095
413,772
579,685
579, 725
426, 665
1, 110, 522
362, 156
932, 219 19, .
821, 629 21, 151, 276
127,377
I61I735
156,477
210, 593
214, 634
3,919,014
11,391,968
6, 264, 574
1, 142, 183
5' 578! 263
22,343
63,716
357, 958
392, 599
322,410
i, 933, :
12,571,1
7,119,.
38, 960
50,838
45,561
. of table. See 1
for "Description of ■
and Limitations of the Data" and "Explanation of Classifications 1
INDIVIDUAL INCOME TAX RETURNS FOR 1964
ITEMS, BY ADJUSTED
Retirement income
Foreign tazes paid
Taxable returns, total.
■ $1,000.
159, 648
102, 681
225,962
^19, 333
12,013
140,616
119, 574
112,018
511,480
333,010
584, 581
124,593
31,316
2,633
14,909
13,945
51,176
Returns |5,l
Returns $10j
,406,043
111 579
37, 792
51, 397
46,434
145, 881
17, 923
74,672
62,403
43,871
25, 067
27,813
I5I958
323,996 22,161,841
41, 454
32, 915
47,710
2,705,
41,061
331289
2,333,
26,861
1,843,
85,198
4,401,
42,976
1,022,
63,492
759,
96,
1,844
121,887
119, 587
111,411
610,380
179,777
599,006
,778,750
I of table. See ■
for the "Description of -
Data" and "Explanation of Classifications
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 15. —RETURNS WITH ITEMIZED
TAXABLE INCOME, AND TAX ITEMS, BY ADJUSTED
Adjusted gross income classes
Cash requested
Grand total.
Taxable :
Nontaxable returns,
Returns under $5,000
Returns i5, 000 under $10, 000
Returns $10,000 or more
See text for "Description of the Sample and Limitations of 1
^Estimate is not shown separately because of high sampling ^
NOTE: Detail may not add to total because of rounding.
5,505
4,867
11,311
3,805,310 562, iO? 8,852
2, 605, 119 ' 719^ 860
753, 393
703, 306
INDIVIDUAL INCOME TAX RETURNS FOR 1964
"^"-"
Adjusted
gross
Income
Exemptions
L-r
Income tax
credits
Joint return.
B of husbands
and wives
Adjusted gross income cUsses
returns
Adjusted
gross
B<eqption6
Taxable
income
Income tax
after
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(ID)
Grand total
38,033,693
154,141,953
56,920,216
86,141,072
15,847,813
17,331,936
100,534,904
39,404,723
54,173,940
9,309,185
Tameable retioms, total
26,296,952
138,053,476
37,472,077
35,819,203
15,847,813
12,711,262
90,025,846
26,399,154
53,945,702
9,809,185
3,909,383
3^445! 931
3,276,598
2,829,833
2,400,808
1,946,787
1,390,142
1,072,746
1,867,157
112^798
4,442
498
1
1
5,718,013
12! 055^293
14,733,335
15,524,439
15,551,857
14,543,830
11,780,022
10,167,345
21,754,575
219801821
277,754
74,900
560
2,412
2,564^196
4^334^41
4,971,463
4^ 5391871
3,811,587
2,698,483
2,072,040
3,560,626
216^82
3,200
373
2
1
30,218
1,975,431
6! 275! 305
8,085,460
3,937,576
9,342,266
9,258,869
7,901,288
7,030,193
16,330,127
2^652! 205
265,121
73,531
556
2,410
5,007
319,073
677,355
1,063,101
1,399,923
1,561,032
l! 6631 607
1,443,237
1,310,395
3,149,800
693^295
103,404
36,109
271
1,206
143,974
641,790
11638; 002
1,740,030
1,636,658
1,496,130
1,130,453
921,716
1,676,179
218,565
3^586
358
1
267,056
1,648,131
4,625,312
7,405,443
9,563,225
11! 191! 991
9,537,924
8,740,259
3^ 686,' 208
'223!235
53,504
560
2,412
178,769
940,254
2,483,727
3,528,558
3,952,398
3,943,130
3,416,799
2,469,872
1,942,451
3,393,838
429,377
7! 438
2
1
28,729
422,678
1,469,385
2,941,452
4,524,756
5,325,131
6,629,326
6,153,125
5,923,244
212,210
52,401
556
2,410
4,696
67,305
231,609
981,410
1,087,535
Ig'oOO under $l6°oO0
627,629
556,209
271
Nontaxable returns, total
11,736,741
16,088,480
19,443,139
321,864
4,620,674
10,559,058
12,505,569
233,238
-
3,906,604
2,497,009
1', 511! 342
757,095
394, 918
1,264,463
1,914,950
3;73i;719
2,620,374
1,753,077
1,229,197
3,107,893
2,448,171
3', 959! 936
2,615,261
1,659,024
206
51^051
45,284
':
433 U 53
1,438,867
366^419
191,303
350^874
2,130,218
lU27!738
1,163,670
746,742
350,566
3,032,008
1! 531,' 853
955,654
39^551
43,114
134,782
?; 839^409
2,237,776
68;733;029
29,355,841
19lo8o',354
4,255,251
22;366[959
4! 735^346
8,169,378
7,162,873
1,999,685
23,341,335
26^ 118^597
4^045! 503
29^ 144', 831
20,073,408
777,960
Separate ret
ims of husbau
ds and wives
Adjusted gross Income classes
"-T^'
Adjusted
Exemptions
(Tlm^a^d
Income tax
after
dolLr,)
returns
Adjusted
Btenptions
Taxable
Income tax
(11)
(12)
(13)
(U)
(15)
(16)
(17)
(IS)
(19)
(20)
2,200,716
5,990,805
3,385,408
2,639,447
430,060
752,467
3,535,090
1,087,669
2,153,984
408,765
1,329,994
4,658,163
1,572,374
2,634,102
430,060
618,137
3,376,405
863,187
2,154,963
67,098
287^077
290,810
224,864
120,596
58,016
11^201
4,908
6,662
722
18
57,397
726a43
1,010,275
1,005,280
654,735
374,564
93^775
45,561
75,660
18! 290
1,208
690
40,259
304! 332
389,032
326,063
173,195
90,104
21^562
6,311
7,332
'805
26
8
8,372
343 ; 373
516,103
579,643
416,242
255,452
131,326
66,611
36,796
64,497
17^124
1,174
630
1,358
56^977
83,696
103,509
76,046
48,956
36,238
7^899
14,939
3,809
5,935
559
395
26,730
85,345
96,891
98,563
92,535
76,554
22! 713
26,281
li883
216,331
339,741
440,512
509,975
496,003
334,411
298,174
215,390
307,829
53^556
5,320
2,085
25,098
106,367
137,794
U8,467
136,899
118,757
31! 833
37,072
'112
13
75,159
159,011
255,088
321,240
326,895
220! 578
161,976
244,476
48^913
5,126
2,054
Sl^OQO d Sp'oOO
43,804
59,597
42,676
51,465
15^499
2,234
1,051
$1,000,000 or more
.
870,722
1,332,642
1,813,034
5,345
134,330
203,685
224,482
4,021
205,833
26oi684
156,944
67,847
21,173
8,697
382^391
384,559
233, 6U
94,139
49,104
214,783
535^560
448,090
99,' 347
50,443
2! 285
16,064
26^662
\ 6,920
454
6,306
19,157
83,671
65,065
26,130
3,356
13,312
94U37
21,419
1,695
HI
2,571
1,333
\
1,956,646
235,797
3,274
l!457'oi0
110,346
2,987,355
383,372
9,681
'956^427
97,029
182^724
25,687
441,404
32^063
1,245,336
1,906,615
433,089
530, 5U
45^773
500,735
1,302,947
355,254
S3, 683
Returns $10,000 or ncre
83,228
"Description of the Sanple and
Data" and "Explanation of Class:
INDIVIDUAL INCOME TAX RETURNS FOR 1964
AFTER CREDITS,
Heturus
of surviving spouse
Adjusted gross income classes
Number of
Adjusted
Exemptions
rn»„.«d
Taxable
Income
after
credits
'^-'
Adjusted
gross
Exemptions
Taxable
income
after
(21)
(22)
(23)
(24)
(25)
(26)
(27)
(28)
(29)
(30)
108,633
302,372
194,148
118,925
21,084
17,639,940
43,673,789
12,848,271
27,044,779
5 128 726
...8.9
220,171
75,791
118,332
21,084
11,591,701
39,772,895
8,061,573
26,966,111
10U02
4,906
6,501
3,452
j ::
126
21^207
35,616
22,084
39,419
32,107
3,390
712
3,522
13,503
9^427
13,681
5,944
7,561
4,805
169
15
698
7,087
13,342
9,181
17,911
13,903
27,912
24,519
124
1,134
1^475
2,972
2,392
5,061
4,719
259
438,809
3,507,572
2,259,396
1,736,087
1,310,265
870,172
576,127
364,493
210,685
j 122,203
156,717
I 25,321
12,989
743
416,961
5,363,241
5,595,921
6,044,035
5,860,889
4,760,888
3,720,044
1)154; 524
1,821,463
349,' 110
47,280
263,286
2,192,742
625,309
426,936
155!355
89,114
119,908
10,'654
610
21,820
1,804,543
4|300;095
3,657,427
2,920,885
l!444il39
950,012
1,544,841
385,494
325,468
45,927
3,645
714*329
'
359,603
114,'859
22,119
9,550
tot 1
62,774
82,201
118,357
593
-
6,04S,239
3,905,894
4,786,698
78,663
7,245
2,329
9,356
21,626
21,471
6
587
! '
3,302,468
1,878,856
670,703
24)545
4,525
2,107
1,050,401
1,420,785
924,025
8l)4«5
18,789
12,529
2,116,473
1,342,077
912,191
73^033
17,624
6,882
133
15,855
48,699
8,127
1,287
90,818
168,505
161,730
29,709
68! 132
20,128
11^943
15,298,262
2,145,686
195,993
ul 135! 664
2,668,712
li 578^399
151,581
111 141^661
2,321,141
2,326,284
2,190,401
Data" and "Bqplanatio
56
INDIVIDUAL INCOME TAX RETURNS FOR 1964
of"''
Adjusted
Exe.5.tiona
Taxable
Income
Income tax
after
credits
Joint r.t.r,. cf h^ta^ds and wives
Adjusted gross income classes
returns
Adjusted
gross income
Exemptions
Taxable
,r~^2'.
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
'10)
Grand t t 1
26,909,591
244,070,130
54,687,615
143,734,002
31,305,045
21,121,990
212,083,078
48,392,939
124,554,136
Taxable returns, total
25,009,385
237,951,274
50,864,807
143,449,081
31,305,045
19,947,449
207,606,838
45,944,323
124,352,881
26,858,701
12,270
947|a84
1,548,821
2,083,651
2,644,549
2,914,586
2,854,688
2,467,664
1,095,718
34;l28
1,056
11,006
588,020
2,419,406
5,486,216
9,436,549
14,580,981
18,951,285
21,399,293
20,920,221
18,443,156
56,339,667
20,571,315
31,427,158
10,151,383
5,574,132
699,724
949,762
7,362
259,791
912,685
1,937,693
3,232,220
4,e77,lA5
6,120,812
6,417,350
5,738,899
4,629,916
^2;775;777
2,567,823
358,605
900
986
154,712
2,239^924
4,085,416
6,626,994
8,977,255
10,746,074
11,148,639
10,340,339
8,263,195
753,365
155
24,425
136,890
363,434
679,079
1,115,446
1,526,578
1,856,939
1,953,371
1,343,724
6,642,279
2,957,933
6,188,851
3,100,838
^•3^o1;?fi
425,413
227^144
630,838
1,225,550
1,923,461
2,432,977
2,520,422
2,275,853
i;U4|310
139,407
""'lit
346
29,675
598,329
2,426,597
5,554,821
10,634,386
15,340,324
18,903,633
19,298,667
53,658,891
19,308,833
28,817,563
9,156,222
4,731,774
571,737
647,310
19,771
317,503
1,1A7,119
2,333,474
4,127,437
5,601,973
6,058,149
5,520,021
4,502,674
10,696,973
2,692,384
2,464,174
340,904
69,040
663,822
4,21A,198
6,995,268
9,(»7,895
10,070,226
9,628,804
33,679,336
13,525,784
22,170,045
7,483,776
3,341,091
456,378
532,671
S'ooo ^er S'OOO
1B,169
103,836
1,542,561
2,721,160
5,523,866
2,748,732
''S;i?S
Nontaxable retimis, total
1,900,206
6,118,856
3,622,808
284,921
1,174,541
4,476,240
2,948,116
201,255
31,384
4681993
373,473
2571177
11,317
7S^;il
1,167,554
1,286,549
45,229
96,512
594,204
305,764
828,600
579,107
373,392
3,417
37,792
51,397
46,434
;
13,305
19,151
28?; 686
300,694
4,527
220^791
726,330
1,037,010
317,303
1,654,184
28,178
25i;654
570,527
710,485
8231750
18
5,004
22,245
35,235
136,753
.
6,605,108
13,064,645
7,239,838
95|754;333
126,172,990
28,603;981
16,784,467
7,486,658
47,923,351
1,203,982
8,296,108
21,804,954
3,095,168
11,199,179
6,327,&i4
11,431,473
83,359,050
U7,292,548
5,992,235
26,585,293
16,315,411
2,719,411
40,085,925
81,748,798
6,830,456
19,608,448
Separate re
urns of husba
nds and .Ives
Returns o
heads of ho
sehold
Adjusted gross incane classes
um^er
returns
Adjusted
gross income
Exemptions
Taxable
income
"aner ^
Number
Adjusted
gross income
Exemptions
Incane
Income tax
(11)
(12)
(13)
(14)
(15)
(16)
(17)
(13)
(19)
(20)
Grand total
691,748
4,095,460
937,577
2,280,653
537,745
1,015,004
6,155,246
1,418,004
3,400,909
720,407
Taxable returns, total
627,779
3,913,733
824,131
2,277,933
537,745
946,091
5,962,656
1,306,470
3,393,444
720,407
4,119
72;U7
83,353
101,213
79,238
16^484
9!l28
9,137
1,154
23
33
3,512
1821329
294,634
555,489
514,019
379,605
155^773
1551572
268,165
75,498
56,685
15,521
100,288
2,472
22,451
96|957
131,903
130^002
77,670
28|471
44,443
11,410
11,651
1,443
399
24
35
336
7o'330
123,729
237,346
277^521
227,91A
160,267
97,560
256,372
116,422
212,771
53,334
42,323
12,908
64,205
2,586
21,'432
41,657
53,403
431699
55,989
29,891
26^934
22.753
43 ',890
13,624
151^620
188,700
176,200
77^339
261998
50,683
13,411
13,526
2,352
24
1971201
539,757
966,835
638,540
578,126
256^206
227^533
386,837
156,336
107,396
15,257
11,224
16,287
86,527
199,553
243,624
153,794
112,113
61,984
33,281
20I344
21,253
4,224
' 43
13
7,486
58,930
2U,404
508,717
391,723
344,249
208,274
162,805
168|357
299,412
124,123
12^457
9,581
9,344
34,661
87,982
69.894
62;933
31,160
51,231
7,532
5,567
63,969
181,727
113,446
2,720
63,913
192,590
m,534
7,465
Under $600
1,709
5,896
19,435
16,168
12, U9
3,729
4,883
627
29^480
41,296
40,503
16;513
48,472
1,812
28 ; 581
23,724
U,183
16,573
285
323
1,730
;
12^027
6,803
3,771
32,027
49,432
42,015
30,019
35,276
5,167
23,755
31,572
24,347
U,762
11,431
1,067
2,053
2,218
2,127
Betums under $5 000
2831977
1,132,600
1,899,938
1,062,920
4U,974
452,382
70,218
454,373
1,060,593
765,634
77,072
199,542
501,067
432,310
2 1 860 ; 330
669,937
625,476
677,686
1,617;041
1,106,180
ni,954
290,972
Sample and Limit
of the Data" and "Explanation of Classifications i
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 17. —RETURNS WITH ITEMIZED DEDUCTIONS: ADJUSTED GROSS INCOME, EXEMPTIONS, TAXABLE INCOME,
BY ADJUSTED GROSS INCOME CLASSES AND BY MARITAL STATUS OF TAXPAYER— Con
AND INCOME
tlnued
TAX AFTER
CREDITS,
Returns
of surviving
spouse
Return
of single persona not head of household or
surviving spouse
Adjuoted gross Income classes
Number of
Adjusted
Exempt ions
Taxable
credits
dcll.rM)
Number of
returns
Adjusted
gross income
Taxable
inccme
'S9
(21)
(22)
(23)
(24)
(25)
(26)
(27)
(28)
(29)
(30)
U7,950
641,259
185,037
315,527
64,253
3,962,902
21,095,090
3,254,061
13,182,788
90,455
576,264
340,198
315, (X6
64,253
3,397,615
19,891,786
2,649,186
13,109,785
3,123,945
j 14,422
' 15,500
18,939
11,906
4,103
1,353
5,163
2^706
252
52
35,596
55,039
63,854
65,205
45,533
58,510
34,336
12, 5U
60,708
20,762
77,185
16,538
7,667
2,820
18,687
26^622
17,951
14,042
12,775
5,883
2,676
9,297
2,684
5,546
93
6,726
18,535
37,490
31,845
20,349
21^381
39,330
14,665
59,977
6)189
.2,460
2,916
6,119
5,097
3,408
3^685
1,277
2^956
14,942
5,086
2,954
1,280
1 2931896
1 557,807
552 1 108
431,769
267,935
U5;407
67,787
49^790
63,822
11,093
3,567
146
73
7,494
468.630
1,409,762
2,170,189
2,479,571
2,358,517
l)479;418
974,548
641,591
1,650,993
858,616
1,877,408
746,740
620,610
97,209
187,621
4,891
199,183
427,742
470,607
422,755
336,054
221,001
156,443
97,814
57, 8K
126,091
47,956
65,198
11,550
3,852
156
79
651
127,773
613,577
1,217,435
1,542,740
1,575,333
1,292,394
1,041,181
688,492
1,200,599
649,103
1,437,599
74)827
144,949
102
97,056
'
283,849
242,708
91,277
268,806
ll 000000 r m re
27,495
64,995
44,ffl9
481
565,287
1,203,304
604,875
73,003
j .»
8,802
! 5,619
1,051
15,764
21,988
20,723
6,520
16, m
U,102
1,262
1 i
;
14,950
59,200
275,764
135,805
44,585
17,906
17,077
5,987
49,752
4U,619
153I26O
79,429
175,300
14,146
45,946
285,603
160,983
55,321
22,505
20,371
3,362
31,027
26,805
8,587
3,222
tl, 000 under $2,000
33 1 197
186|446
112,342
54;527
63,232
115,755
136,540
10,095
19,578
34,581
2,577,682
1,115,483
269,738
7,563,650
7,413,120
6,118,319
2,109,681
886,303
258,077
3,571,956
5,OW,037
4,566,795
585 066
Returns $5,000 under J10,000
Returns $1U,UU0 or more...
1,583,316
See text for "Description of the Sample and Limit
NOTE: Detail may not add to total because of rou
245-158 O - 67 - 5
and "Explanations of
INDIVIDUAL INCOME TAX RETURNS FOR 1964
11
ill
Is
m
i^^
si
III
I i;
I ^,~^, ®R^,^,^- ^A°A °S
H^C^So tOC^f^tO ^grH r-l-Jo*
rH co>?H "^^£52135 S^InK J^'^'^ """oj!^
r[ Si S Sroto'A^ 1a 9^ if\ »n or^n Ho>
■" ;JiSP SnSSS gS?" ^ S3S
'^ "" n! ^ Scoops? Qi m ^ "^ *"* r^bPi
V Pi >J ^ 5 ™ r^ !S -4- CM C^ '^^'~l «^ ON^O
s §9S fSSsga s?^§ §S^
^«ltl^,^, ^-^.^,^.1 ll",t 1^,^ It".
II
]|
II
ill
ill
Is
111
R H?s ssssa sS?s sSs ss5
8S3S ssggs
r^^O^e-O* ^rHOtt>
I asSS IsrH ^sIs ss§
*2s§ 3SKKS gssr
sis
ass
m ir» lA t- rvj ro c\j ^ ry ry m-^ojuo fM C^ <*^ J^ S ?t
TOcnq
S §^_P ^^^,§tl ^,^,1^, ^^~
\ •£> \o n pj oj o r- §'§'-':;{
S S3S sqissg: ss;
tNC- tO-MAlfM ^r-
a 5S3 SSSSS E;Rf
"^ 3 Ia O K a 5 ^ CM ^ Crj 0^ -st CM
^ SP£ ^^^,^^1 ^^^?S 3"
'^ 3 ^ to in S^ K in (^ in OS oj <n nj «
jrj ^ocoom>A cnc
3 ss^^ |pp,| |H,| IP,
oj oj oj 5 r-iwfnn^ S '^ ?^ 3 '
Hi
= S-SS.S »«■«■£■
»>~3 USSi '»*§ S:
3 8||||||||||ilil jji lil
|pJJJJ,§§i§||||||s III
i»S;JS SaSS^ tttt S ti .
^ III! Hill jit 1 1§ Iff
ill I
INDIVIDUAL INCOME TAX RETURNS FOR 1964
§1?
Ill
ill
p
iJi
111
1
I 5 I
It
i i!
¥ : I
111
ill
III
' O (-^ O m TO ro iM o o] ■vjnjp-co ^^ -X) rH ^- oj a.
JfMOOvvoJo rH r^ oj rH U^ Oi ^O in ^ °° 5 » O^ [^
f5tSS S a RS
3Sf^S S^::JS SKS
I sS§P Si ^ l^§i §H i^§
:q! S^SS PS3
s sss s aSsgsiss S-'" sSs
^3S
S Sg§| I g 3 |3§|
\0 to rH C en O^ O (n <43 CM C\J in Q r-l >I >0 rH
3 S8S5 S)R3g5 BSSS f?S3
■S tn H rH in mSiTicoo) m S w h mo
^ M oj ?3 '"' ^ IQ 2j ^ H c^ 00 b rj ?
SS3
% : ::::::::::□■ 8888 as : df-g
"§iiii§|llo-8§!;; If'
I §11111 lilll 1111 pi Ui
||§§§§§§§§§||||||§ ill
INDIVIDUAL INCOME TAX RETURNS FOR 1964
II
Hi
II
gg.
Jl
11
Is
111
ill
I li
-^3S 5SSK:| SSS"*
^3S 0^ 3 oj TO O O rtj ^ ^ ^ ' a« (%1 2
Sis
S3S
sH ss^pS sssS sSS
' m r^ ^ t> Pi O to oi H ON to b -J 2'^'"* <^ "^ Pi
^ in S Sordino o ^ -D vn » Q ;^ ^ Ia u-i
- ^^ tn nj o rH i> cm -o s a< r- o
2^ Q; o 3 In m n w -o c- c^ f^ 5 --i <^ b S 3^ it. r\ ^
'^ rvj rR n o^ ^ f^ S -i \0 oj CO S C^ O n ■"" ™ 3 fR
3 *D oj r- rH «) o ^ c\i o fn r- 3 O 3 h to ri qd
-o o -.J vo CT> cr- to Ti H ^ u-i -J- m tn -I
ill
Ji
in
ji
iji
11
si
SKS S SSfI
s 3§SS a I
AAK^ §ls § isS^ ^
3H SSS S 5?
5^S§
5SP5! S5SS« 33;
IftS 3RSS?! F??:?!
ass Sq!g§s ^SSR
\0 CO vg n >J vO CJ> en 03 OJ Ov to
OJ n O r- 03 O] u-i CO CO OJ to o>
|SS
3 3R!
^^ f?33 o",S^SS &ciSS ;1 SSS
3s[^
Q:is sasaS «■*»«■<» T.^ ^ «■
|S
sflll llllj fill Yli lil
i8§§§| §!§§§ III! Ill III
=s»;iS Jifess
I giiill lilll jlil ||§ 1^'
sSsssat £^&ss U;^»S ssu sss
ill
II
§1°1 I:
H4h
Is'SIs^
INDIVIDUAL INCOME TAX RETURNS FOR 1964
3 s3S §11°^, ^,ltt 1'^
^ o^ ? (V SShS!^ o- to m h '^
SPS
S^sg^
fj 3 « g S S 7^"^^
ass
■^" ass
IsHs
ag|g sgs sj
3§2ss
3 SSd 3Sj323 SSSa
P-3i |53
3 sSSs ^§a§3 gSs^ §^
^ ttoS IatoSS:^ ;$(ngS SSg £^5^
!?|3S gSH SsS
'"assss?
SHss
^HsSs
III
III
I
ill
II
III
I-
III
111
il
5i!i
sii
S5
■aspijS
gls3
3S^?3S^ 8SS3S 5^,S^_^ S.'
a°'d
^iSI 3a3?§ sis3 3
ill
S §Ss sssS§ S§M S^-^
nrjcyc^2 (^--t-J
™ c^ IP K (M S & (M 3 8«R
sis
|g"g3
i»3-s* sass^
Il<
3 g|iiif mil 1111 III ui
t!8888 88888 88§i °-^.8 III
\^S.S^ ^feSS*
. .Jo-8 9.^Z °'
2 a.s.:&^ ** a S
mil mil fill pi Ui
t|§§§i§§i§i|§||||§ ill
INDIVIDUAL INCOME TAX RETURNS FOR 1964
ll
!H
III
4 15
li
III
OJ H i^ & K (^ 5 ?\ t^ S H "^ ^ S C^ 00 S oj OJ
?^s^s s^s::^
^^» S5oH^ ^SkS StoS
fn c^ c- i> >f CM c^ oj to >n o o cr -J- f^ ^ ^ n t»
d3^ n^oRKjS n § n H > 5 -o Pi fn ?1
>n lAH-O -4-HtoOrH torysrc- ■<t ^ 'r\ oo>AO
^ " K nj o lo rH vo O TO (M c^ in o^ •O t^ ^r^ >j r^
H TO t^ -D oj r^ f\j --t \o ov fN c^ ov [^ r- [^ n <M f\j
s pas asggg 3|ga -^^ ass
3SSS S|§§ ggp HJ
!J^ H^^ 5 CN "^ CO tr- CM t^ f^ > to o> O O
fM CD 3 TO cn f^ CM t^ fM 5 O <M OJ ^ O^ O
^ 2t^^ cn (n lA S ri mIh^io --t ™ •>!■ S^ cm cn
rH (5 o O in o en o H r-lrj<nO cm as rH to -j- rj
H [^ Irl OS CM OS O 5 ^ S rj ^ ?{ '^ ^ §
^,1^^,™! ^,^^,t^, 1^,11 ^,1^, §11
rH c^ OS o H S >f o m -J- to c^Scno f\J H crs 3
<M[>fsJvO CMiTimCMC- (MOtOH CISf^CM
l°l
Hi
ill
111
rj 3 O g in fM (^ C^ O CJ 0> P- 2
■^SslSss I sSis^s" 3§S
;;fs Sfis PISS
5§S gs I siSR 3"
i§S§ ^^^ ^ «5^TO § ^ ""*
3 ggss g3|s^
^ S r^ )h S 3 n CM Ia S
^ r^co?i iqocoScn
S§3
3331
§§?
Ill
3|g
hi
oju-ic^ l>?KiriS
§Sgs
^^rI
i§s i»8
3 SSR 3^,S",|
£gS
t s^iiii mil iiii ip Hi
6l§§§§ §§§i§ nil III III
q sD rH C^ f^ sf" ■A^OC^tOOs rH rH rsj >r\ H lA rH ^SS
88 SgggJ .-oo8 |.~| =.|S
5 CM c^ -jf ^ sO f^S.^^ «■■«■■»«■ . . e ■«» g
Jllll Hill IIII J|§ Iff
s|§§§§i§§§§§ll||l§ III
INDIVIDUAL INCOME TAX RETURNS FOR 1964
P
11
IP
II
° p .2 i §
g fS ^ lO to C^ ^ ^ rvj S ^ « vD I^ nj ^
§§§
r3_Is II", ^.t ^^sis g^'
H m [^ ^t CO rRwOvSTrH ^^m(\j H^oi
|SS
§ §Ssa sHss
is?;"'"' -^
III
sis §^S§? gsS^ siiS
sss
35S8 3S|«?
3 TO r- o\ 03 rK o\ M n (>tn3fv oo p- 6
3gas s^s^
Rgsa 3s§
iSgg ssg^s 3§s§ S°" s3S
ass
^ ^ ^ iq S S § Sfe o
Jim lllli jlli Jji ui
illlll mil llll li! IP
II
11
SIS
« >f S In 3 o S E^ ^ Kr^^S oSto
s gaSrt Iss s H§S ?s"
?as p^""^ ftsg
S SPiaS RSKSS S3SR s^s
rWO^a>t;>* ^'T'Q'^ rHt>>t IXlr
3 gS^S PISSS3
s sis I 3§|S| 5 §13 3s ?
sg.
tn S S n -J' S S fn r^ « Sl^too u~i '
rH coSJco^ S fn o o^ S 5SSS^ S ■"
III! mil fill pi III
§§§§ §§§§§ °A°A °si III
Igboob 88Sb
h:i
« §3
II -"
ill
l"l
||l
Si
ill
SECTION 3
Tax Base and Tax Rates
TABLE CONTENTS
ic Tables
Returns with n
tions, exemptii
K and surtax
able income
Returns with alternative tax computatio
ductions. exemptions, taxable income.
Adjusted gross income, deduc-
tax items by adjusted gross in-
Adjusted gross income, de
tax items by adjusted gros:
Income tax generated at each tax rate for all returns and returns under
each of the three tax rate schedules. 70
All returns and returns with taxable income: Selected sources of income
and loss, deductions, exemptions, taxable income, and tax. by marginal
tax rate classes. 74
All returns with taxable income: Number of returns and amount of taxa-
ble income by adjusted gross income classes and by marginal tax rate
classes. 76
Joint returns and returns of surviving spouse: Number of returns and
amount of taxable income, by adjusted gross income classes and margin-
al tax rate classes. 79
Separate returns of husbands and wives and of single persons not head
of household or surviving spouse: Number of returns and amount of taxa-
ble income by adjusted gross income classes, and by marginal tax rate
classes, 81
Returns of heads of household: Numljer of returns and amount of taxable
income, by adjusted gross income classes and by marginal tax rate
household (see "Marital status of taxpayer", section 7).
On an equal amount of tax base the schedule 111 tax was
usually half way between the taxes computed from sched-
ules 1 and IL Table 21 shows the income tax generated
at each tax rate.
Most taxpayers used the regular tax computation
(normal tax and surtax) which applies the graduated
rates to brackets of tax base.
A small class of taxpayers with relatively high income,
some portion of which is capital gains, elected an alterna-
tive tax computation to derive a lower tax on the capital
gain income. Another group of taxpayers elected a third
method of computation, income averaging, when their in-
come has increased substantially over recent years.
Where applicable, the averaging computation resulted in a
lower tax base and liability in the current year and re-
duced the severity of the tax increase due to sharp upward
fluctuations in income.
TAX BASE INCREASES ALMOST 10 PERCENT
Chart 5 shows that a total tax base of $229.9 billion
was reported by taxpayers in 1964, almost a 10 percent
increase over 1963. The major portion of this tax base,
There was a billion dollar decrease from 1963 in
individual income tax liability, reflecting the first of a
two step reduction in tax rates provided for in the Reve-
nue Act of 1964. This first step, applicable only to
taxable years beginning in calendar year 1964, put into
effect rates ranging from 16 percent to 77 percent.
These rates represented a significant reduction from
those rates in effect for the preceding 10 years which
ranged from 20 percent to 91 percent.
PROGRESSIVE RATES APPLIED
The Federal tax system provided a progressive rate
structure for the individual income tax. These graduated
rates were applied to a tax base (or taxable income)
which was computed by reducing a taxpayer's adjusted
gross income through the allowance of certain statutory
personal deductions. Depending on his marital status for
tax purposes, the taxpayer selected one of three rate
schedules to compute his tax. Schedule 1, the most steeply
graduated, was applicable to single persons not qualifying
for the other two schedules and to married persons filing
separate returns. Schedule 11 was applicable to married
persons filing joint returns and to certain widows and
widowers. Schedule HI was applicable to unmarried or
legally separated taxpayers who qualified as heads of
Chart 5. -TAX BASE AND TAX, BY METHOD OF TAX COMPUTATION,
Total tax base = $229.9 billion
65
66
INDIVIDUAL INCOME TAX RETURNS FOR 1964
$214.9 billion, was attributed to taxpayers using the regu-
lar computation (normal tax and surtax only). Taxpayers
electing the alternative tax computation to derive a lower
tax on capital gains accounted for $7.8 billion of the total
tax base. This amount included $2.6 billion tax base taxed
at the capital gains rate. The remaining $7.1 billion was
attributable to non-calendar year returns (which were
subject to two sets of tax rates), prior year delinquent
returns and returns with income averaging. In the charts
and tables these are called returns with special tax com-
putations.
Chart 5 shows further that income tax (before credits)
amounted to $47.9 billion, a 2.5 percent decrease from
1963. The amount of tax reported by taxpayers with the
special tax computations (mentioned above) was $2.0
billion. Taxpayers using the "regular" tax computation
showed income tax of $42.3 billion, and those electing the
alternative tax computation showed $3.6 billion. The
capital gains rate produced $1.3 billion of tax.
The tables that follow in this section deal with informa-
tion on method of tax computation and tax rates. Tables
19 and 20 present selected income, deduction, and tax
data for the 51,823,000 returns of taxpayers using the
"regular" method and the almost 100,000 returns of
taxpayers electing the alternative method, respectively.
The income tax (before credits) for the former group was
19.9 percent of the tax base. The income tax for the
latter group was 46.1 percent of the tax base.
MARGINAL TAX RATES
Data in tables 21 through 26 are classified by marginal
tax rates. The marginal tax rate was the highest tax rate
applied to a portion of a taxpayer's tax base. The first
bracket rate of 16 percent was applied to the initial $500
of tax base for single persons and the initial $1,000 of
tax base for all other taxpayers (including those individ-
uals who were heads of household or surviving spouses
for income tax purposes). There were about 6,752,000
returns of taxpayers whose highest rate of tax was this
first bracket rate. In contrast, the highest bracket rate,
77 percent, applied to tax base over $200,000 for single
persons, married persons filing separately, and heads of
household, and over $400,000 for joint returns and sur-
viving spouse returns. Only 659 returns showed the 77
percent rate as their marginal rate, but these taxpayers'
average tax base amounted to $682,000 and their average
tax was $454,000. Table 21 shows number of returns,
tax base, and tax classified by marginal tax rates for all
returns and returns under each of the three tax rate
schedules.
Table 22 presents a distribution of sources of income
and itemized deductions on returns classified by marginal
tax rates. Tables 23-26 show a cross-classification of
returns with taxable income by size of adjusted gross
income and by marginal tax rates. With these latter
tables it is possible to see the dispersion of marginal
rates among returns in the same income class.
The explanations which follow use the illustrations
appearing on the following page to show how the tax
return data presented in tables 21 through 26 are derived
from information available in the return.
Tax base for returns with normal tax and surtax only
is taxable income. For returns with alternative tax com-
putation, the tax base is either (1) taxable income, where
that amount is greater than one-half the excess long-
term capital gain, or (2) one-half the excess long-
term capital gain, where that amount is equal to or
greater than taxable income.
Tax rate is the rate at which all or a portion of an
individual's tax base is taxed. Some of the tax rates
are described below:
a. Returns with special tax computation --These
are returns to which two sets of rates applied because
they were returns with income averaging, noncalendar
year returns, or prior-year delinquent returns whether
or not they had any tax base.
b. percent (returns with no tax base) --This is the
rate applicable to returns that show deductions plus ex-
emptions equal to or exceeding adjusted gross income
and returns with no adjusted gross income.
c. 50 percent (alternative tax computation returns
with capital gains tax only) --This is the rate applicable
to returns which show the amount of one-half the excess
long-term capital gain equal to or greater than the
taxable income. The one -half excess, therefore, is the
tax base instead of taxable income.
d. 50 percent (alternative tax computation returns
with capital gains tax and normal tax and surtax) --This
is the rate applicable to returns where a portion of
the tax base is taxed at the capital gains rate (50 per-
cent), and a portion at normal tax and surtax rates.
Marginal rate is the maximum rate applied to any
part of the tax base. For example, a joint return with
$11,000 of tax base (for normal tax and surtax rates)
has a marginal tax rate of 23.5 percent (see example
1). Returns with a tax base subject to both the capital
gains rate and the normal tax and surtax rates were
classified in their marginal surtax rate classes.
Total tax base (column 3) is the entire tax base of each
return classified by the marginal tax rate of the return.
Total income tax before credits (column 4) is the
reported tax before credits of each return classified
by the marginal tax rate of the return.
Tax base taxed at marginal rate (column 5) is that
portion of the tax base that is taxed only at the marginal
tax rate. For example, a joint return with $11,000 of
tax base (for normal tax and surtax rates) would have
$3,000 taxed at a marginal rate of 23.5 percent. The
remaining tax base was taxed at lower rates.
Tax generated at marginal rate (column 6) is that
portion of the tax liability of each return that is taxed
at the maximum rate. It is obtained by applying the
tax rate in the stub to the amount in column 5.
Tax base taxed at tax rate (column 11) is the tax
base spread among the applicable tax rates. For ex-
ample, a joint return with $11,000 tax base (for normal
tax and surtax rates) would have $1,000 taxed at 16
percent, $1,000 taxed at 16.5 percent, $1,000 taxed at
17.5 percent, $1,000 taxed at 18 percent, $4,000 taxed
at 20 percent, and $3,000 taxed at 23.5 percent.
Tax generated at tax rate (column 12) is the total tax
generated at each tax rate and is obtained by applying
the tax rate in the stub to the tax base amount in column
U.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
ILLUSTRATIONS OF THE PRESENTATION OF TAX RETURN DATA CLASSIFIED BY RATE, AS SHOWN IN TABLE 21
Example 2
Derivation of Tax Bas
$16,000
-3,800
Adjusted gross In
$12,200
-1.200
Balance
Exemptions
$".000
Tax iMse (taxable
Derivation of Tax:
Derivation of Tax Base:
$45 , 000 - Tentative t
Total I
$40,000- Tax b.
ise for norm
$45,000 - Total
tax base (tax.
Derivation of Tax:
1st $1,000 of tax base taxed a
2nd $1,000 of ta
K base taxed
3rd $1,000 of ta
K base taxed
4th $1,000 of ta
base taxed a
Next $4,000 of ta
base taxed a
Next $4,000 of ta
base taxed a
Next $4 , 000 of ta
base taxed a
Next $4,000 of ta
base taxed a
Next $4,000 of ta
base taxed a
Next $4,000 of u
base taxed a
Next $4,000 of ta;
base taxed a
Next $4,000 of ta
base taxed a
Bal. $4,000 of ta
base taxed a
$40, 000 Normal tax and
Derivation of Capital Gain Tax:
$5,000 of ta
base taxed a
Adjusted gross income (including 1/2 exi
net long-term capital gain of $245,000)
Itemized deductions
: capital gains u
000 - Tentative t
: 30.5% .
: 34.0% .
; 37.5% .
; 41.0% .
$800
$940
$1,080
$1,220
$1,360
$1,640
$1,780
$1,900
Derivation of Tax:
Derivation of Capital C
$122,500
$122,500
'
at tax rate
"TZ^'
Adjusted
gross
ftolfr.;
Total tax
Total
(CblLr.)
Tax base
rate
Tax
generated
Tax base
taxed at
(ihi:.,.,
Tax
(U
(2)
(3)
M
(5)
(6)
(10)
(12)
Example 1. — Data Reported on Joint Return Witti Normal Tax an() Surtax Only
Example 2. -Data Reported on Joint Return With Capital Gains Tax and Normal Tax and Surtax
Example 3. -Data Reported on Joint Return With Capital Gains Tax Only
50.0 percent (alternative ■
3I}[
Summary of Data Reported on the Above Three Joint Returns
I percent (alternative tax computation retu
capital gains tax only )
50.0 percent (alternative tax computation retu
capital gains tax and normal tax and surtax).
^This total is not the sum of the following
^This return is not included in the total be
^This amount is not included in the total fo
NOTE: Columns 7, 8, and 9 of table 21 are n
250,000
^50,000
the above example
than one rst^
INDIVIDUAL INCOME TAX RETURNS FOR 1964
19. —RETURNS WITH NORMAL TAX AND SURTAX ONLY:
EXEMPTIONS, TAXABLE INCOME, AND TAX ITEMS
Itemized deductions
Standard dedui
1,000 under $50,000.
Returns under $5,000..
Returns $5,000 under i
Returns $10,000 or mo]
368,129,108
25,206,960
031,830
651,«6
202, 157
799,233
78i,971
517, 105
60,658,726
162,435,438
145,034,944
5,196,664
2,877,727
7,132,569
876,609
251,106
040,825
,205,415
4
,159,934
,488,761
10
,693,127
16
,626,472
17
,478,068
17
1,016,934
11
24
248,886
5
110,488
3,158
221,471,891
9,332
1,767,518
.,814,0
,954,823
Adjusted gross
Retirement income
Foreign taxes paid
under $15,000.,
under $20,000..
under $50,000..
under $100,000.
3,389
4,771
2,281
3,525,596
3,401,658
3,154,118
Returns under $5,000.
Returns $5,000 under :
Returns $10,000 or mo;
NOTE: Detai.
"Description of the Sanple and Limitations of the
"Explanation of Classif icatioi
1,039
3,173
27,294
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 20. —RETURNS WITH ALTERNATIVE TAX COMPUTATION: ADJUSTED GROSS INCOME, DEDUCTIONS,
ADJUSTED GROSS INCOME CLASSES
[iMable
TAXABLE INCOME,
Number of
1
Itemized deductions
3t..d„d deduction
Exemptions
Taxable income
Aaouste. gross income cla^ses
Adjusted
Number of
Amount
Amount
Number of
Amount
Total
(balLice
for parital
(one-half
excess long-
term gain)
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(10)
(11)
99,679
10,168,024
95,412
1,564,109
327,515
196,509
8,403,188
5,682,282
24,285
414
670,142
4,142,239
621,284
814.776
14,988
23,946
938
413
73,610
511,039
716,211
112,326
150,923
2,646
1,280
1
2,617
1,280
34,840
201,388
86,702
3,206
1,379
20,904
120,333
l',924
827
573,013
3,236,335
3,373,728
507,037
663,025
507,060
2,066,258
162,119
149,161
62,135
461, 658
345,814
515,725
Tax base
computation
Income tax
before credits
Tax credits
Income tax
after credits
Retirement inoom
Investment
Foreign taxes
paid
Other
tnco^^
Adjusted gross income classes
Amount
fn«„.w
of tax
base
Number of
n»»-.-
r?^f
Amount
Number of
r™
^rt-^
Amount
Number of
Amount
after
credits
(12)
(13)
(14)
(15)
(16)
(17)
(18)
(19)
(20)
(21)
(22)
(23)
(24)
(25)
8,367,309
3,856,553
46.1
14,372
2,368
29,448
13,805
16,514
16,112
91,424
50,545
99,671
3,773,721
37,362
Under t20 000
3,259^342
3,365,903
664J886
214,429
1,314,633
1,684,340
278, 6«
4o:i
50.0
4,279
6,281
3,608
132
706
1,021
605
22
3,412
17,174
8,284
388
190
801
6,095
5,705
539
665
2,152
7,811
6,097
310
3,495
1^909
939
16,116
51,221
'905
404
4,158
16,487
3^327
4,091
17,630
56,407
24,281
939
207,863
1,287,536
1, 646, 675
272,809
358,838
22,826
290,531
866,758
Limitations of '
Data" and "Explaj
70 INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 21. —INCOME TAX GENERATED AT EACH TAX RATE FOR ALL RETURNS AND RETURNS UNDER EACH OF THE THREE TAX RATE SCHEDULES
Ret
ims with tay
rate 3S ma
Setums wi
h any tax ,;■;
Number of
E
Total tax
Total
income tax
credits
doll.r.)
Tax base
marginal
generated
at marginal
dol/.r.J
J, „^ ,,^ ,,.„p rejit-
Tax rate
,L„„.
p"
.nt of-
Number of
lax gener-
in^tme
tax^lse
rn«.w«i
(1)
'2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(10)
(11)
1,12)
Total
65,375,601
396,659,831
229,885,075
47,896,997
49,527,464
11,489,774
47,152,855
11.9
20.5
65,375,601
-
Returns with special tax computa-
tion" . . .
13,267,346
6,752,30-;
6,112,669
6,399,201
6,166,934
564,475
16,365,952
273,314
101,264
5,432,874
1,623,943
15,595
563,450
9,260
286,543
172,077
107^471
1,790
1,105
76,881
1,373
53^046
52S
"92,667
47,920
56,350
42,500
21,699
115
6,613
6,610
* 14
2,134
1,127
30
15
2,374
18,164,194
18,473,433
23,614,338
31,321,242
36,252,684
2,959,816
125,552,245
* 963*, 273
57,754,844
22,641,239
225,941
10,616,429
154,103
3, 584^217
52,880
43,382
' 35,* 190
284,685
=9, 202, 123
2,291,665
38,390
3, 075^785
13,686
2,751,441
1,728,336
7,931
1,170,759
703^933
6^582
l',839
7,905
9^366
218,635
6,677
709^925
626,666
7,148,200
222,736,875
2,596,861
7,569,843
13,531,119
l|674;778
79,223,286
1,323,928
697,486
41,968,356
17,292,669
171,738
8,265,342
121,547
5,347,629
3,902,275
2,S90|995
42,148
26,613
35,702
30,866
2,043,405
28,715
=7,562,876
1,886,056
32,050
15, 544
15,469
2,296,065
1,434,239
6,249
978,386
579^496
5^289
6^434
293,753
176,679
5,163
5471082
449,407
2,036,322
45,860,677
421,370
1,226,624
2,232,533
3,164,921
14,139,230
138^124
8,135,178
3,648,821
38,507
1,902,873
29,044
i; 0481 793
" ^^
727,605
11,353
10,124
665,694
10,028
127,396
53, 453,919
646,541
11,743
5,837
925,427
5,952
912,310
613,227
2,680
442,694
273^416
2,950
2^675
207,115
3,383
153,074
4,264
98,219
3,018
82,490
3361185
309,268
49,527,464
2,579,136
2,549,172
2,798,744
2,683,375
543,404
23,495,479
33; 303
6,939,665
2,064,065
14,322
313,260
8,363
274*825
2,386
li783
1,251
902
99,226
254, 76o
' 76^651
1,571
390
417
'l28
56,124
29,610
210
47,641
24,073
309
15,256
8,271
272
6,033
110,307
192,668
412,662
420,613
489,780
483,003
103,247
4,699,096
50,515
20,311
1,630,321
557,293
248|044
2,676
147,462
931
73,006
758
566
56,370
424
47,132
1,153,600
'309
207
225
34,236
18,802
137
31,443
16,493
10,332
338
4,566
148 1 354
45,167,729
394,052
1,175,281
2,177,499
3,115,444
290,049
14,059,737
244,815
136,399
3,062,291
3,602,530
1,367^652
28,368
1,307,339
1,027,890
12,815
8i043
714,457
9^911
652,486
126,054
=3,377,235
11^462
5,684
906,470
5,842
395,332
600,210
433^508
4,230
267,244
2,881
327,156
2,589
201,649
660
3,283
4^171
95,261
325,664
299,175
20.7
20.3
15.2
1611
16.6
17.3
23!3
24.5
26.3
27.7
28.2
30! 2
30.2
31.2
32.1
31.9
34.1
13,267,346
351, 343, 708
51,348,177
38;483;i54
31,066,456
1,017,533
24, 399, 379
1,460*, 448
29,142
916,877
630,435
12,282
446,009
9,973
8,179
338,545
7,091
5,722
261,643
;23
92,667
203,603
21336
155,703
IO0I9I5
58,431
1,258
17,196
351
*296
232
7,233
4,944
2,993
40,218,906
33,860,442
29,919,811
23,432,036
1,449,505
50,829,516
589,091
245,156
16,803,110
7,054,542
72,593
3,874,417
43,116
2,575,600
1,832,766
22,322
1,340,166
18,140
15,441
1,023,497
12,679
10,131
793,963
16,498
254,766
2,307,200
604,156
12,919
5,256
837,235
4,574
761,543
452,386
2,413
235,482
2,343
191,975
2,655
209,242
2,576
*579
2,521
51,791
193,207
192,668
percent (returns with no tax
2
9
12
16
18
19
21
22
24
26
26
8
8
7
1
2
45,388,030
6,434,696
5,586,973
5,235,967
13 percent
4,217,775
10,165,903
129,600
23 percent
56,386
''^'"=="'
15,397
375,704
37 ^percent
41 percent
8,706
549,468
6,717
44.5 percent
455,456
5,769
'8 5 percent
50 percent (alternative tax
gaiS tax°Mly)"!^°.!^..?!^^!'.
gains tax and normal tax and
127,383
29
32
34
37
37
39
39
35
43
43
40
45
2
1
3
9
8
9
33
36
35
39
42
48
49
50
53
59
51.5 percent
6,653
"Per-nt
2,470
426,467
61 percent.. '.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.
1,436
174,144
1,763
63.5 percent
121,904
138,100
67 percent
90,031
69 pe?^ent"
69.5 percent
1,752
66,217
1,334
73 5 ^ rcent
1,282
38,843
148,354
Footnotes at end of table. See t
xt for "Desc
ription of th
e Sample and
Limitations
of the Data
and "Explar
ation of CI
ssifi.
ati
ns and
Te
-ms."
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 21.— INCOME TAX GENERATED AT EACH TAX RATE FOR ALL RETURNS AND RETURNS UNDER EACH OF THE THREE TAX RATE SCHEDULES— Cont
Total
aTter credit
Total
Returns with special tajc computation^
17.5 percent.
18 percent
19 percent. . .
22 percent
23.5 percent
27 percent
30. 5 percent
37. 5 percent
39 percent
<V3. 5 percent
44. 5 percent
45.5 percent
47.5 percent
43. 5 percent
50 percent (alternative tax com
putation returns with capital
gains tax only)
50 percent (alternative tax com
putation returns with capital
gains tax and normal tax and
50.5 percent
53 percent
56 percent
58.5 percent
59.5 percent
61 percent
104,903,397
179,174,'
6,250,;
15,927,770
64,964,031
6,423,660
4,296,267
3,200,299
37,294,914
1,762,708
534,965
625,385
157,497
125,710
1,721,191
2,009,074
2,213,329
2,283,075
2,582,194
1,481,751
1,072,769
861,112
700,693
112,616
71,197
i6, 753,219
1,716,605
410, 954
3,809,562
195,423
119,608
5,712,255
^32,769,305
32,768,956
990,214
633,592
172,924,114
31,078,385
27,471,f-'
23,353,;
c«3,274
604,272
345,225
i of table. See ■
for "Description of
Data" and "Expla
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table21.— INCOME TAX GENERATED AT EACH TAX RATE FOR ALL RETURNS AND RETURNS UNDER EACH OF THE THREE TAX RATE SCHEDULES— Continued
Returns with
percent (r
.5 percent. ,
47.5 percent
48.5 percent
50 percent (alternative tax com
putation returns with capital
gains tax only)
50 percent (alternative tax com
putation returns with capital
gains tax and normal tax and
50.5 percent
51.5 percent
53 percent
53.5 percent
56 percent
58.5 percent
59 . 5 percent
61 percent
percent
3,104,844
2,220,405
1,770,109
1,624,227
4,902,675
2,230,139
20,648,i
14,239,.
Total
,220,135
119,137
266,738
540,097
427,975
400, 300
for "Descriptlo
2,412
1,877
Data" and "Explanation of Ciassi
140,918
146,621
153,961
150,060
27,733
21,553
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table21.— INCOME TAX GENERATED AT EACH
RATE FOR ALL RETURNS AND RETURNS UNDER EACH OF THE THREE TAX RATE SCHEDULES— Co
. any tax generated j
27 percent.
30.5 percent.
32 percent...
37.5 percent.
39 percent. . ,
43.5 percent-
45.5 percent.
50 percent (alternative tax com
putation returns with capital
gains tax only)
65 percent. .
56 percent. .
69.5 percent.
71 percent. . .
73.5 percent.
75 percent...
75.5 percent.
76.5 percent.
40
1,167,067
2,959,316
154,103
85,309
73,403.
21,135
464,523
.,674,778
46,184
42,148
=182,233
5149,402
19;2«2
is', 544
18,686
24,030
26,452
7,931
25,839
15,469
19,482
21,487
6,249
20,887
11,510
16,351
7,362
6,631
9,599
13,748
6,116
5,253
5,163
3,179
3,272
16,964
76,948
293,148
13,143
13,038
157,440
543,404
8,077
4,153
See text for "Description of the Sample and Lijnitations of the Data" and "Explanation of Classifications i
^Includes returns with income averaging, fiscal year returns, and prior-y.
^Includes any calendar year and part year returns.
^This total is not the sum of the following tax rate classes because many returns have a tax base taxed at mor
*These returns are not included in the total because they already appear in the class which is their marginal
'Tliis amount is not included in the total for the reason stated in footnote. 4.
NOTE: Detail may not add to total because of rounding. A dash {-) in this table means "Not applicable,"
245-158 O - 67 - 6
1,175,013
1,449,505
2,529
1,732
1,763
2,166
1,726
INDIVIDUAL INCOME TAX RETURNS FOR 1964
II
tj ^ '^S'r^mS o o E^ o m g CM tn o "^ o oo rg 3 ^ tn o >t " S S t^ a? 3 vD rH 2% .h ?I S t2 S « 5? 3 S cS S S S ?^ 5 S R S i
10 G! 'i;i7«'»or^ 'C^Q^'H '^'^^:iEr f>rt^'X'or.-r f>rrH"Vw c^ M-TrCoT tT vfoT cm" oT o" 'S oT -o ia" oTi
o ^ 5 S§^§2 §^RS^ o^Ss^ fvoj^o^S nf\i5n oJ ^coc^°> S^ocJoI° f5<^F!S^ P{2iA^?
?PiS ^S'^Sri --^^ g
I 1?
R sSSss ss§i§ sHH g§§3§ siss ? HSsI SpSs^ ilSps ssis^ sssssi
S S!RiS3" S"^SE;
I3SS "5?°-""^
SS:^'"« ^sa-'s
SS3SS RSSiS!;
5 § iissS 3SSSS P '§? I
g'S-'-'g s<g s s
ii
s^^SS sss's ^s''
i i s ~ S.3 §§ |S,s S I s S s
ill
c^ ^Or^^->tc^l^iS^3oi^ S^^Jvc^ 'Koj i%j
ra'A'~^?\5(-.jeo.-t o5^^o(vf^'^u^<^' 5^'5?^3c\i
r\i O^ CO «) -^l■ H Ov OJ O CM TV i> «-i lA u
^ «3 o \0 o a\ r- [> o CM ^f oi rH rH f^ CM S o :^ o ^^ S 5 S S ct! h in o O « o! 3 co P\ 5 o i^ ° H ^ " IrJ 1^ ^ S ^ S^ on
ii;
ig S§S§S "3-""!
§"■^"^'3'
II
SfoolfSoj ^°§£S 5o^?^?l ^c
S I gss?:
lilH
S^SSs
Sr (M O vO T, ^ H OD rH U-l 3 -d- ™ C^ S
IRP. I^ssg §aH.R Sagp. 3s|?P.
ssag "pg'^g ^i'"g'° 1""^"^" s"°3~*g3
rIssS
sSsis ^S
ill-
J I 3 I
I 2 I I
Z s s s
I -3 -S -S
o g p g
as, "■as
S„AS.S,,a
||s.s,s.
Ks ^IHssI lg|.
s. a s. s, 2 s
i s § I °
J500.M oo.«.»Op,;
gSljaS SESgg SdggK aggggg
KSg,s,f: as.22Si g.gs.2S. s,sj;s.s.K
£,S.,o»^S, S..1S.S.S. ,A&,nS.,A ^^^^^^
S:SSRS S3;s;§5 SSSf^E^ pspfJSf:
Ill
INDIVIDUAL INCOME TAX RETURNS FOR 1964
§ ssl3i pSIsr |§HI R3H_§ sssg s P.H.I SssSi p.Sss pSsS p.iSIS
S ^"S 5 3 i s S S i s ^ i " s § ~ 3 ^ " § => °~ § " 3 s 3 -"■" i '""gf™ 3 ""§ ™ S'^" i "i"' » "'"s " S |
3 gssp^ SslSI S§l3i sp.al sSsi «
sSa§g ssisR 2i"S^ sassR ^sgsgs
I saSSg silsl gss§S sHss gliS i ssi3| |sgH_ H3sl g.s3S| |3§p.l
^. P.P.t IRsH SSsSi *i^^s "°§" ^" H_™"S ^as/s "■s-^p s,"-"^^ '^'^i'^'H
m
'^ I^SoJfgTO ^SnwK 8^5^^ 5J^^°q °2o£
■D irisoc^nc- ift^riO^T tM>rtnc-»rv ir\,Ht--,D>f owso'
(M <^ ri o K c^ c^ In in o ° *^ c^ *"* f\ P! ° !h ^
m o to ^o rn [^ ^ ^ (^ in (MR>fSn >r ?n S p ?^ uj (n tn ?3 c?
ssSSs ^sSs§ "K"sS '"a'"^s '^"S"
ISsas §33sS 5rspS s^ssS s"S"3f
S -^Sg S 8
1 ON TO ^&3'"'*^ 00 03 >* >j <n o3r>AoS »A ^ O ^ °
:^ S 8 ^W°Incg ''^ ?I "^ S ?! ;2 3 "^
?is?3 3ss§3 ssS^ ° s3a°'s ^^8"§ ^S"a
s PsSsg sS^ss '"^"°'
5 §
O ^ >t 'J -f ^ rHC^M?!^ ?3oIh2 2(>l<nSfy oJ ^ ^ O F^ 2S*i
to5J?i5 s;'^3?l3 SJ
s SSsSs 8ssJ_3 ss§s§ isSSa sal? I
S SSS3S rS^II ''s'"3B ''»'' 3 -■ s
Hi
I A s SssSS p_pss s3l3§ ISIIS RS5^ s SssH, §3s3s ^s^lS p™3H SSSs?
j^sa s 3 s
i sSJ.p, nj_H, ip.RS Sis^S ssSI A |3S3§i|3°
5 ^ >A fn Xi ^(\ to ^ Pi SJ in -H o ^
II
§ ssSss HasS sSsS? ss^ss Sssi i sISis ails? §s«ss SSsH s3gs3s
s g s s 3 °- ss
s sSsSS gsaSs §Ri2l lEsSI sass I ssls§ sHsss 3s^i" S^^i^ i°§";
!ll
^ nwogw c^ <n a« fn tn tS ^ n c^ o S in F? S S> a> c^ o o
S sIIf P^ii ""i"^"^" -g-"'^^' "-r
sassg §§gss ssFigs issins s'^3°3i
o^^?§ 2^3^S ^OT^oK^ ^^^5 ^ §^^'^° iAc^ra°^ $^S!hoj cS'^cQSfM S^n^nw
s^ :g3sas s"™?!;;
Ill
-H ^-_^D_o_ ->*>*_ 'X*'!.™^'^-^^ ^^'^^^^^'^ 'Ao.r-eoS t»fvwl^ £ S^S^o Sino^o 5S3^2 oPl^ii^c^ &^In5§ol
in TO ^ oi O ^ tt3 O 50 W ni oi ?y iQ in S ^ 5 '^ '*" ^ tf^ m c^ m to r\ g >t fn to ™ g jJ ■-' ® "^ IZj ■"* 1^ ■"* § ■"* S *"* ^ *"" f^ "^ S >
I 2psS llps aSSsS g2Sig Sags I ggsas sgsss assss 5;5£
I SSsI^" S"^'^"s§ °~s""'"S"f "'^""^ ^' """ ™' 5""" ^ "'"" ~' '° "^ "
2^: 1
|.5S I
§85 g
£25 °
SSS^ SS^agggS ggggS gaggg 2g2g!
■'I »: |s.a|| lim |s,2|s.|ps.s,g.£as,K|2 al53algs.Hg.s.£ lil.ll ilili ilzHl
is id ^--s.a g.s,s.-;S. a.;g.g.«> s.g.«^^^ ^s.-:^g,fa, s,ra,^^>r;S.^ s,s.^^s. g.v,s.s,& „a^g.^ ^s,s.^^g,
Bs Bo ISS^SS ^oiololc\i ^Rrinn n^^5^ ^^^^S*^" S""^^!nln£n IninS^o S3S^'^ TOC^Ornry n-4-inu-,>o[s
INDIVIDUAL INCOME TAX RETURNS FOR 1964
lIlJ
II
III!
il
m
it
Ills
P
li ]l
P^^SRS
SSS 32gSS gf
§ ' 'g^s ggsgs asas ^ss 5
3 S S 3PS '^~
i ' '§§& S^.Sis SSg_
f^-J-CM tomtoHol Ptov
;i3 SSsSr §§3 9s
5 §s§lsS3s =
s '!§§§ ssss^ isS '^'"''
I Si3§| ^,§11^. I ^ ".^^
o ^§BSm §§^S§ s ^
In ^n°>?\ m^S^5 5^ S K c? to Jh S K
3S i?
SS 1-8
si I
3S I:
III!
Is I?
II Jl
iill
3g I?
si s5
II Jl
I
■J i
S Sj
m~ §Sa i
ggss E^"SS
S^s
Sr§ss Ssss sbp i
^ rJ i-vj c- O &^ (?; SC *" >!■ ^ ?V CM
:r ?3g:S3 SSJ
:;SS*S SfeS^S
f I iiiij mil fill IK I
^t§§§§§§§§§§§§§ii§ I
fS3.» SfeSSS
a l^-iiii mil Illl^Ji J
' ^ s§§ §§§§§§§§§!§ Il§ I
INDIVIDUAL INCOME TAX RETURNS FOR 1964
l!|f|i|il
IPi
ii 11
as el
2S 1?
" 8 15
ii M
is. ei
§ ■•■
11 I
3| Ii
3a 1:
3i i?
BB Ii
si
II H
3S 1:
^5 e-8
iljl
ii
m
'ss s?(;i s
5a l"'^
S oj 3 j> to
■gl §S"
3S ss's
B I mil iiiii 1111 p§ I
- I |§§§§ §§§§§ |||| ||§ I
^
I I
I I IIIII llllliiii J^i I
'' illP- IIIII III! Ill I
78
S
s
INDIVIDUAL INC
OME TAX
RETURNS FOR
, § 1
1964
§°a ■
1
1
^
' • 7i ' ■ '
I
sas ■
diJI;
3 1
K
lilH:
' II
1
Hh
i ' ' ' ' ' '
3 ga" -^
J ji :
s3" -'
i
illll^
§
%
^ ^. ' '
ilil!;
3 " '^
p • ■
1
Mh
S
^
,,,,,,, ^ . , .
1 s -
I
a-' ' '
i
ill 11=
§
s
liili
§3
I i i
Mh
1
2,372
4,179
16
ntinued
1 s -
§"■" ■
s 1
lllli'i
^ 3
3
53 1
lilH:
3 2
, , . , . , , , g3 , ,
9 g
S 1
Mh
^
g
1 2 ~
a- • ■
i 3
s ^
g 1
iliHi
= 1
s
I t i
§
fe
3
1
H, g-^ „
1 K -
5 §
ggS^ ^
1
illlM
s
s r ' '
5 3 ' ' ' ' '
5 c-' t~-
S ' ' '
i
Mh
2
1
' ' 3 ^ ' '
''r
R S ■ ■ ' ' ■
, , , , , . . , J5 . . .
illii:
i
3
-M
K g ' ' ' ' '
5 ^-^-s
i
Ml:
1
Ils^^s ^
2 2
Sf^ ■
g
lilll:
2 r ' '
\\th
II
£l" '
i
1"
;
a '
a"" '
3 3
£
t
II
i
1
1 miii
liiiiii-
1 g;Jss* ss
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000
$500,000 under $1,000,000
$1,000,000 or more
Nontaxable returns
1
II
1
3
j liiiiii
- 1 s§§§§ §
1 liii-i s
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 uMer $50,000
$50,000 under $300,000
$100,000 under $500,000
$500,000 under $1,000,000
$1,000,000 or mre
Nontaxable returns
ii
I
i
i
i
i!
INDIVIDUAL INCOME TAX RETURNS FOR 1964
si 1 =
si fl
as Ji
I?
?i 11
.3= Js
si 1
II
II H
|g
fcisii
J £»S5
g-s-|?;v-° s-
• ' §|3p »Sja
-H o ^f> o w o >£> rH -J r- o m <m
r- (N <-< O r- tM f^ rH Ov <Sl 03 u-v OV
IS ^^ 3 5SR 2
' R ssSSp Ss S
I "I
t> Oj" to to rH -O ^" (> to
o iirxNt^OdfMryovcr^^ tosftvj to
^ vOOtoin StoSr-l''
^iii iiiii iiii i^i §
Hi'
lifi^
£2 ?■?
llJi
^i
Illl
li||
11 11
III?
Is ^i
ill
2s 13°
' ' '3s P"
'SI 333 K
Is 5-"° "
'^31 Hs S
: t :8Sgg 8Sg8|sSs"§ I5s •
5 1 mil mil nil ip f
- S S8§8§ §§§§§ iiiiiii I
I ^"^"
IIIII IIIII Illl ||§ I
I I ddd£ i»^i£ luSS Ssi I
80
i
iliii^
3
s
INDIVIDUAL INC
sis S
DME TAX
iiiii'
RETL
i
RNS FOR
1964
1
■•»:
? ?
8
, , , , , , gpj3 c^,
•ii.
^
^
1
1
1 nil-
1 !}
R
1
°S§8
5 S»-' £;
1 ran'
i
g.
= j! :
3
s
§f" ^_
s
s
■ sS^ '^
h
'.till
^ '^
i g
S
1
g
' P.^- ■
2 <-
Ml
§
^
8
4,935
3,129
19
17
classes— Con
i II -
5
^
6
, pj^^ ,
F '
1 lljj
J 1
°
i
Ssss ' -;
8S- 5
-JlJl:
s
i"
' S2I 3
1 ^
i
g gsa - 1
^
3
, ^a. .
!
.llll
g , , , , ,
i
lii:!
^.
i
1
1 s"
i
g
, ^^„ .
1
llIP
£ i
R
s
105,782
1,853,556
20 ! 607
14,871
iiiH
s
i a
s
i
1
Mi
i
1
■■■■'»■•
^ ji
3
!'■■'■
' SS"" -"
i
= llll
s i
710,811
71,537
7,556
11,152
i
i
1
1
=■?
S s
1
■' ■■|ij^^ .^
g
i
2
■1
5
£
§
i
1
• i 1
i
3
s
1
1
1 liiiiii
1 Sim SS
1 lull 11
^ fe§§§§ §§
liiii
i :§§i§
1 iiiii
liiii
iili§iii.i.||l 1
I
til
m
til
i
INDIVIDUAL INCOME TAX RETURNS FOR 1964
:g
5. II.
s§ i= :
I III
3 § S S.
• 8 83
UP'
llll
II II
Pi^^inin^ ^ fy S ^2' C^
S ' '^3§ SsSss s ss Ss*^ ^
3 S35 s a B s
g ' '§§£ -, t 3 " ' ' S
I 'S53s ?
< rH CT- A r- 3 'O
a §3Ss3 s s
a P§as5 aSSsR SSSi ssS
) 3 f^ rH WCOCMrV oS5 Ti
o cviSinrH? t^u^Sc32 oS££ m 3 a- 5
llll
|i
Iil5
|S
llll
P
iill
i
|l
iij!
' ' 'Iss
^ s^ii §is
R RS'"" •"■ ~ ~
s psss §s ' a
a I^^a s ' '
^ ' ' ' ' ' ' ' ' '£ SsS^ 2^ '
sSSI
s e lilll mil llll 11° I
gS»S* S;«feSS ^SSS US3
^ I ^??*t tr?r? ini -si
- s s§§§§ §§§§§ §§§§ l|§ I
II 11^
ii
nil
P
nil
ii
II H
i!
nil
ii
I
ill
I
ii
ill
ii
P
iIh^
gi'
P
INDIVIDUAL INCOME TAX RETURNS FOR 1964
IIP
1"
'm'
iV
■m
i'
Ipr
li^-
■lip
11
'11 r
ill
s-
111!
Ill
385
|IP
53-
£P
IP
r'
IP
'3 r
'IP
'§r'
IIS
i«-%
IIP
if
if
1-1
k
-1
Hiiiiiililii
"lillllHlilllllill
iiii
Hill ill III.
1 mil Hill Hi:
i
INDIVIDUAL INCOME TAX RETURNS FOR 1964
|i
Ills
« " I -
si s
^1 ^
JPII
- ? a -
3 S S" aVs -°
\i " S
s g s;2s s
S CT^ i4 3 -ogSiAoi S-^nS 3?5" w
^ vD 5 tS .oSfSc^? P.-i!3*"
sill
p
lill
111!
ii
|S
llll
if
ilJI
II
1 1
lijl
!§ g
F
^ ? ^-iiii mil ^^^^ !!§ f
- n§§§§ §§§§§ §§§i i|§ I
:ss*s sssss
I Hill lllll ^^^^ !!§ :
lissi iifess SSS5 sSu s
INDIVIDUAL INCOME TAX RETURNS FOR 1964
ii
IP
H
II
II
II
»
It
fm
m
f ^
111^
i!
■as Si
iiir
'Sa s-
■■■'11
■ss
il
§S|
•sg s
■IIP
■IIP
■«--■
I'l
t*
flip
ii
if
iJ
ii
P
I*
If
IIP
ii
m
if
iM
if
I"
'i¥
■|!'
■ir?
'B «■■
'55'
■g a
■S3" „„
5 -
3"
iMHiiiiiiii I
liiiiiiiiiiiiiijp
Miiiiiiiiii i
nsiMiii
fiiiiiiiiiiiiiiip
ilililililli
INDIVIDUAL INCOME TAX RETURNS FOR 1964
tw
llll
ill!
.1
?S8 §§|§8 °-°°-g 8°-j;
I I liill lilll 111! pi :
^ sli§§§ §§§§§|l||||i I
2 1^
III
ill
IJ^
SECTION 4
Returns with Age Exemptions; Retirement
Income Credit
TABLE CONTENTS
Text Tables
Q. All returns, returns with standard deduction, and returns witli itemized
deductions: Percent distribution for all returns and returns with at least
one taxpa,ver age 65 or over by selected adjusted gross income classes
and by tax status. 87
R. Selected sources of income for all returns and returns with at least one
taxpayer age 65 or over, 88
able Q.— ALL RETURNS, RETURNS WITH STANDARD DEDUCTION, AND RETURNS
WITH ITEMIZED DEDUCTIONS: PERCENT DISTRIBUTION FOR ALL RETURNS
AND RETURNS WITH AT LEAST ONE TAXPAYER AGE 65 OR OVER BY SELECTED
ADJUSTED GROSS INCOME CLASSES AND BY TAX STATUS
least one taxpayer age 65
with
over - Sources of income
items, hy adjusted gross
items.
Basic Tables
27. Returns '
and loss, exemptions,
income classes. 89
28. Standard deduction reti
Adjusted gross income
adjusted gross income classes, 92
29. Itemized deduction returns with at least one taxpayer age 65 or over ■
Adjusted gross income, itemized deductions, exemptions, taxable in
come, and tax items, by adjusted gross income classes. 93
30. Retirement income credit - Number of returns, base of tentative credit
tentative credit and credit: All returns, returns of taxpa.vers using tht
general rule and returns of taxpayers using tlic alternative method, bi
adjusted gross income classes. 94
HALF OF RETURNS OF OLDER TAXPAYERS WERE
NONTAXABLE--HALF REPORTED NO WAGES
OR SALARIES
Table 27 shows that nearly half of the 5.9 million
returns of older taxpayers were nontaxable and that more
than half showed no income from salaries and wages.
This table, along with tables 28 and 29, shows character-
istics of returns on which age exemptions were claimed
because a taxpayer or his spouse was age 65 or over at
the end of the tax year. Comparisons of these tabulations
with similar results for all returns show markedly differ-
ent income patterns and reflect the special provisions of
Federal income tax law applicable to persons age 65 and
over.
About one-fifth of all returns filed in 1964 were non-
taxable. As noted above, nearly one-half of the returns
of older taxpayers reported no tax liability, A higher
proportion of returns in the lower income brackets
partly accounted for the higher proportion of nontaxable
returns among older taxpayers, as shown in table Q.
Half of all returns with age exemptions were in the "less
than $3,000" adjusted gross income bracket, while some-
what less than a third of all individual returns fell in this
income class.
Age exemptions and the new minimum standard deduc-
tion enacted in 1964 also contributed to the higher pro-
portion of nontaxable returns. In addition to the $600
personal exemption allowed for each taxpayer and de-
pendent, taxpayers age 65 or over were each eligible for
All retu^s
Return
deduction
itemized deductions
Adjusted grosB income
classes
10.1
ES
Total
payer a^e
Total
At least
pajer age
(1)
(2)
(3)
M
(5)
(6)
100.0
100.0
100.0
100.0
100.0
U.S
15.8
7.2
14.1
20.3
27.3
17.7
3.0
6l!6
3.9
$3,000 under $5,000:
17.5
$5,000 or iBore;
an additional $600 exemption. For instance, a married
couple filing a joint return were entitled to four exemp-
tions worth $2,400 if both were over 65. The minimum
standard deduction available to them guaranteed that at
least $600 more was deductible. The minimum standard
deduction was more liberal for older taxpayers than for
taxpayers generally because age exemptions were used in
its computation.
Table 28 shows that a standard deduction was claimed
on 3 million returns of older taxpayers. More than three-
fifths of these standard deduction returns were nontaxable,
and a still larger proportion was in the less than $3,000
income bracket. These taxpayers deducted the higher of
the minimum standard deduction or 10 percent of their
adjusted gross income (maximum $1,000).
Itemized deductions were reported on 46 percent of the
returns of older taxpayers, a somewhat higher proportion
than that for all returns (41 percent). This higher propor-
tion is, in part, due to higher expenses for medical care
among older taxpayers as well as the more liberal rules
for deducting such expenses applicable to persons age 65
or over. Deductible medical expenses averaged $700 per
return compared to an average of $264 for all itemized
returns.
Itemized deductions averaged $2,044 on returns of older
taxpayers, compared to $1,740 for all itemized returns.
Older taxpayer averaged markedly higher deductions for
contributions and markedly lower deductions for interest
paid (table 29).
INVESTMENT INCOME IMPORTANT TO AGED
Nearly two-thirds of the income of older taxpayers was
from sources other than salaries and wages and (as noted
above) a majority of returns claiming age exemptions
reported no salary and wage income.
87
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Adjusted gross income less
Salaries and wages (gross)
Business or profession net
profit and net loss
Farm net profit and net loss
Partnership net profit and net
Sales of
oapitalassetsnetgainl
Dividends in adjusted gross
Rents ne
Hoyaltie
t income and net loss...
s net income and net
All othe
r sources, income a^d
Adiustments'
n, moving expense deduction, employee business expense
and self-employed pensi(
Although this particular group of returns had only 8.2
percent of total adjusted gross income for all returns,
they showed large shares of the following kinds of in-
come: pensions and annuities (76.8 percent), net rents
(60.9 percent), dividends (47.9 percent), and interest
(40,5 percent).
The retirement income credit, a partial offset against
taxes derived from these income sources, was claimed
on 1.3 million returns with age exemptions in the amount
of $160 million. These returns constituted 90 percent of
all returns claiming the credit. Returns with age ex-
emptions also accounted for 42.7 percent of royalty net
income and net loss. The retirement income credit was
not applicable to income from this source. Table R
shows patterns of income for all returns and returns
with at least one taxpayer over 65 as well as the pro-
portions of the various sources of income reported on
these returns.
NEW INFORMATION FROM RETIREMENT INCOME
CREDIT SCHEDULE
For 1964, the retirement income credit was reported
on over 1.4 million returns and amounted to a reduction
in tax before credits of $184 million, as shown in table
30. This was $28 million less than the amount claimed in
1963.
A credit for retirement income (in the current year) was
allowed an individual taxpayer if he had earned income of
more than $600 in each of any 10 years prior to the cur-
rent year. Retirement income for taxpayers age 65 or
over could consist of pensions and annuities, dividends,
interest, and gross rental income. If the taxpayer was
under 65 years of age, only taxable amounts of pensions
or annuities received under a public retirement system
qualified as retirement income.
The credit was 17 percent (decreased from 20 percent
by the Revenue Act of 1964) of the lesser of (1) retirement
income received during the year, or (2) $1,524 reduced
by amounts of certain tax-exempt pensions and annuities,
notably retirement benefits under the Federal Social Se-
curity program. The $1,524 maximum base for the credit
was also reduced by amountsof earned income, the extent
of the reduction depending on the size of the earned income
and the age of the taxpayer. (See the reproduction of the
retirement income credit schedule in section 10 at the end
of this report.)
A special rule, effected by the Revenue Act of 1964,
states that if husband and wife filed jointly and both were
age 65 or over, they could elect an alternative computation
which provided a $2,286 joint maximum base for the
credit. These taxpayers could choose whichever method
afforded them the larger credit, the separate computa-
tions under the general rule or the joint computation under
the special rule.
Of the more than 1.4 million returns with this credit,
97 percent had a supporting schedule B outlining the
credit computation. These returns were divided between
the 1.3 million having the regular computation (labeled
as "general rule" in the table) and the 0.1 million having
the alternative method computation. The average credit
for the latter group ($131) was slightly greater than that
for the former group ($128).
Almost 225 thousand of the 1.3 million returns with the
"general rule" computation were filed by taxpayers also
eligible for the alternative method (i.e., husband and wife
filed jointly and both were age 65 or over). Presumably
most of these taxpayers choose the ' 'general rule" method
because it afforded a larger credit (the average for the
225 thousand returns being $167). This would occur, for
instance, where both spouses had retirement income so
that the sum of their separate bases for the credit
exceeded the maximum base ($2,286) under the alter-
native method.
The tentative credit under both methods (excluding
returns with no schedule B) totalled $217 million. Since
the retirement income credit could not exceed the income
tax reduced by certain other credits, the actual credit
taken was $38.6 million lower tiian the tentative credit.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
EXEMPTIONS, TAXABLE INCOME, AND TAX ITEMS, BY
-r
n
Salaries
"3^
^
Business or profession
Farm
Number
exemptions
rZT.
(gross)
Net profit
Net loss
Net profit
Net loss
Number
j^™'_
of^''
Amount
do/l.r>)
Number
f^Zl'd
Nuiter
returns
Amount
(Tho^.md
Number
Amount
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(10)
(11)
(12)
(13)
Grand total
17,625,452
'32,356,101
2,745,206
11,541,135
611,002
2,018,135
91,102
208,197
362,943
617,151
163,506
298,495
Taiable returns, total
2,9§9,849
8,773,031
27,310,187
1,774,541
10,360,424
320,163
1,719,679
33,444
80,401
123,075
436,949
50,643
129,139
1 99,152
428;408
407,273
338,330
280,299
208,565
163,034
116,433
297,607
115,353
161,299
33,643
11,424
388
202
198,305
1,180)052
1,193,201
1,025,996
882,330
636,048
519,(>;0
957,843
373,309
533,080
39^432
1,318
651
176,362
832,816
1,512,783
1,829,323
1,863,474
1)560) 152
1,380,158
1,101,827
3,568,371
1,983,947
4,802,288
2,259,262
1,945,461
257,201
416,152
41,996
176,001
239,437
250,867
us, 612
100,764
73,323
178,323
59,123
77,533
18,246
6,055
197
115
347)350
673,786
942,935
1,001,562
1,053,185
858,601
549)281
1,585,089
638,374
1,170,360
509,874
260,230
11,386
6,371
22)616
37,153
39,228
34,473
31,822
22,940
17,458
13,807
39,607
19,071
29,798
t^
28
11
7,308
37,819
77,315
98,768
ltK,623
106,665
96,872
68)943
173)490
442,221
132,579
48,685
2)831
1 1,411
4,767
2,722
2,213
2)218
1,315
5,742
2,407
3,882
1,049
570
32
25
625
2,430
2,058
2,581
1,696
2,695
1,160
11,485
4,618
16,890
7,291
5)738
i 4,63;
11
14,017
10,098
6,448
5,649
5,495
11,795
4,225
6,087
1,072
5,28^
SI
42,571
33,851
21,396
21,956
26,197
57,666
31,197
68,734
17,984
6,418
375
j ..33;
6,855
6,K8
4,931
5,036
3,024
2,319
1,915
2)193
4,765
1,415
29
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000....
$500,000 under $1,000,000..
4,888
10)220
4,700
3)035
5,751
11,201
5,916
33,062
14,112
16,600
1,877
1,400
Nontaxable returns, total
2,925,324
8,852,421
4,045,91A
970,665
1,180,711
290,839
298,506
57,658
127,796
239,368
180,202
112,863
169,356
No adjusted gross Income...
97,059
282,666
1,1671541
638,227
87|674
53,410
294,508
802,203
3,316)531
2,096,685
824,405
326,984
198,223
'221,061
99,689
298, U8
1,703,220
1,553,948
791,305
386,257
434,438
9,250
85,961
120,509
224)861
72,946
29,734
83,635
456,597
365,499
152,962
48,940
38,946
47,275
111,367
56,427
20,587
U,446
28,566
102,408
36)810
16,546
17,389
23,768
6,667
4,790
10,187
5,439
3,524
2,073
3,730
4,651
7,830
2)792
1,476
10, 3 U
53,856
46,737
37)866
9,602
2,823
1,990
665
17,069
25,415
43)433
14,335
5,310
6,805
43,021
19,624
10,955
21,117
10,682
3,931
2,218
1,315
104,642
13,918
9,243
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
15,415
9,461
3,693
3,922
Returns under $5,000
Returns $5,000 under $10,000.
Returns $10,000 or more
4,135,186
1,155,054
624,932
11,963,863
2) 039)409
'3,962,758
8,022,891
15,370,4*9
1,669,(X5
735,633
340,477
3,171,170
4,178,443
4,191,520
391,221
124,851
94,929
501,327
465,661
1,050,695
65,342
12,000
13,760
127,893
14,422
65,880
295,730
43,537
23,677
279,422
151,734
185,994
130,386
18,234
14,388
181,017
27,157
90,319
Partnership
Sales of capital assets
Ordinary gain frcm
sales of
depreciable property
Sales of property other than
Net profit
Net gain
Net loss
Net gain
Net loss
Adjusted gross income classes
Number
Amount
doll.,.)
Number
of
AiDount
Number
of
returns
Amount
of
returns
Amount
d.ll.,.>
of
returns
rTVu.nd
of
^Amount ^
Number
of
Amount
(Thdu.md
(14)
(15)
(16)
(17)
(18)
(19)
(20)
(21)
(22)
(23)
(24)
(25)
(26)
(27)
203,915
1,205,882
44,301
118,582
1,271,564
2,798,975
189,290
128,645
26,283
17,016
15,752
14,555
14,574
32,697
Taxable returns, total
1*7,008
1,1/12,541
24,256
67,369
327,718
2,520,883
120,247
81,596
16,128
11,873
7,936
10,415
8,354
14,147
2,230
12,461
8,043
7,628
5^985
28^278
7,763
2,736
3,084
9,860
2j)637
29,359
26,139
33)006
22,544
124,622
97,254
365,154
198,956
U6,488
9,406
6,980
1 ;:"
1,407
1,604
! IZ
2)706
5,129
1,689
974
458
1,019
1,246
2,681
776
13)424
10,151
15,257
3)427
U,121
I 78,209
83,845
69,255
51,651
1 50,428
( 42,050
1U,310
96)353
23,430
9,204
177
4,956
29,816
56,257
64,924
78,490
65,445
76) 121
66,318
519)427
300,074
462,592
213)374
j 6,122
8,361
10,117
7,771
10) 163
7,132
3,234
22,201
10,656
1,289
3,008
6)632
l)861
15,030
7,526
15,871
3,996
1,103
1 1,'5U
2,012
1 a,2.
1,411
j 1,810
2,865
1,223
1,734
545
24
22
637
619
1,481
2,276
2,071
1,700
261
60
2,205
1,025
1,421
558
793
2
1,790
899
1,660
1,730
810
2,596
372
17
10
l|i.3o;
1,311
1,422
918
1,994
548
320
14
20
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000....
$500,000 under $1,000,000..
412
1,664
1,214
5,695
1,597
2,163
101
195
Nontaxable returns, total....
56,907
63,341
20,045
51,213
443, a46
273,092
69
013
47,019
10,155
5,143
7,816
4,140
6,220
18,550
No adjusted gross Income...
1,032
4,040
7,161
19,467
6^023
2,805
3,U3
1,636
4,893
18,080
10)153
3,859
7,000
2,810
2,003
4,708
1 3,012
512
2,631
2,680
3)976
2,353
6,630
25,718
38,940
U8,5U
I 108,627
\ 56,676
( 26,931
17,108
8,987
12,829
59,298
62,720
33,662
23,591
59,897
10
3
3
324
805
315
232
609
804
493
8,513
4,262
2,537
3)690
2,418
j 1,029
} 2,310
' 469
1,155
583
1,102
893
(')
2,121
1,210
1,420
256
(=)
734
531
3,203
1,203
16,766
646
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
i4,000 under $5,000
1,138
Returns under $5 000
81,977
46,188
75,751
107,753
1A7,873
950,253
oz n^i
it rv.n
inn
374 147
62
i
60,115
24,069
44,459
13,609
5,834
6,840
^,,„
10,789
1,911
3,053
6,262
2,009
6,232
7,433
1)253
13,006
Returns $5,000 under $10,000.
Returns $10,000 or more
5,993
5,453
67,068
3
14)526
338
2,035
840
937
7
830
Sample and Llmiti
and "Explanation of Classifications and Ten
245-158 O - 67 ■
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 27. —RETURNS
Pensions and
Rents
Royalties
gross Income
Interest received
(tax^^^?tlon)
Net Income
Net loss
Net Income
Net loss
Adjusted gross income classes
^ber
returns
Amount
Number
Amount
3Ls
Amount
Number
returns
Amount
NuBber
returns
Amount
^r
Amount
Number
returns
Amount
(28)
(29)
(301
(31)
(32)
(33)
(34)
(35)
(36)
(37)
(38)
(39)
(40)
(41)
Grand total
1,751,010
5,708,606
4,295,915
4,099,a;5
1,317,919
2,394,241
1,323,293
1,749,304
255,765
150,507
145,252
269,398
5,300
10,535
Taxable returns, total
1,136,008
2,350,023
2,870,647
659,993
1,440,128
602,845
1,154,699
128,438
75,325
79,516
210,129
3,970
8,679
20,4W
90,438
117,885
84^536
73,174
65,701
51,285
160,551
134^816
31,069
10,993
380
69,677
116,236
131,687
136,368
129,731
158,308
104^532
534,416
422,915
1,295,034
766,553
346,817
122,028
182,663
2331339
307,681
293,701
260,951
215,650
163,501
267,331
L50I722
31,514
10,623
354
40,424
152,925
238,303
231,568
222,423
193,432
160,440
159,771
400,737
233;il5
459,656
154,620
90,993
6,071
20,031
68,614
93,789
99,227
73,671
59,191
U,245
28; 099
65,400
7',719
2,677
90
21,837
39,223
172,090
191,643
1281409
94,078
79,180
169,802
79,744
42I378
787
82 1664
74,031
53 1 243
36,231
36,915
301031
9I5I6
3,092
14,238
50,500
101,640
80,094
89,405
71,392
43,396
69,351
163,225
96,700
IS
1,038
15,954
13,027
16,480
10,948
10,769
7,715
16,105
1,030
32
2,406
6,414
6,861
2,999
4,030
7,237
2,625
10,826
10I945
5,034
5,434
313
6,619
8,131
6,720
6,018
4,939
4,212
3I2I3
6I331
1^,861
3,231
1,576
34
2,661
5,396
3,903
4,729
151469
3,369
21I282
57,031
3 1892
2,587
2,815
1 -
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 'under $100,000
$100,000 under $500,000....
$500,000 under $1,000,000..
$1,000,000 or more
2,012
685
1,322
3,142
1,454
Nontaxable returns, total....
615,002
528,616
1,945,892
1,228,393
657,926
954,113
720,448
594,605
127,327
75,132
65,736
59,269
1330
1,856
No adjusted gross Income...
20,145
43,435
213,009
167,772
85,516
39,071
20,269
4,036
12,033
1121625
79,633
55,925
144,721
43,929
109,086
195,089
I91I5OO
75,556
45,798
23,573
25,729
70,263
403,933
178^664
81,461
11,364
35,245
209,' 114
99,445
40,377
4,723
21,773
235,259
318,092
203,476
107,036
13,216
46,137
94,103
289,482
176,363
62,842
24,252
14,053
13,625
15,279
50, U6
210,013
70I914
33,922
29,093
18,913
10,566
19,334
22I4OI
6,409
5,010
31,467
5,231
7,995
13,522
7,378
1,732
2,712
5,095
3,701
5,935
22I212
14,149
4,620
15,253
2,298
4,154
12,666
12,559
3,064
6I27O
(')
1,329
(=)
$1,000 under .$2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
1,856
Returns under $5,000
Returns $5,000 under $10,000.
Returns $10,000 or more
927,103
424^559
713,668
4,243^367
572^219
1,806,705
1, 370^002
918,086
1,369,188
580,779
444,275
933,496
232,429
157,368
811,983
5981936
164,516
37I313
83,436
27,263
84,845
361291
66,635
I69I374
1*319
1I977
1,127
3,453
Other
Adjustments |
Total
Exemptions
(Thm.imd
Income
Taxable Income
Income tax
Tax credits
Number
of
returns
C^L
of
returns
T"'.
Retirement Income
Investment
Adjusted gross income classes
Number
returns
of
returns
Amount
(42)
(43)
(^)
(45)
(46)
(47)
(48)
(49)
(50)
(51)
(52)
(53)
(54)
1,007,006
U0,530
136,678
7,273,992
10,575,271
2,534,317
3,330,857
17,335,505
4,689,590
1,300,102
160,073
120,902
Taxable returns, total
815,644
U6,858
107,102
4,967,498
5,263,820
2,989,849
17,078,814
4,647,225
929,543
122,894
108,253
13,114
8,364
35,294
45,919
44,104
37,809
351517
35,674
35,840
103,785
65,457
176,599
81,326
52,362
4,109
13,303
13,006
11,754
10,457
6,161
19,364
6,605
7,430
1,574
494
8
2,524
6,110
11,129
11,855
11, U9
4,970
71150
19,265
8,900
9,953
3,543
1,432
12
40,333
176,524
305,920
362,267
345,133
328,037
275,072
248,004
189,002
607,170
326,382
315,488
400^149
39; 332
118,983
442,865
708,031
715,921
5291398
381,629
311,424
227,102
574,706
223,935
319,848
69,489
23,659
791
99,15i
328,439
428,408
407,273
338,330
280,299
203,565
163,034
U6,433
297,607
115,353
161,299
33,643
11,424
388
202
16,976
751I145
902,737
903I451
820,731
2,386,525
1,433,591
3,666,967
1,790,702
1,521,659
197,355
325,880
2^783
34,792
1261900
154,831
150I317
128,JA5
473,466
318,127
1,037,022
U5l564
190,562
8,256
1391624
126,170
105,053
81,299
56,846
54,808
34,294
100,443
45,442
64,026
12,805
4,642
156
84
220
5,967
13,695
15,679
14,877
12,476
8l385
5,957
10l853
2,080
773
23
s
5,238
4,133
14,776
22I872
6,611
2I955
75
$1,000 under $2,000
$2,000 under .$3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under .$50,000
$50,000 under $100,000
$100,000 under $500,000....
$500,000 under $1,000,000..
576
504
648
590
460
513
462
2,110
1,444
5,759
2,480
1,920
226
Nontaxable returns, total....
191,362
23,672
29,576
2,311,498
5,311,451
2,534,317
391,008
256,691
42,365
370,559
37,179
12,649
2,376
No adjusted groaa Income...
*50,910
6,459
68;i08
23,988
16,480
(=)
1 2,721
7,412
8,412
2,310
2,554
(')
7^276
4,448
3,285
137,437
179,120
522 ',368
311,326
169,399
431,322
595,729
11258; Oil
494,643
196,190
118,934
282,666
367,551
1,102,887
500,338
126,016
32,069
I37I39O
105,180
55,605
23,179
11,150
79,066
68,623
51,533
46,319
1,907
12,905
8I3I7
3,003
133 1 379
93,615
53,299
26,017
1,745
12,076
10,113
7,624
5,621
J 3,519
1I4O7
3,007
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
166
332
315,270
203,012
50, K4
54,787
48,812
44,118
43,746
2,864,217
1,567,370
2,847,402
7,178,316
2,173,308
1,223,645
2,509,086
21,390
3,841
1 626 100
1 690 688
281,672
714,137
67.119
29 .901
1,970
Returns $5,000 under $10,000.
Returns $10,000 or more
1,133,664
621,091
4,316
11,328
1665
3,636ll40
2281326
56,243
57I0X
3,496
15,023
Footnotes at end of table. See text for "Descrlptlo
"Explanation of Classlf Icatli
INDIVIDUAL INCOME TA.X RETURNS FOR 1964
LOSS. EXEMPTIONS, TAXABLE
AND TAX ITEMS, BY
Self -employment
Grand totaa
Taxable returns, total....
Under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$7^000 under $8^000
$8,000 under $9,000
$9,000 under $10,000....
$10,000 under $15,000...
$15,000 under $20,000. . .
$20,000 under $50,000...
$50,000 under $100,000. .
$100,000 under $500,000.
$500,000 under $1,000,001
Nontaxable returns, total.
No adjusted gross income
Under $600
$600 under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
Returns under $5,000
Returns $5,000 under $10,0(
Returns $10,000 or more...
,402,915
,341,447
3,811
29,663
61,780
38,396
7,034
26,452
5,092
25,371
19,351
3,867
51,274
11,053
5,376
37,078
8,805
7,129
1,721
6,468
11,729
73,092
Grand total.
$5,000 under $6,000..
$6,000 under $7,000.,
$7,000 under $8,000..
under $50,000.
Nontaxable returns, total..
No adjusted gross Income.
Under $600
Returns under :
Returns $5,000
Returns $10,00<
Payments on 1964
Number Amount
27,390
91,651
64,741
215,353
140,420
185,094
438,'
2,292,
Sample and Limitations of the Data"
"Explanatloi
See text for "Description of
^Adjusted gross income less deficit.
^Deficit
■'Estimate is not shown separately because of high sampling variability. However, the '
^Negative "Other sources."
NOTE; Detail may not add to total because of rounding.
93,015
152,520
802,642
Classifications and Terras."
are included in the appropria
Credit on 1965
14,941
15,238
1,916
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Ad J
sted
standard
doll.,.)
n
Ttoable Income
In
iefore"
Adjusted grosa Income clasaee
returns with
ZTl
dolltr.)
no taxable
Income
Number of
fDHX,— >d
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
Grand total
3,066, m
9,346,280
1,654,936
5,474,344
1,788,375
1,277,791
4,088,510
812,129
1,107,835
6,525,321
572,777
1,876,847
1,107,335
3,975,619
793,309
62,294
172,972
121,869
101,996
70,944
54,093
45,528
21^727
1A,107
571
109,458
436,135
688,779
669,932
659,231
530,889
460,163
429,961
' 369^583
377,327
36,353
13,480
731362
94,148
79,577
69,201
66,303
52,918
45,990
88,126
21,710
14,059
570
93
2381190
336,058
275,212
102^330
86,454
165,656
27^631
1,054
170
I
62,294
172,972
196,524
156,662
121,869
101,995
54)093
45,528
88,454
21,727
14,107
571
93
10,839
124,590
258,502
347,438
379,510
311)344
300,531
787,450
307,133
335,646
34,730
13,218
556
1,825
20,482
65,769
72,459
fe'mn ^T'^ tfl'ooo
$9, under $1 ,
159,741
6,605
272
$1 , 000, 000 or more
1,958,332
2,820,959
982,159
3,597,497
1,738,375
169,956
112,891
18,820
267,513
340,287
915,462
364,419
52,252
K,133
94,200
275,913
1,309,923
874,415
62^351
26,723
127,406
158,622
450, 143
203,345
30,824
8,850
5521669
1,626,145
789,425
125,381
11^399
340|287
368,883
'701
46,579
42)772
12,031
3,560
8,268
27)377
18,317
12,705
2,300
2,542,523
125^257
4,730,322
2,772,463
1,842,992
1,250,020
280,050
124,864
4,510,312
728,006
236,027
1,787,673
701
397)685
1,754)755
1,482,150
141,336
348,933
'
Tai credits
Income
credits
Seir-em
(ployment
Retirement Income
investment |
Foreign taxes
Other
ax
Adjusted gross income classes
Number
^A^unt^
Amount
crho,.,.nd
Number
Amount
(Ttaxj.md
returns
^Amount
(9)
(10)
(11)
(12)
(13)
(14)
(15)
(16)
(17)
(18)
(19)
Grand total
427,401
50,756
38,006
5,401
1,875
270
284,445
10,135
745,608
413,243
40,273
269,420
34,262
33,224
4,045
1,824
131
9,270
745,508
157, D9
26,070
5,552
44,510
53,044
31,269
19,121
U^SIA
9,869
23,893
'l78
123
3,019
5,862
5,659
4,665
3,015
i;853
2,190
3,905
1,009
29
4,133
3,121
2^016
2,319
i;986
272
296
349
339
-
131
7,240
26,544
(-27,822
23,326
24,684
17,714
15)139
15,328
35,457
12,232
8,472
1^ 397
58
288
633
582
521
2,076
1,000
1,051
122
23
1
1,633
17,065
36,413
52,575
59,984
68,582
63,358
55,608
54,140
153,010
68,321
93,410
14,690
6,548
6,149
19,949
24,433
22,523
16,839
13,975
9,510
9,140
7,863
16,460
5,507
4,466
19
414
3,015
3,526
$4,000 under $5,
1,910
1,071
,
$1,000,000 or more
157.981
16,494
4,782
1,356
(')
(')
47 214
865
256,104
14,203
41,527
40i416
11,229
1,322
7,164
2^712
1,038
!;::
157
(•')
1^403
119
1%
23,790
62,549
119,957
42,583
l)0O3
606
741
80
301,292
91,574
34,534
14 '.807
^'807
1,086
1,983
(')
573
(')
10
IS
2,470
3,391
4,273
107,585
301,571
.328,553
23,055
Returns $10,000 or more
5,828
8,675
^
6,043
See text for "Description of the SaiiqDle
^Less than $500.
^Estimate is not shovm separately becaiise of high sampling variability.
NOTE: Detail may not add to total because of rounding.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
1IZED DEDUCTION RETURNS
TAXABLE INCOME, AND
ITEMIZED DEDUCTIONS, EXEMPTIONS,
with
Itemized
deductions
gross
Itemized deduc
n^ —
fn,oa,»d
Number
Adjusted gross income classes
Medical
expenses
Taxes
Interest paid
Contrib
utions
Other
tions
(Thc.^d
Number of
returns
Amount
Number of
Amour.t
'^ZZ'
Amount
returns
rtri
taxable
(1)
(2)
(3)
(*)
(5)
(6)
(7)
(8)
(9)
(10)
(11)
(L2)
(13)
(W)
Grand total
2,751,948
23,230,885
5,624,058
2,481,133
1,926,507
2,623,821
1,485,125
937,328
435,816
2,521,029
1,274,488
452,082
4
,924,222
648.384
Taxable returns, total
1,882,015
20,784,867
4,294,723
1,727,634
1,249,240
1,845,482
1,218,000
709, 193
381,236
1.301.693
1,068.341
377.912
3.336.971
36,858
155,467
231,834
250,610
216,461
178,303
137,621
108,941
70,906
209,153
33)073
11,331
387
202
396," 681
824,004
1,127,107
1,193,492
1)029; 263
919,995
671,866
2! 222! 909
256,642
416,152
16,589
103,162
211,772
282,691
275,937
146)027
519,045
304,672
393) 503
400,056
59,056
89,382
207)259
231.245
102)730
65,177
192,835
86,623
136,055
30,722
10,659
364
7.222
114)733
110,592
91,923
77,671
76,059
51,491
176,256
%,230
214,525
67,425
30,584
1,384
32, U8
246)999
69)251
207,323
92,997
146,211
32,924
11,282
385
202
4,225
59)498
76,661
78,361
74,631
64,608
150,064
90,79=
241,324
102)320
12,343
31)424
86)519
81,331
50)970
31,052
91,260
35,852
61.782
'257
12)586
19,314
23)356
11)455
44,945
26,823
73,133
42,677
46,057
4,969
12,740
33,956
233)394
170, 290
67)373
203.191
90. 9U
143, 600
'38I
201
41)438
54,474
36)647
29,936
106,624
63,463
171 ) 092
33,757
52,074
526
3)306
17.453
15,641
17)751
15.566
12.248
41,155
27,363
50)004
6,604
7,353
371)973
440.708
209)094
140,648
409,050
183,234
23)490
783
391
T' te'ooo
$8,000 under $9,000
$50,000 under $100,000
$100,000 under $500,000
$500,000 under $1,000,000
$1,000,000 or more
869,933
2,446,018
1,329,335
753,504
677,267
778,339
267,125
228,130
104.530
719,336
206.147
74,170
1,537,251
643.884
Under $600
15,148
27,263
252,079
178^944
73,541
22)205
393,297
613)871
323,906
20)493
208,332
16l)048
329,351
20)250
193, %3
241.674
69)539
48,231
11)447
106,726
165,365
157)165
23)450
214,607
248,011
44)031
2,005
4,962
52,490
74.412
64,645
37)197
70)234
54,023
17)368
20)708
19,225
37)033
12,641
193)074
231,171
155,112
33)151
1,536
46)201
36,390
19,212
71,376
104
12)339
16,313
26)573
24,937
363)774
468,585
369.262
107)535
201.433
$4,000 under $5,000
Returns under $5,000
Returns *5,000 under $10,000
1,495,604
756,668
499,675
4,452,998
1,614,197
1,237.320
2,722,539
1,318,670
700,519
461,949
524)151
627,969
1,383,482
744,733
495,554
333)285
747,109
403,138
320,500
213,693
274)306
1,316,438
434)765
257.367
739)124
78,546
234)025
2,491,301
'937)618
20) 683
l^abl
lncc«
fn»«.-,d
Tax credits
Income tax
thUa,,)
Self -em
loyment
Ad lusted gross i o
Number of
Amount
Retlreme
Investment
Foreign taxes
Other
IX
Number of
returns
,^^^,
Number of
returns
(Th<,i„md
'^tS^'^
,r^^
returns
returns
X'^L
(15)
(16)
(17)
(18)
(19)
(20)
(21)
(22)
(23)
(24)
(25)
(26)
(27)
(23)
Grand total
2,103,064
13,246,995
3,877,462
872,703
109.321
82,899
15,091
33.483
10,109
339,318
31,159
3,661,838
346,138
55.743
1,382,015
13,103,194
3,853,917
660, 126
88,635
75.031
14,070
31.412
9.662
755,706
79.731
3.661.833
264,116
48 357
36,858
155,467
231,884
250,610
216,461
137^621
108,941
70,906
209,153
93,626
33 1 073
11,331
387
6.087
88,845
240.260
403,707
508)887
385,190
1,599,074
1,126,459
3,331,321
1)503)442
196,799
39)581
67,646
39,062
95,805
92)340
70,946
313,725
247,424
782)026
115,293
190,562
2.705
86)530
83,265
73,784
62, 178
41,694
24)424
76,551
39,306
12)627
4,595
156
84
10.020
10.212
9.462
6)533
3,767
11,954
5,972
9,990
2,051
763
23
1 ;:"
5,574
3,923
3,313
3,222
1.815
10,402
7,125
20,953
6,492
2,934
147
'93
217
114
1,362
1,105
5.175
1)397
226
238
1 -
S 2,104
5,102
3,511
3.198
2)912
142
75
241
340
249
1,536
3)864
555
5,304
44,190
68)922
1 53,638
<. 56,458
) 44)750
30,241
112,089
65,892
121,911
10)371
379
30
1,023
1,315
1,353
1)956
1,277
7,319
6,579
22.056
13,767
14,496
1.384
831
10,869
30,418
56,153
87)526
83,445
65,738
292,756
233,522
902,235
76l)009
112,601
186,953
12)194
27,295
29,340
24)421
16.842
16,231
11,488
34,815
18,083
32,612
2)400
$2,000 under $3,000
1,187
3,265
' «/;'iwi
7,412
7' 734
1,669
587
$100,000 under $500,000
$500,000 under $1,000,000
Nontaxable returns, total
221,049
143,801
23,545
212,577
20.686
7,863
1,021
2,071
447
83,612
1,428
82,072
7,386
18,074
72,376
62,407
2,882
32.842
5.230
6.776
17.221
71,771
58.199
42.070
423
4.912
5.855
[ 5,820
436
}-
447
■ 25,709
, 11)973
265
235
1 ;
21,821
24.425
4)314
1,325
2,045
2,236
370
751
und *5 000
371.250
735,980
495,834
849.035
2,551,395
9.846.515
140.336
412.396
37,002
30)332
14,377
43)359
884
12)692
(M
24)279
(M
324
9.572
253,307
243.553
342,453
3,998
8,339
98.271
398,311
3,165.254
149.410
Returns $5,000 under $10,000
2l)60§
See text for "Description of th
e sample an
i Limitation
8 of the Da
a" and "Ex[
lanatlon
Classlfic
ations and
rerms:
94
Table
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Taxpayers using the general
Base of Tentative
Taxable returns, total
Under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000
$500,000 under $1,000,000.-
$1,000,000 or more
Nontaxable returns , total
Under $600
$600 under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 or more
Returns under $5,000
Returns $5,000 under $10,000
Returns $10,000 or more
2,410
52,728
98,360
2,410
52,728
97,842
100,306
100,549
76,129
55,678
142,983
106,023
55,701
{^.
193, V?i,
405,159
243,754
147,099
83^228
659,698
391,722
227,582
50,187
147,099
102,572
71,705
624,849
353,136
204,339
I Schedule B attached — Continued
Taxpayers using
■ alternative
Taxpayers using
$4,000 1
$5,000 1
$6,000 .
$7,000 1
Nontaxable i
$1,000
under $2,000.
under $3,000.
under $4,000.
Returns under $5,000
Returns $5,000 under $10,000.
Returns $10,000 or more
See text for "Description oj
'Less than $500.
NOTE: Detail may not add t(
147,742
loS.DlS
6,711
2,952
13,724
9,254
20,334
21,405
15,626
18,173
13,137
17,510
10,675
9,016
12,724
25,083
31,078
11,427
14,033
,728
463
1,315
,140
1,135
1,
',390
i;257
1,
,965
1,695
1,
,330
1,076
,870
317
31,934
36,404
27,951
34,848
38,589
23,241
"Explanation of Classi:
SECTION 5
States and Regions
TABLE CONTENTS
Text Table
S. Selected sources of income by Internal Revenue Service regions. 95
Basic Tables
31. Selected sources of income, taxable income, and income tax by States,
96
32. Adjusted gross income, ex'emptions, taxable income, and tax items, by
adjusted gross income and States, 99
subdivisions of the Service. The States comprising each
region are indicated in the inap which represents the
field organization of the Service on December 31, 1964.
In 1965, the Northeast and Nevv York Regions were
merged to form the North Atlantic Region.
Chart 6 shows a percentage distribution of adjusted
gross income by Internal Revenue Service region.
Distributions of salaries and wages, and of net business
income (not included in the chart) show a similar
SALARIES AND WAGES IS DOMINANT SOURCE
OF INCOME IN EACH STATE
For each of the States and the District of Columbia
salaries and wages is the dominant component of adjusted
gross income. Nationally 81.5 percent of adjusted gross
income is made up of salaries and wages and most States
are close to the nationalaveragein this respect. Only for
North Dakota and South Dakota does this proportion fall
below 70 percent. Shares of other sources of income do
vary noticeably among the States and these differences
are reflected in the regional analyses presented here.
Most taxpayers file returns with District Offices of the
Internal Revenue Service and the State data in tables 31
and 32 are based on the classification of returns by the
District in which they were filed. National totals in these
tables differ slightly from those presented elsewhere in
this report because of differences in sample weights.
Regional totals may be created by combinations of the
State data.
In table S selected sources of income are tabulated
for Internal Revenue Service Regions, administrative
Chart 6. -PERCENT DISTR IBUTION OF ADJUSTED
GROSS INCOME BY INTERNAL REVENUE
SERVICE REGIONS
Table
S.— SELECTED SOURCES
OF INCOME BY
INTERNAL REVENUE SERVICE REGIONS
Adjusted gross
^ 'deficit
Salaries and
uages (gross)
profit and
'"idiosr"""
Partnership net
Net ja--
:.Er==
Interest
All other
adjustments 2
Amount
percent
Amount
tctal
Amount
Per^cent
iTi^l
Per^cent
(Tml
~
Amount
~
Amount
to'tal
Amount
Percent
dotl.r,)
Percent
(1)
(2)
(3)
(4)
(5)
ib)
(")
(8)
(?)
(10)
(11)
(13)
(14)
(15)
(16)
(17)
(18)
United States, total'
Internal revenue regions.
'791
395,927
25,669
46,328
61,207
58,211
39,660
59,702
661204
100.0
15.5
10.0
15.1
9.8
16.7
3?; 010
51,147
48,697
32,707
47,263
31,267
100.0
iiis
15.9
10.1
14.6
9.7
22,997
2|476
3,120
3,347
2, '572
4,134
100.0
13 '.6
14.5
10.1
ll'2
18.0
2,t32
-2
2,634
28
433
207
'l62
216
100.0
0.4
1.3
16.5
b'.l
8.2
9,733
400
1^282
1,196
1,041
1^142
1,812
100.0
7,940
3c
490
1,000
801
1,099
1,778
100.0
1,079
2,142
2,163
1,436
'821
9.1
18.0
18.2
8.4
13.6
5.9
37
717
1,541
1^231
886
1,621
883
1,970
:
940
1,208
1,390
1,150
1,017
:
Northeast
12
12
10
18
6
12
10
13
2
15
12
12
8
16
8
6
11
15
8
17
14
12
Mid^esr*
. ""^^"^
See text for "Description
^Includes amounts for "Ot.
^Includes net income and
^Returns of bona fide res:
NOTE; Detail may not add
Data" and "Explai
1 of Classifications and Terms.
95
96
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table
31.— SELECTED SOURCES OF INCOME
, TAXABLE
INCOME, AND INCOME TAX BY STATES
T.-'
Adjusted
^"^(lesr""
deficit)
Salaries and wages
(gross)
Business net profit
and loss
Farm net profit and
loss
Partnership net pK>fit
'^^^z^p^
states
Number of
Number of
Amount
Number of
Amount
doll.,.)
Number of
Amount
T^Z.f
Ajiovmt
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(10)
(U)
(12)
United States, total'
65,37^,966
396,717,441
57,525,324
323,292,293
5,792,435
22,996,152
3,110,294
2,631,756
1,933,257
9,733,366
6,825,458
7,940,517
'?i';gJ
51x1981
676,922
1,051,842
173,712
307,921
1,826,217
1,290,561
254,499
3,934! 517
1,659,633
966,545
759,582
906,422
911,826
346,204
1,413,264
2,052,787
2,778,296
1,223,068
1,526,542
237,061
526,183
157,369
251,379
2,465,655
296,480
6,765,141
1,463,019
214,000
3,490,858
773,287
4,063;371
331,450
675,999
230,793
1,137,359
3,198,122
314,424
135,185
i;038!447
533,314
1,451,600
11.9,037
158,753
4,668,920
514,430
4515991287
3,952,187
7,486,948
1,312,409
1,936,725
10,012,055
6,759,792
1,473,087
1,101,836
26,235,698
9,908,149
5,078,669
4,106,399
4,507,592
4,921,266
1,710,434
8,906,269
12,542,506
18,921,551
6,805,196
2,260,697
1A65;002
2,661,572
1,095,237
1,337,483
16,728,529
1,548,204
46,327,534
7,055,727
984,720
22,098,881
4,037,906
4,126,743
24,559,544
1,899,190
3,240,718
966,932
5,661,799
17,435,266
1,887,024
692,379
6!462;224
2,774,766
8,309,201
639,937
790,883
805,113
66,766
5,793,511
593,954
949,323
158,110
284,060
1,533,015
1,171,962
IfSt
3,471,126
1,456,285
619^765
760,690
304^848
l'858|402
2,493,691
1,013,967
409,467
1,299,671
191,610
400,430
144,051
227,225
2,230,581
265,545
6,066,843
1,290,861
3,125,032
650,419
587,102
3,&48,262
303,464
613,711
152,892
1,001,701
2,786,048
287,278
116,096
1,250,629
915,424
477,142
1,236,304
102,209
119,336
4,031,986
455,414
2,260,736
1,778,148
36,830,105
3,197,018
6,014,141
976,413
1,544,041
7,769,298
5,724,481
1,243,781
856,910
6I263A22
3,579,142
3,101,020
3,584,747
4,039,071
1,381,403
7,607,150
10,332,358
15,355,650
5,422,777
1,822,356
6,996,998
868,533
1,903,183
1,103!742
14,014,407
37*0091903
5,877,504
652,532
18,613,548
3,237,915
3,337,288
20, 390, 613
1,553,934
2,768,435
4,712^887
14,074,208
1,609,873
544,099
6,614,514
5,252,920
2,379,593
6,695,053
514,843
618,932
3I953
42,922
62,039
619,390
75,198
83,478
11,706
16,536
184,319
102,365
19,584
25,837
145*477
8o)687
95,458
83,807
93,090
156,769
II6I1IO
50,376
144,342
26,719
54,228
13,081
180,168
1161823
18,154
303,691
92,359
63,314
25^029
51,041
96^361
369,856
30,020
15,239
94,942
106,301
46,689
135,725
16,150
3,299
250,555
155,'l82
185,877
2,885,634
264,745
426,236
54,099
66,595
615,172
410,554
69,521
90,714
1,361,187
405,755
276,728
313,502
291,503
114,185
446,258
726,778
1,098,720
405,139
145,376
532,619
75,682
165,365
53,532
83,598
847,379
78,236
2,475,850
372,605
56,734
1,236,300
279,048
266,720
1,342,141
183,661
77,815
341,512
1,149,727
98,902
54,506
363,832
408,699
135,757
520,905
46^240
55,595
7,712
55,212
99,313
5*023
38,591
182! 927
146,763
175,390
104,756
125,365
33,302
9,400
23,064
6,235
95,764
142,198
48,310
146,789
29,459
95,525
1,612
1,959
10,318
13,020
60,115
127,093
61,912
145,138
37^092
67,945
39,200
58,095
117,707
226,701
15,545
7,185
63,570
42,568
16,677
127,147
9,822
^3,735
§731
42;465
U,041
3,239
3,604
^2,062
15,159
5,090
6,080
36l!o51
162,585
365,493
165,401
83,722
^2,500
18,777
5,996
2,266
63,577
166,950
15,293
99,697
178*705
1^309
=14;041
9,577
141*, 327
122,438
9,671
27,003
(')
14,175
87,159
20,927
=59,548
6,760
2,124
3,145
68,186
143,771
^5,044
20,089
2,612
16,063
17,535
253,533
29,273
27,492
2,658
4,763
51,765
29,963
7,072
10,310
111,830
40,802
44,781
31,669
27,895
28,801
7,032
61^371
42,935
16,728
45,784
i2,on
26,284
6,379
5,571
7;826
215,299
35,495
9,734
26)817
30,100
100,693
6,783
13,682
10,582
33,703
121,348
10,998
2,480
29,748
37,300
15,932
33,981
5,093
2,085
120,928
14,190
52,052
95,494
1,197,562
95,541
141,504
20,881
37,457
226,014
165,295
28,973
39,439
679,046
225,741
221,685
133,595
146,518
161,197
22,382
143,978
176,729
410,052
133,761
93,033
215,903
45,021
94;923
25,037
13,551
350,150
34,934
1,208,300
181,007
367,299
125,060
158,112
566,199
33,576
80,932
31,348
173,922
476, 654
53,860
7,620
153,U9
187,419
45,326
18,948
1,224
52,077
5,525
55,144
35,650
386,564
96,045
U8,906
15,778
25,079
213,521
25^047
31,938
150^340
185,681
108,438
50,438
52,605
34,332
109,418
189,344
266,793
190,369
35,956
190,655
41,273
100,471
18,379
22,126
246,988
8O1U78
89,444
37,530
282,631
69,982
102,176
349,068
29,155
6i;015
76,438
31^420
U,348
108,186
126,078
31,769
178,330
15,904
24,554
4,568
75,374
Arkansas.
43,161
97,390
Connecticut
184,210
63,503
339,346
29,405
Idaho
Illinois
26,532
459,705
117,523
J^^^
63,454
75,356
ifeiiir^^
132,758
201,054
Michle^^
256,896
49,133
38,711
266,494
21,091
U2,339
Pennsyi^da
347,336
45,467
South Skota"^
40,930
500,774
27,482
16,508
127,201
Other areas'
35,587
•nd of table. See
pattern. More divergent patterns emerge for other
sources of income, especially for dividends, capital
gains and farm income.
The Northeast and New York Region accounted for
18 percent of adjusted gross income and 27 percent of
dividends included in adjusted gross income. The
Western and Southwestern Regions accounted for propor-
tions of capital gains noticeably in excess of their pro-
portion of adjusted gross income.
The distribution of most income items by States and
regions resembled the distribution of the number of
returns reporting such items. This was not the case,
however, for farm income. For example, 59 percent of
net farm income was reported in the Midwest but this
region accounted for only 32 percent of the returns
reporting farm net profit and loss.
Reported tax liability (after credits) was distributed
among the regions as follows: Northeast--6.7 percent,
Southeast- -8,8 percent, Southwest- -9.2 percent, New
York- -12.7 percent, Central--14.8 percent, .Vlidwest--
15.0 percent, Middle Atlantic--16,0 percent, and
Western--16.8 percent.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Table 31. — SELECTED SOURCES OF INCOME, TAXABLE INCOME, AND INCOME TAX BY STATES— Continued
[Taxable and nontaxable retdms]
97
Dividends
ncomi"^*^''
Interest received
""L^me"
id loss"
Taxable income
inco^e^tax^after
Slates
"^t":^'
,ZZl
"'^SZ^'
r^n
returns
taomu
returns
Amount
Number of
returns
*,!.,.;
Number of
Amount
(U)
(14)
(15)
(16)
(17)
(IB)
(19)
(20)
(21)
(22)
(23)
(24)
United States, total'
9,750,527
12,851,887
5,609,507
11,940.732
22,223,031
10,132,772
fc, 305, 272
3,226,806
51.920,288 229,831,161
51.303,352
47.159,949
ham
611431
40,735
1,101,673
L24,037
223,285
32;316
44,997
284,803
106,078
26|464
630,468
200,391
122^837
87,946
86,762
50,397
182,999
339,200
196;995
49,462
921768
19,662
32,035
480,079
29,265
1,356,397
30',358
488,945
70,800
99,341
641,584
49,420
52,815
37,361
103,902
38i436
18,446
163:481
154,429
58,785
225,382
10i;299
44,038
1,323,621
109,751
393,063
153,526
104,552
135,494
41,458
820;S42
198,576
97I548
121,237
100,120
76,889
254,714
521,374
529,728
41)593
308,607
61^471
27,006
45,265
581,354
27,679
2,274,447
179,109
14,851
622,548
79,561
1,000^444
76,425
58,653
17,229
102,151
34,203
218,969
127,048
78.598
224,129
44,222
2,613
22; 916
608,166
59,899
133,553
19,960
30,875
58,107
20,420
12,124
373,737
109,119
52)231
50,670
34)753
104,930
201,699
232,956
112,263
134,223
21,985
52,517
12,284
16,455
298,048
16,459
850,273
76,176
266,784
41,209
51,279
30)422
30,071
57)336
190,643
11,448
101,157
72,080
U0)530
9,223
30,417
65,092
3,197
95,379
40,274
1.216,565
99.613
150)257
100.367
449.085
126.613
37.575
16,048
181)472
84,202
87,096
91)702
71,890
236,788
487)544
191,773
37,659
287,592
20,044
54,430
533,589
2,141)981
168,197
12,730
580,054
73,563
70,072
938,279
71,556
93)673
393,189
32,584
32,431
203,719
114,210
73,248
204,834
10,418
202,563
17,933
157,403
101.920
247,978
455.838
54.489
79.619
612,366
99)986
72,551
1.488,977
357.468
249.263
210.814
211,407
102,853
420,992
796,670
973,818
449,463
101.731
482.678
73.331
163.961
40.971
85.765
933.175
68,985
'307)330
63,251
1,221.094
189.613
276,906
1,352.674
132.104
66,383
280.504
782,984
1L2,951
347)269
403.153
112,553
38,624
60,089
7)190
81,123
46.641
108,778
196.814
410) 092
100, U5
30)399
680,303
151,640
99.735
73.555
94.597
176,120
377,310
191)720
42.886
100)515
27,344
36,877
396,134
33,938
1. XI, 301
104,046
29,714
506,886
89,166
121,430
465,813
52,733
47,711
34,017
104,010
392,282
39,181
134)543
180.163
17.329
36,823
6)014
51.100
50.800
79.574
94,289
14.797
177)482
92,760
406)895
166,667
113,593
80)611
110.266
30.834
93.667
224.661
216.078
42)757
34)263
18.874
22.919
34)206
520.081
31)524
305.877
73)014
301,664
36,705
54.187
35,699
92.292
23)701
^8.651
108)777
52.388
151.438
13,271
17,274
X.419
373
20.669
43.046
258.004
33.027
30.425
5.373
75)295
50.787
15)481
238.032
83.742
104.046
104,825
51.123
121,843
5.398
51,516
23,611
91,612
95.669
17.403
10)352
3.347
52.070
23,632
163,615
60.078
22,618
129,492
27)227
131.570
U.344
27.583
22.420
53.135
420.744
10.262
1.647
52.693
23)420
78.089
652,232
50.562
361,006
335.631
5,366,843
528,567
901,571
259)001
1,356,308
972,726
155)531
3,275,597
1,328,118
729,021
578,314
254,610
1,150,749
1,715,428
2,316,491
330)553
1,154,637
172,995
133)151
195,818
2,075,549
207.501
5.650.933
1.071.350
145,851
2.881,303
553,793
541,240
3,333,065
270,531
147)143
827,360
2,357.221
100,703
1,054,214
351,390
410,523
1,132,024
91.275
2.449.604
317,268
1,512,264
1,144,871
25.815.845
2,200,230
4,723.540
1,254)432
5,463,535
3,621,745
870,457
16,252)531
5.838.520
2)251)355
2,335.797
2,641.353
890,223
5,318,431
7,422,765
11.408.593
3,704,371
1,095,035
4,957,718
630,934
1,483,545
674,501
747,225
10,175.748
815.395
27.624.483
3.562.436
13,155,683
2,188,057
2,421,327
14.453.983
1,114,055
1.625.095
2.990)345
9.803.781
372.005
4,413.054
3.785,750
1,553,072
4,717,255
357.351
50)514
356.331
330.863
5.287.302
519.522
893.332
254)092
1,329,859
965,434
201.935
3,234)714
1,311,223
550)759
575.273
250.577
1,151,050
1,695,641
2,297,964
910,959
325,941
1,152,971
170,124
13l)i01
194,631
2,061,867
205,640
5,502,211
1,066,005
2.857,392
552,053
534,926
'255)758
488,431
139,556
821.502
2.332,471
251,510
1,055)472
336,400
407,597
90.130
90,993
480,105
64,269
302.326
Arkansas
224.945
437,313
1,013.596
Delaware
District of Columbia
213.779
722.755
5f°'|J''
Illinois
536.050
440.119
K^t^^kv
172.541
Maryland
1.063,478
2,361,395
733,356
213.038
PP
1.014.485
Nebraska
291.061
2.102,002
New Mexico
159.819
90,484
437.788
475.032
2.945.413
Rhode Island
229.561
3U,490
So^Ui Dak'ta'™
86.880
Texas
'184)900
72.382
Washington^.
302.056
59,754
Other areas'
91,582
^Includes data for
NOTE: Detail may i
ecause of high sanqiling
Puerto Rico, whether U.
total because of roundiJig.
Data" and "Explanation of Classifications and Tenns.
variability.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
INDIVIDUAL INCOME TAX RETURNS FOR 1964
ilr4
■2| li
HS
a ad's :iss-°" -*■ sVa
383
S3?:"
taS 33§3s §131 ~ ' ' li&
^"aas's as'sfaR ssri'" -"
sSs
lAAl §lsa " ' ' P.I
IsSsH ssSiS g§§l °" ' ' 3SS
"ssss aasss 5SSR
!a|li 4§S3s iHJ
S- iSs
rH >t 5 O 3 -» 0> «J 3 » [> IT. ^
Y" iJe
;_s_S_§l Si.S3s i2s?
<0 rH ^0 >r ^0 TO 3 (J» D- 8 00 '^ 5 TO rH fV '^
}ss§ g""" Ks
TO S TO S ^ SI tn 3 S O ^- M ^O n1-5q2^ S rH To ^t^^
I s 8S3S3§_ sSS_5s oSSi
i •"■ ^sYsss :3sass S"^'
li
ill
ifiy
^11
tiiji
:sgs ssss 3?
"s'sss' s's'sss ii^-^'
ipSSs P.P.s
u^ 3 oj (^ 3
rfSSS
I ' 'lass! Hsss
sas""
2 PS
5 "^ m oj <n (M tn S en (n rH
3g3£Sg
SSSSg SSS"' s"§s
s S §sSs?S SSsse
'Risxs sssaa S"
i3§S saSf^Ei ss
g s sapsgs gggsS s§
III
a"'""-'" S:SS
s §
'"""^"a's's's
33S5§ 2sSs s""" sas
pTsS^'S 333''" sfKS
^'S^S 3a3'
1 A |S3R§£
1 - ""asiss
S.gJ
§ 3 as3H3
5°8^S
g§SS
f: " SSS55!«
SfiSSS
5°-"^
§""" Ssls
;§«
°»S«S J&feSS
^lllll
mil III! Hi 111
Hill llll ill III
I 1 §illH Hill
nil
ii<
S8§
lis
P III
si ill
100
111
Ml 1 =
hi
INDIVIDUAL INCOME TAX RETURNS FOR 1964
c^ t^ o S S r-ic^^'O tn t^ CO fn
Siiss pSsf
K asgs|8
3g§il SSI 3 F" rH
aJ 3 « ^ .H -* >t <n o; it 5
JO'^oKi Q^QOOJr^'A
SgS2 SgS5 §■* 2S!S
s asgSSs
85S5 5S;S RiE
"^32s^ sHSa ?^S'
en rH w CO S m
O 03 00 •£) >!■ r- IN rH CM rw 5 fO u
'"SSI"- aas;
sfss" si's
3 sia H3ag sSsS 1™'
3RS
5SR
3 3S:X gS;2SS 335g SgR 335
i£;s S5S?!3 sssg gij
3 psi
3SS
iSPgSg
w^jEootM ^ 3 Ri a» r- r- o^ ti oj n
3 "- 2-S3SS
gpSSS kS5s
- 1? o c>J 5 in [^ in ^ ir» oj a- CO -
53Sa S"33
sKasss
O S lA 0\ O ^ ^ '^ f^t f- f^ f^
li
§ssH His S^'^ Is
If
!3q^_3 S§S§S 3^^S^4 S§^ §1
!^3^^ o^^^S §^2^ "^
II
§s§S§ IH§ §§^ sS
ll^sl Ssss S'
Is
'nsia
iSgSS
^s°
° .2 5 -g S
2 M.isp.
sHk^ sSk° ^ Hi
?_osSI §_SsJ
RiSS
II
SS^^Is SSj.t S_S3 3
.3 g I i
§ i
S3p_R|
iasg5 asss
sss3g§
sliSi ?s38 §5^ Ssl
k! SSKiSS S?i;
3 s §g|ag3
r«j oj ™ ni 1X1 fM ^
SS3 SRS3
?sSSI Hs3 3^
sssfts ss2^
3Sg
5( S3Pg:aS;
3 sg^'sVs
S^-gSR sCsfS'
Hi
3 I
! I §1111
::::: : :jd §a : :SS : | ;;;;;; \\\\\ ^^sS %s: :*i
§8qqo ^S • s^^ ■■ *- * ■ o* o* o* o* o' o" o" o" 8 888^ oo ■ 8 a!
ifeisu t^t? 11^ ^8 8 \ I ll^Jsij^ i&»au ??^? 11^ ^8§
mil fill pi lii 1 1 giiiii mil fill ip Ui
§§i§§ III! Ill III ^ t i8§§§§ §§§§§ |||| III III
INDIVIDUAL INCOME TAX RETURNS FOR 1964
1 I?
II
it
in
§ ' 'SSSIs Ip.lS 3S3§ asS s§s
f\mC~'£>CO rH O O >& OJ •£! .H t- >f a- CO c
sH
'Sss§2 ss«?!s Isis Ss^ sss
ft:355f5 SSfSS n-
^aSSS Sas"" a™"" ss§
„-i
s §
^1
|S£Sp2
pl 1^
§ I is,^J.3_3 to3 3 3 SsS.S. S_3^ IIS
s s ss^Srs §Sss§ Ssss ass s3§
p_s §|SiS 3§_SS T'
iSKSs ssa
I 2 SSgSgg 533"» 3™f
§ 5i
Hi
i -
^_ ' '^»^.SK 355,11 sRS.S. Sp| S§J
;s§is sSsIs sISs ^-" 8sl
SSSSI SSRSS gs§3 ^33 S§l
JM
ill
ill
§ ^ ^SsR^s sSlis Sss§ s^'^ a^s
::!SRg§:g tl
gKiS
O > to TO n f- O C CM St rg »n 5 i^ f^ '"' St '^ '^ 3oS
Ia ^^ O^ S O ™ " fn S 0» 3 CO (M 3 c^ i^ cj '^ "^ n o u~>
§§5
' I SSS S5SSS RSRS S°"" 3S
lip.ii i§3l§ SI^,S S'
CM tn S 3 (-1 3 In R ^ o^ u^ CM o 5 f^ ^ ^'^^
' t^.^.t^. ?.§.^JJ. H§,5 ^ " ' i q^s
"S5K 5gSSS SPSS d 2^5
"°S<m3 SSIhIh^h oi"^^ TO>?
q § ssspA 3§H3_ g§§g s- S_gJ
I s IsS^l^ liSsa §3§5 ^"^ ' S3S
J m (n oi lA -o |0 >r S 3 ?; 5 5 5? c^ ^^^
Sas" :j'SS5's' §S3"5' Si'~'° S'is
SS8RS asSIs s^ss 3"" 5a3
A K IS a ill SH.35 IsRs 3=^- ss
;ssp)§ sps°
I a B°s§s§ §s33§ siss r" aH
SSS §?e:!S8
§ " s'sVsss sses'rs g's's'"'" S§?i
^3
88 8 8 8888°. ;gooS SJS °.| S
I I §iliil Hill ^^^^ !!§ ^«~*
? tli^
li ill
3 8_ 8_8_8 8,°. «5-oo-8 ggZ °.| S
Sr:*t ::!!! Il^t III s§§
s ^ sr§lll mil llil III !::
t I^§§§§ §§§§§ illi ||§ III
101
102
INDIVIDUAL INCOME TAX RETURNS FOR 1964
lli
nm
lA ol tn <o (M rw ojajcr-oiA o >f o t- n ^ >* c- t. ^
;SS§R SS3s
'"SSks assas sssl
'sSsIa ssssR sSSs
^a3S§§ SSSSS ?R35 SS^ s^§
g§K
a ^ '^Ss^as l§3Sa sgs^ 3^* sSs
§ ^ a33s§S SSS3R 3^§s S-"" §ii
issSi Sas^g SSsS S"'' §§§
's'SfiS ssgYs" sa'a"-"" sss'
' C-- Ov U^ rH rH T» <n Ol (> 2 C^ <r> CM O CO tTl 5 ^f "J ^3
fn ^ S ^ 5ScKoS^ fn t> " t^ fy '^ ^ <j- o ^
f^StSSg 3:}S38 35
SH
5SRSSS ^SSSOI SSS'
■^" as'sRSs" s'sYs's" i'a^i"'"'' gas
"■ § ^^^^8 sS^^ ^
I li
'-"SS'S" EiSRS-S 3>"S"3
li
n
P.P.R
ill I
.3g§ I 5
|o3
!3g3R 55
gsgsg ssgg g"
sislS^s, SSs^ss Ills S§ ' §o3
3§S?sS RSRSS sS^s ~''' Ssl
;SR sis
l^sps sssgs gisg^
2 t Rss5p. ssSp. SHs
3 oj (^ oj vD t- 2 o 5 "^ 3 9 '^ S 3 " ""^
sss
§ 8 1™.^.^.^°. t^lt^. I".t°
5 S 3338?!? 35S2,3 SS§§
5 " a':a3"?!'3S d'sasp" s's'si'"
?! <^ ;^ ^0 (V C" 'J ^ ^ fS S S W 5 i!
3^3
3 I
^SSita Sfe»S^
ipiii Hill III! IP pi 1 1 ijiiii mil 1111
I|§8§§ §§§§§ 8888 ||§ III ^ .§8888 88888 §§§§
ii;
liS I
O C^rHrMtn-^ iO>OI>-«a> rHH.-vJTi d^^ ^^
? il§A
INDIVIDUAL INCOME TAX RETURNS FOR 1964
103
III
I I:
III
ii i:
il 15
■aasss sssss s
S3>"S5
S>~s"f^"f? SS;!'-
t^.l",t ^,1^.^. II ' ^,^.3
l§§3s alls S"^ ' 33^
pss'fts sss"-^" ass
asg^gs
«0 ^0 lA n M in M rH *"" 3"^^
;9^3§3 S§§|8 S§IS ^" ' fii2
j| SSS SS8
3 35§ isSS^ Sss3 ^'"'"
§SS^§2 ssii
§53 IkS^I 5sS3 ^'
ia^'
^|SS§ «3S^
3§S
3 ■" "^"Sgg
r~
gH
sss
3 I sassSs
S§§|S3 gggSg 3§og S-'-
58^
S§3
Hi
5 i ~
I si
1«S i?
si
si sr
33SSR i^li-^' gSS
ggsg r
IS5
Mi
3^?53 S & lo !5 n TOf^^p; 00?^ on^
'RSg:a!3 3S
3SRSS aajl-^" 3KS
S ' 'li|gg
g k!
rH rH rH OJ <Nl OJ .H H H <^i OO (O m
s 3 §S§S?S
|p||
|s3
S3S
!§|§g3
I s Ss|H^§
§§l§l
3 -
ssas's
;&l
§gs|i §gH, r" S3J
33SSSS
saa"^
Mi
3 J
i"
US-SS ;i&ss
i|iiii
mil lllf
UJ^SX S^&5^£ *;JS
r§ III
g I §11111
mil III!
III
INDIVIDUAL INCOME TAX RETURNS FOR 1964
1 t^
I si
§ S s
I li
31
l„l I?
tH
^^ass3 SsSS 2""" ||3
Sa§s3 83H S""" §H
^ SSs^H SiSSs ^sS^ '^ 2i§
3 ga3|ffi|
IsS;
is 3^
sSsH §33^ ~' isl
IT, 0^ ^ g t^ to is O 3 to 3 m (^ ry
"^ ■^'■°'|^":}S£
g g gaissE
^^°^^^ ^^m^ S*^*^ ^SS
IP.II I^.^J
SS8
i S 3§l3sp
sjs
§3g3f
3 SgS
jssrts sss:
§ ■? ^^§a§l SSHI ^R§s
S S ° R 3 ;
3 SagSR|
S §SS§Rf
§3£§s §HS
ill
II!
Jit
lllH
1
ilslg §§sg g3S Sss
,3Sg3 §3^3
0^ r^ & lA lA 5
§S^^^ H^^g
rHiria'>oo Ston>l
?3s Ss9
'2S|ss
glass |is|
is^Si S3S"
S^!
CM '^ ■* '^ S S !^ a)C--Sf3S O 3 ri [H CT- Qs H O ^ Ch
S^^^^^JJ
ic^ rtPS RS?
S^^SS 33^3
§sg
a f; S3S|SS
§§1^3 §R§^
3" ■=" ^"■'aRggs
^Sg
H^isi SSia §"'^ ssR
3 1 gsiiii mil nil pi lis 1 1 iiiiii
" ? i^§§§§ §§§§§ pii ii§ III t ii§§§§
8 888 1 150-0-8
mil 111!
§§§§! III!
ll| Isl
III III
INDIVIDUAL INCOME TAX RETTURNS FOR 1964
.- I
1)1
111
S >.§ s :
pill
Ji
211
I.I I?
Plli
y
5^ 5 W P( fNJ <-l ^ S Ih S 3 O ■£> o o^ fn O' C\J " ^o
rH 0> O --t ry n c\J ov CO S (^ CM ™ m S c
'ssssS 5sssi §aS§ isS l§s
3 r-i o o ^ ^ (n^c^oaS t^ (M fvi '^ 5°^
3 33gS5??' 3SSS3 SSS" i?
'^'^'SS Sl!^Sw3 <*»3t^3 f^too^
2ssH 2p.S§ IPJ. 3s ' ss?
ssastigi S3S
f fH 0> CJr-l vp M
SSSSO! SSS™
Oj ^ '^^ rH IM OJ CM .H fy o! f3 2 C^ O^ tr\
gsg
rf ;n'5'nC ^"^"S"^""^ p"*""^'
% ' 'I R~". sS^§ss SS§§ SS
§ ' ' s PI iSHs s|?s r
s s S3ssgs ^ggs| sags §'^
u^ <M «f^ ^ CNI (\i 3 n ■* m r-« S to t\I CM CM
CM ya m «-i vt t^ ^ m \o rH S S cm c^ n
?3S
s5g|ss S.lp.s PJ
sl°
■n (M O vD 00 O O (M -H "T* rri ^ irt to [S >* n t
E:SS S!5?!S S"
a ass s-ss;" "
p.".
sgs
''^ ?- S S r^oo^-^/^gJ K >f tn c
3 sss-Stsa a's'sVsi" a's""-"
sH
2
- ,l:s^^
ssaa"'""
,-.-.-
3 sSSsgS
M5g
P.I
AS^&A **a »:
I I §11111 mil §§§§ |l§ §-*
' t Il§§§§ §§§§§ nil l|§ iii
id" 5l'
1 1 iijiii mil nil III i^H
■ " -^ — iii
l§ I
g S;^*SJS;i S^£.gS ;JSSS ;tS« S^,S
105
245-158 O - 67 ■
106
111
111
I l5
s
I a
^3i
|.s,S
p
§ 5 s
I Ji
ill'
|||»|
;$i
INDIVIDUAL INCOME TAX RETURNS FOR 1964
t^ CNJCO>tC^ COCgWrH^ lAMC^OJ a.f^ (^
3 ' ' § 3^£ issfg S^^Sn ^'^ ' 3aJ
Q O S C^ -J-W^^O ^ ^D C^ W -D ir\ C
3 s^s^^s lllsS ssss
3SS
H 03 rH 3 tf^ ^ S S CO Si in C^ S^ 9
i's^pTp a's's'g"^'' Pa"""'^"
onSSro^ ^S^P^ g^g^ ^^
I ^ °".~AP- P.ll^- IPJ
S §sS SSssI sSH ssK lis
|g|3^ IssSS sSIs "''" PI
'^ !h 3 ol S ^ u-i Nt >f CO vO C- OJ
3gs
jgg aasR s"-^ 3g|
ipSs§§ SSHS isRS 3'^'^ s§§
iRgS SSR3S
5KSS §&s& ^°" Si
iU-^asQis s?;sss saa-
I ssrIss ?S^Is S^ss ^as 5s§
3S§
3 ' '33 3 P s^ t^.3J_ i § I § § ^ '
^ ^ n 3 Pi O^ ?^ E^ tfA >A ^ O- to ~ ir\ >!■ ^f ,-1 SSm
^_ I ^.m«s Sp.ss sISI si ' s |g
I I Is P.P. Rt'lS i|3s ^'
8 ' '§§§!§ HS3S Ss5S 33S PSS
'"a'SSS s's'S'SS S"f^"^"'° '*' l§3
3c5°c2 mu^r^ 5S(n
2 ^ H§§lg ^sSsS S8S3 s3^ SRR
oj ^ vo o y3 o^ CO fn cy c^ -* n tn o o^ o; (n u^ u-i c- o oj
K ^ fl n 5 ^ 5 3 E^ShSo oJ K ^ ?i on° 5^^-
=iss;i:s Sfesa*
1 1 i|llil Hill ijii !!§ Hf 1 1 iillli Hill llJJ Ik Jf!
^ !§§§§ §§§§§ §i|| III t i^§§8i §i§ii III! Ill III
;S;ss»^ s-sass usss
US^ &£S
I |5
11 f I
s %
3
I
il
in
ill
Si
p
5 S s
Hi
IjI
Jl
I fill
iiL
I.I s:
INDIVIDUAL INCOME TAX RETURNS FOR 1964
i
J |H rvi Qv 0^ "^ S ^ "^ ;i( S r> S in S '^ 3 too3
** (M rR >r in It} S S^ 5 O ^ S^ ^ J>1 '"' d ^ "^
j§§p sS|3S S^.sa ^^^ lis
^rHf^M? oovOco-st'^ -p vO t> rj CO ^^i r^
R a 33SSSP ?3S3fJrt SSS" ■^
I ssaisS sSIsS ^.H^.^. R'
33S
s" "
assssg
sssss
g's's-
§ 2
is§sH
33g3S
Sg3S
3 -
gsggss
S&SS3
psa"
'cM^tocic^ c^ CM t o* n '^ ^ cJ 9
r^ « S «0 ON -^ TO 0> (^ ^5SS
ilg 3^
;5a3 SRS^ff!
ill
Sss^a sim I3i3
3||
iti
S s
IftS^Ss SSSSS PS33
PsS^SsJ^ Stili: IIP,
PJ.
§5rs§s ?^i§3 Sis
sSs
SSsSS |s§5s 3SJ^§ ass sSs
I \ ^^%M\ ^A^M, 1^.9° -,ll P.-,
O ™ ^^■^IC-C^'-> (7>r^(Mb^TO u*l M 3 lA CM ^0 ,H OJ
i ' ' g S3S SssSS SasS ■^ ' ' s§3
s s v,%i sail"" d™*^" 3SS
mil s|a| § ' ' S8S
S ' ' i kSS IS3S3 SSrS " ' ' 53P
R 3 S§I§§S Sl^Ss S§PK
§ i Sf333KE? S33SR S"a
K S P^ 5SSS S3S33 SiSSa
5- -- --35d"a aa-" s-
-o cjs m H (^ CM CM lAo^tninoj tn to r- oj r-1 r^ u
C^ r-i m ir\ Oi >t to ir\ m ^ Tl \0 to rH ""» rH ""> C
SSi^SSRi 3Sd°
§§§8
=^S4-S ^£»S;S
:|S 1
I I iilill l!lll iiii !|§ ^^s I I iiiiii Hill fill Ijs Ui
" 4 -§0000 osooe §§§| llg III - 4 -§ooaa aaooo §§§§ §§8 eII
3$dg.S» »«-£»» «-»«.S- »»» SSS
■§ feg8888 88888 ^-:<55 ggS |||
107
INDIVIDUAL INCOME TAX RCTURNS FOR 1964
III
I 5i
I li
Hi
lis li
,?" -*''°3's' s's's's's' ass's a™-*" ^Jfr's"
' 3 5? n Si o ou n lA (^ rj Q r-i fl F^ o> ro CO ^^g
•""ssfs SS53S S3:i'^" g'ss
Pi Jn i^ S TO H irt C^ «-l TO 5 TO 2 (\J cf O oj fS ?n^
% ' 'IssSi RsSH 53§£ S"" 3^1
r- CM ■o^ot^fncry t^mincMOJ (MrH-O.H (PcjfM oivDco
r;- u^ ^.o[;;^mjH|^ ^^^^in r^23'^ Sho
s °'" saYss's 3S33S saa-^"
?S 2-" S?S?
s SSs SmS §§H 0,^" Sis
SSiSj^SS SS33g;
PigiSS S^"
P sgSgSS |3SS| g3|g S?!'" SSS
S ^ ""SiKSnS 25^
31s
ssi igiss 35S3 r"' iss
5°5toI^ 2 h ol to In ^ "^ ia^S
3n£S :^^^ mS:J
I li
is§3
(^ ^TOTOC^ 5^S
JTOC\jr- TOOC^-OO- mS'D^
111
SS'gS iSSSSE:
S|§S
jis s§S
"'"ftSSR SSSSS ggs'g.
SsHS 9sSls
3|5
O' r> <?■ TO TO oj O ^ *n OJ {j< TO
siS
s 5
S 3"
jo^^ir^c-o ^ yD m o^ 00 fJ Jili ^ ^ to ^o c
ssisisaa SRssf
^2
§ S333^S SSSSS sS§§ 1*°' Ps
5! s
333(^3 SSSPi
3§3
SijS is
J&.S e*
^^ SSRSgS SSSSg
SS3
S S ™sl|^§s siSss ^,§JJ. R"J.
sIslsR ia§3§ 5^53
j3C\!to-00\ rH^vO^
§ s
o >J vg « n o> c^ -J- rH c^ 'OV-a^O'
gS8
Hi
S S 8 B
III! mil fill ii§ iM
^8°- S°S§
■1° I
?o-o 8'8~S. II;
}»S *Sg ^.s^
I 1 iillll lilli "^^ |l§ ^§si
^§ §!§§§ 8§§§ ||§ ill
llL.. ...„.
INDIVIDUAL INCOME TAX REHTIRNS FOR 1964
111
II?
HI
3 u,
Hill
lllli
fell
P
fSS SSfJPt s
ss§s9 Sils §
Ssgs
3 ass
§3^33 s3§
H o TO S-i-^H ^ R In SJ l5 5oS1h
§53
sasRSfJ
1^33 ISI3 " '
'sH^S sS^ss ssss
'3pSs§ 3ss5§ 3sgS S^" H;
;5§ SSS Sf
iSfSSS SSSRS RSS-°'
3 I ™|SSS§ ^,232s |3l|
OJ O 9'^'^S'Ng fM CO 3 *0 3 ir\oJS(6
Ssg
3 ^ ^3ss3?( 3R^SS §3«3 S"^ SSl
Ui
3 3 sSSsSs igSSs s§H
R3S
li
"ssS^a SSssa
II
;gs sssss
gpsS
!J^
'X?2I§ 3§s3a
S3SS S3S28
'3RE;3
3§33§ SggS R'"'^ Ss
I"" sis
§§?3ss
sSk§
III
s§5S8 §a?| 5'^" aS3
III |T
aasgs
[SM_S IpJ
3§^S
^^ l?i
S"^ ggS
ill
§^§§S ^3§S g-o'" SSS
m
plS3§ R8sS S"""" S3S
!PF!S
q.ss*s &&Z&^
'a S;
3 I
?
!||||| lllll nil
liS
g lliiii
Hill
1 §s|||l fllll mi
t igi§i§ §§§§
I 111
'Ss" lee
58 ° III
110
ill
111
° .2 ^ I S
2 „ I I :
til li
S5l
l°2
INDIVIDUAL INCOME TAX RETURNS FOR 1964
a ssa Qissss s
g !?i;2;asss assss asss
'^~""!|r':sV
S||«l S^Sss 3 ' s §s s
S 3 §§s§3s SHss
SKSSs^ S3S3!
^sssR sSrss §ssi §'
SSI §s§
§RS3S
;3£5
vo io ajlSS-Or^S
s'iSs's
;r1 l&g
^ i^
3§ is^
8SgR3
^sa-
3 S 3HaiR §ss§s
3'"'" SSf
15
|lsSS SssS § ' ' |sl
IIP.
to TO oa 5
a 3 S3
I IIH
f?gss"s asa'p?
3s3§ 33§S wsS S5S
■flSR; SSS?i=);(
H53
llJH
l^diSgi
§l|i| §||§, 3 ' ' III
' 'ssggg 3^g§S
§S§2
°
P5SS3S RSa35
gss'^
^,
3 ggsisg sise
e§g
J,^^^
5'""' III
5§3
§ ^ S3^ss§ IsSsS 3S"'
3 "■ ss;
'it
SS53SFJ
i3^Rs5
ii?:ii
L^2S J =
'""■'■'ssss-
ngggS §§^§ S ' ' §^3
TO vO r-i O O fv] rH n TO nT m U-\ O (M
S3
5gS Sgg
C^ ^ Oi 8 TO TO
ItoE^S-vJ-K § fNj O t-^ c^ ryf^TOd
S|§§3 g||S " ' ' S§|
IPJ
I::!:
sllll
8888|. ^-o-o-8 S^g °.|S
iaSSU t^^? 11^ ^88
mil nil p§ 111 3 1 giiiii iiiii nil
§§§§§ nil l|§ iii t ;!§§§§ §i§§i nil
III Ui
III III
I li
IH
ill
15
111
iiifi
til il
:tn
INDIVIDUAL INCOME TAX RETURNS
SPSS? SRS5 ?;""■"" |ss
§^s5| sSss III p|?
!ls3 §1351 ^3§6 3'''° S^v
?3R^|2
||§gi SisS r° s^(
SSR3;
^S i-~ §
gSs^S §|ss ss| I
!P--,5 S||g^ r~° |rJ
§ I 3§H^S
5 " ^"sS3;
cy rv rj CT- F- 55 M r^ "^ ^ ^
SS^Ss H§? Ss ' Isf
ssS
S33S
^gss3
;gg§33
2Sf
^dSSS3
ggg|8 sags
jSss Is2s§ sJsI s§ ' sas
gSBs
o*r^fy<-ico lAD-inm xD r-j i m oj c^
". ", ^A^A\^~ ^AA%\ sSSS ^" ' las
%H%s |r3J
3^ ' 3H
"S3
S§§ §PS§S 3§§l 2'
S ^';«PS5^"
^IsH §SrS s"
£SS
H^IS sSSi
s§ a ssssss
S:JSS3 3P8S?
2 S g §g|rt
o- -- 5 3-0V-J
sS^R^ 2?ss 3'' ' SSI
5 gs»3?§
33?3S §Ss3 S"
ass
2 333 §S§3s 3sS3 § 'S
S ' ' £ sis
SS3
P.°§^, i32a
§ ' ' s s§i §s^Ss
ssig;
S 3 ssSsSs
SS§§S gSRS
"^ 33S
§3§5i rHs
'" sSs
I ^|sss§
as3
3 ^^l§ §§S§s SHS ^''^ sSS
8 S S^S'^'^S "^^^^S oc^Stf
I §1111
Hill lilt !!§ 1^^
lllll |||| III III
III! mil 1111
:§^5g.S» S»£-SS ^^SS-
8
III III
2
I I
S 2
s I
I I
1 =;
s^
^y>
Si
^«
"^
si
,.?.
.?."
-2
;,°!,si
31..
s?^m
111
SECTION 6
Historical Data, 1955-1964
TABLE CONTENTS
Basic Tables
33. Number of returns and adjusted gross income, by adjusted gross income
classes. 113
34. Number of returns by major characteristics, adjusted gross income and
deficit, taxable income, and tax, 114
35. Returns with income tax - Number, adjusted gross income, taxable in-
come, income tax. and average lax. by adjusted gross income classes.
type.
36. Sources of income by type, 116
37. Itemized deductions on returns with adjusted gross income.
116
38. Selected sources of income by adjusted gross income classes, 117
39. Number of returns, adjusted gross income, and income tax by States.
119
These historical data lor years 1955 through 1964 are not precisely com-
parable among all years, for the data span a period of years during which
there were changes in law. return forms, and methods of obtaining data.
-NUMBER OF RETURNS AND ADJUSTED GROSS INCOME BY ADJUSTED GROSS INCOME CLASSES
[Taxable and nontaxable returns!
Adjuisted gross income classes
Number of
returns
Adjusted
gross income
Number of
returns
Adjusted
Number of
Adjusted
^S^deficir
Number of
returns
Adjusted
^''deficit
Number of
returns
Adjusted
19
55
1956
1957
1958
1959
58,250,188
'248,530
59,197,004
'267,724
59,825,121
'280,321
59,085,132
'281,154
60,271,297
'305,095
57,818,16.4
3,839,333
3,202,710
8, 649, 018
8,428,684
8,665,023
8,008,621
5,862,618
3,871,849
2,400,131
1,412,757
912,095
1,518,296
425,989
521,613
77,6<X
20,928
f6?
249,429
1,262
2,566
12,829
21,134
30,320
35,931
32,062
25,021
17,897
11,940
8,622
17,924
7,300
15,U6
5,152
3,369
418
sea
'899
58,798,843
3,775,785
3,026,632
8,172,493
8,043,762
8,281,023
8,046,621
6,234,822
4,371,937
2,798,254
1,811,480
1,123,333
1,921,229
493,101
89A70
22,008
398,161
268,584
1,242
2,420
12,124
20,124
29,005
36,141
20*892
15,314
10,620
22,570
3,543
16,864
5,905
59,407,673
3,833,400
2,989,651
7,876,988
7,658,617
7,791,975
7,868,427
6,555,283
4,709,612
2)091^262
1,334,622
2,213,510
543,746
617,259
93,421
22,128
585
223
417,448
281,308
1,256
11*665
19,140
27,264
35,372
35,886
30,480
23,942
17,706
12,623
17',811
6,133
3,499
398
448
'988
58,700,924
3,950,030
3,060,247
7,690,812
7,413,127
7,472,426
7,385,219
6,375,555
4,676,947
3,226,84^
2,171,701
1,452,594
2,488,095
634*671
91,715
21,399
244
334,258
282,166
1,277
2,447
11,369
18,537
26,150
33,191
X,899
30,258
24,102
18,379
13,746
29,214
10,055
18,209
6,050
'360
'1,012
59,838,162
3,918,975
2,995,694
7,400,534
7,128,208
6,993,571
7,071,569
6,392,580
5,082,962
3,699,701
2,621,189
1,749,953
3,208,968
707,192
724,368
114,852
26,844
230
433,135
306,617
2,392
10,935
17,834
31,802
$5,000 under $6,000
$6,000 under $7,000
$7,CXX) under $8,000
32,927
27,640
22,202
12,091
20,868
4,230
482
'1,522
19
60
1961
1962
1963
19&4
Grand total
61,027.931
'315,466
61,499,420
'329,861
62,712,386
'348,701
63,943,236
'368,778
65,375,601
'396,660
tal
3,991,109
2,992,643
7,356,367
6,924,131
6,877,017
6,866,523
6,422,593
5,29l,9U
3,888,676
2,757,554
'786^031
765,186
101,272
23,482
735
306
316,558
1,306
2,381
10,859
17,333
24,033
30,882
35,253
34,281
29,080
23,372
18,0:5
42,805
13,400
21,926
611
=^1,091
61,067,589
3,969,165
3,018,799
7,264,693
6,74^,070
6,695,232
6,582,888
6,227,266
5,282,007
4,142,911
2,984,990
2,146,657
4,125,222
889, 562
853,871
110,476
393
431,831
330,936
1,283
2,409
10,694
16,864
23,410
29,620
34,163
25,284
20,334
48,553
15,151
7^268
4,701
806
'1,074
62,290,595
4,002,049
3,001,512
7,267,013
6,558,908
6,588,332
6,280,854
6,157,541
5,373,806
4,332,207
3,243,914
2,404,470
4,940,U0
1,047,768
12l!552
25,998
421,791
349,861
1,304
2,397
10,694
16,396
23,034
28,249
33,834
32^380
27,507
58^230
17,818
26,94.4
4,213
547
63,511,244
3,951,204
2,990,022
7,255,761
6,573,692
6,364,614
6,205,636
5,836,949
5,473,979
4,549,765
3,535,322
2,650,806
5,664,051
1,238,272
1,054,288
132,385
28,311
816
371
370,271
1,288
10^697
32^087
35,517
34,028
25,120
66,934
21,044
30,005
8,679
'1,493
3,937,988
3,107,878
7,204,380
6,211,330
6,125,320
5;748!l56
5,415,250
4,837,778
3,875,555
3,027,314
i;460A98
1,211,761
159,229
34,946
432,317
398,212
$600
1,276
15,530
21,449
26,875
35,143
36,213
23,692
78,291
10,463
5,707
Returns uith no adjusted gross income
'1,552
113
INDIVIDUAL INCOME TAX RETURNS, 1955-1964
-NUMBER OF
BY MAJOR CHARACTERISTICS, ADJUSTED GROSS INCOME AND DEFICIT, TAXABLE INCOME, AND TAX
T^^^^
With taxable income.
With no adjusted groi
Returns with standard i
itemized deducti^
-employment tax,
Sales of capital ;
Ordinary gain from sales
Sales of property other
■ depreciable
Life expectancy
Royalties :
Estates and
Adjusted gross :
Taxable retun
Nontaxable re-
^Foi- 1955-1960,
^For 1955-1960,
■'Excludes returns with
been reduced by the number of returns with no adjusted gross incane for comparability with
of wages not subject to withholding reported as other income on Form lOAQA.
For 1961, excludes returns with dividends reported with other income on page 1, Form 1040,
Form 1040A. For 1961
e directly preceding ii
Combined frequ'
t reported with other income c
it wholly comparable with tho;
page 1, Form 1040,
ot specifically identified on
not specifically identified
INDIVIDUAL INCOME TAX RETURNS, 1955-1964
Table 35.— RETURNS WITH INCOME TAX — NUMBER, ADJUSTED GROSS INCOME, TAXABLE INCOME, INCOME TAX, AND AVERAGE
BY ADJUSTED GROSS INCOME CLASSES
NUMBER OF RETURNS
nder $1,000...
under $2,000.
under $3,000.
under $5' 000.
under $6,000.
under $7,000.
under $10,000..
under $15,000.
under $20,000.
under $50,000.
under $100,000
under $500, 00(
,650,165
,111,51
497,4
580,991
89,095
,296,407
,238,404
,344,979
,,295,457
.,644,506
1,214,399
7,447
1,033,931
1,793,668
,,400,547
,208,966
7^973
852,327
28'214
.,775,101
1,507,689
,,830,951
,390,530
,517,117
,524,119
,643,623
ADJUSTED GROSS INCOME
I under $7,000.
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000...
$500,000 under $1,000,000.
$1,1
$600 un(
$1,000 1
$2,000 I
TAXABLE INCCME
INCOME TAX ;
Total
$600 under $1,000
7,135
15,:
25,145
34,381
33,460
28,080
20,849
5,295
10,1
17,075
13^716
13,450
22,092
31,279
18,343
13,733
29,177
10,042
42,752
13,376
21,901
25,225
20,302
48,474
15,126
32,441
ll',031
19,198
5,928
1,200
6,358
12,011
27,420
22,722
58,115
5,397
12*723
under $8,000...
under $9,000...
under $10,000. .
under $15,000.
under $20,000.
under $50,000.
under $100,000
00 under $500, Oa
00 under $1,000,1
3,178
2,779
2,274
2,577
2*484
AVERAGE INCCME TAX PER TAXABLE RETURN
$600 under $1,000...
$1,000 under $2,000.
$2,000 under $3,000.
$3,000 under $4,000.
$4,000 under $5,000.
68,583
329,456
987,962
116
INDIVIDUAL INCOME TAX RETURNS 1955-1964
Adjusted gross income less ■
Salaries and wages^
Partnership:
Net profit. ,
Net loss...,
Sales of capital assets:
Ordinary gain from sales of depreciable property.,
Sales of property other than capital assets:
Pensions and annuities:
Life expectancy method.
3-year method
Royalties:
Net income.
Net loss...
226,902
25,395
283,373
26,851
. withholding reported as other income on Form 1040A.
lunt is a gross figure.
^Excludes dividends reported on Form 10404. For 1961, excludes dividends reported with other incora-
"'Excludes interest reported on Form 104QA.. For 1961, excludes interest reported with other income t
^Includes dividends, interest, and wages not subject to withholding reported on Form 104QA,.
'For 1963, includes only self-employed pension deduction, but for 1964 also includes excludable sic!
») Tabulated in combination with the ,
directly preceding it. Combined amounts ;
net of excludable j
pay, employee moving expenses, and certain employee business expenses.
. wholly comparable
Table 37. —ITEMIZED DEDUCTIONS ON RETURNS WITH ADJUSTED GROSS INCOME, BY TYPE
[Taxable and nontaxable retorns]
Type or deduction
19.5
-1^^
1958
1959
1960
1961
1962
1963
19o4
fK.Jlion Ml^,)
27,498
46,832
al eroenses
r 3,473
5,828
1 4,810
/tabulated
6^269
ta.SLd
I0I526
6;750
103
LbSated
f 6,079
13,045
10,274
< 7,516
ll '-
/tabulated
Contributions
3,327
I 4,882
INDIVIDUAL INCOME TAX RETURNS, 1955-1964
Table 38.— SELECTED
INCOME BY ADJUSTED GROSS INCOME CLASSES
d ncntaxatie returr;S ]
117
SALAHJEE AND WAGES'
$5,000 under $6,(
$6,000 under $7,(
$7,000 under $8,1
adjusted gross
$1,000 under $2,0(
$2,000 under $3,01
$3,000 under $4,0l
$4,000 under $5,0
$5,000 under $6,0
$6,000 under $7,0
9,417
16,683
25,456
$15,000 under $20,000. .
$20,000 under $50,000. .
$50,000 under $100,000.
adjusted gross :
INTEREST HECEIVED-'
Returns with
income , total .
I under $3,000.
$9,000 under $10,000....
$10,000 under $15,000...
$15,000 under $20,000..,
$20,000 unoer $50,000...
$50,000 under $100,000.,
Returns with i
adjusted gross
118
Adjusted gross income ■
INDIVIDUAL INCOME TAX RETURNS. 1955-1964
INCOME BY ADJUSTED GROSS INCOME CLASSES -
(Ttaable and nontaxable retin-nsl
1955
1956
1957
BUSINESS AND FAiW PROFIT
Returns with adjusted gross income^ to
Under $600
$600 under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $3,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100,000 under $500,000
$500,000 under $1,000,000
Returns i
PAHTNEHSHIP PROFIT
Grand total
Returns with adjusted gross income, total.
Under $600.
$600 unc
$1,000 I
$2,000 >
$3,000 I
$1,000.
$4,000 under $5,000..
$5,000 under $6,000..
$6,000 under $7,000..
$7,000 under $8,000..
$9,000 under $10,000..,
$10,000 under $15,000..
$15,000 under $20,000.,
$20,000 under $50,000.,
$50,000 under $100,000,
$100, 00(
$500, oa
$1,000,(
adjusted gross
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50, 000 under $100, 000
$100,000 under $500,000
$500,000 under $1,000,000
$1,000,000 or more
letums with no adjusted gross :
dividends reported
interest reported o
. from sales of capit
1,336
1,060
2,810
all amounts of wages not subject to withholding reported
s expenses, but for 1964, the amount is a gross figure,
n Form 1040A. For 1961, excludes dividends reported with
Forro 1040A. For 1961, excludes interest reported with o
1 assets reported in adjusted gross income.
1040A. For 1955-i
salaries and '
other income on page ;
■ net of excludable
separate schedule.
INDIVIDUAL INCOME TAX RETURNS 1955-1964
—NUMBER OF RETURNS, ADJUSTED GROSS INCOME, AND INCOME TAX BY STATES
T^^^
NUMBER OF HETURNS
Uiated States'
Connecticut
District of Columbia^
Florida'
Hawaii
Idaho
Illinois
Indiana
Iowa
Kentucky
Louisiana
Maine
Maryland^
Massachusetts
Michigan
Minnesota
Mississippi
Nebraska
New Hampshire
New Jersey
North Carolina
Ohio
Pennsylvania
Rhode Island
South Carolina
South Daiota
Tennessee
Vermont
Virginia
Washington
West Virginia
ADJUSTED GEOSE INCOME (LESS DEFICIT)
United States'
Arkansas
California
Colorado
Connecticut
Delaware^
District of Columbia'
Florida'
Hawaii
Idaho
Illinois
Kentucky
Maine
Maryland'
Massachusetts
Michigan
Minnesota
Mississippi
Nebraska
New Hapmshire
2,183
6,394
2,740
2,921
3,025
5,656
1,845
3,472
3,960
1,303
2,004
2,624
1,155
2,029
2,6L2
1,192
8,229
1,133
2,527
120
INDIVIDUAL INCOME TAX RETURNS, 1955-
-NUMBER OF RETURNS, ADJUSTED GROSS INCOME, AND INCOME TAX BY
1964
STATES-
States
I..
1956
1957
19.
1.60
1..1
1..
.3
l>c4
f.,H,.o
10,304
2! 501
17,358
'646
10 ; 6%
1,042
4,385
4,203
2,055
11,135
965
32,208
4,231
16,920
2;749
18,815
1,954
672
3,674
11,582
1,155
4,752
4,527
5^916
11,667
1,111
33,893
4,467
17,389
21584
19,514
1,335
2,068
694
12^356
1,211
2^491
331
i;i38
34,017
16,310
2;836
18,968
1,390
2,058
790
3,785
l!282
4^986
2,211
i;3i5
37,042
5,033
17,921
20; 200
1,481
2,324
742
4,003
2^331
lisio
38.036
18,472
20^654
2,395
733
4.334
i;438
5; 321
2.406
6.967
1^385
40,017
'756
18,671
3.421
3,186
20,833
1.646
2.580
900
14^828
1.606
6,155
5,695
2,386
14,926
1,440
41.477
'899
3;400
21.759
2,788
15'.439
1,639
6^012
'illy
15,811
1,496
43,324
"'937
3; 698
3,743
2,935
16',321
7,129
6,303
630
16,729
1,548
22,099
4,038
4,127
^nneylvama
South Dakota
5 662
17,435
1,887
Virginia
7,764
y?^ liT^^""
8*309
INCCME TAX AFTER CREDITS
29,654
32,706
34,382
34,351
38,o53
39 545
42 271
44 393
43 200
32
155
212
355
2,190
775
296
299
564
1,023
1,688
93
83
3,947
351
2,080
160
325
1,285
460
205
622
12
32
312
162
z
385
92
89
'852
388
1,053
120
97
91
'381
61
2,149
301
378
1,405
521
38
183
134
308
727
164
213
713
101
382
427
129
1,111
119
109
190
'417
64
2,219
329
292
2.480
165
180
1,536
123
543
565
717
194
143
329
720
231
719
102
436
362
412
128
11607
782
224
76
1,539
130
'325
344
2,368
182
1,541
128
623
237
60
45
235
167
4,422
359
803
129
103
'942
375
134
1,283
Bl
'l52
5,097
387
2,606
226
262
68
384
254
835
851
104
2,951
396
376
448
148
1,362
1,908
641
884
89
125
'145
5,077
520
2,385
383
227
269
843
71
399
275
182
4,955
107
3,124
427
157
1^892
691
939
110
133
'l57
5,529
578
2,433
2,635
209
509
734
734
851
72
436
215
5,281
3,306
450
1,252
2^107
707
980
141
'642
89
2,558
407
'215
613
1,973
62
813
781
473
232
5,714
1,046
194
1,090
695
118
3,424
435
472
1,073
1,587
2,315
765
217
1,087
130
310
°'705
95
2,738
437
471
'231
2,108
71
870
828
84
480
fr^?""
438
Connecticut
1,019
rlorida'
Georgia
723
175
iir 's
J°"^
440
^uislana
173
3
Massachusetts
1,520
New Jersey
2,102
160
90
Oklahoma
Oregon
438
476
2,945
Pennsylvania
313
S°"th Dakota""
2,028
185
885
751
302
Wisconsin
925
Oth'°*"areas '
92
■^Includes data for "Other areas" described in footnote 5.
^For 1962, data for Delaware are not shown separately. However, ■
^For 1961-62, data for District of Columbia are included in the s"
*ror 1955, data for returns from Panama Canal Zone are included ii
^Includes data for returns of bona fide residents of Puerto Rico,
States totals.
SECTION 7
Explanation of Classifications and Terms
CLASSIFICATIONS
Adjusted gross income classes
The amount of adjusted gross income reported by the
taxpayer on his return was the basis for classifying data
for the size of income. Deficit and a breakeven in ad-
justed gross income were considered "No adjusted gross
income" and appear as a separate class. Whenever tax-
able and nontaxable data are combined by size of income,
the nontaxable data are distributed in the class denoted
by the amount of adjusted gross income reported, although
when shown separately, data from nontaxable returns with
$5,000 or more adjusted gross income are grouped in one
class.
Marital status of taxpayer
Marital status was determined by the taxpayer as of
the last day of his tax year or the date of the death of a
spouse. The five marital classifications--joint returns
of husbands and wives, separate returns of husbands
and wives, returns of heads of household, returns of
surviving spouse, and returns of other single persons --
were based on the marital condition indicated by the
taxpayer with regard to name (or names) of taxpayer,
joint signatures, exemption for the taxpayer or for
himself and spouse, check mark denoting status as head
of household or surviving spouse, and any other relevant
data.
Joint returns of husbands and wives were those on
which a married couple reported their combined income,
or were returns of married couples only one of which
had income but, nevertheless, exemptions for both could
be claimed.
Separate returns of husbands and wives were returns
of married persons, each of whom filed a return inde-
pendent of his spouse and reported only his own income,
exemptions, and tax. Returns with community income
divided between husband and wife were given this clas-
sification. Also included under this classification, were
returns of married taxpayers electing not to file a joint
return, but to claim the spouse's exemption where the
spouse had no income and was not the dependent of
another taxpayer.
Returns of heads of household were returns of un-
married persons (or one married to a nonresident
alien) who furnished more than half the maintenance of
a home which was his residence and which he shared
with any related persons for whom he was entitled to
the deduction for an exemption (except multiple support),
or shared with his unmarried child, grandchild, or step-
child even though not a dependent, or who paid over half
the cost of maintaining a household which was the prin-
cipal abode of his parents, if either of them qualified
as a dependent.
Returns of surviving spouse were returns of widows
and widowers who indicated this status. A surviving
spouse is a taxpayer whose spouse died during either
of two preceding tax years and who had not remarried,
but who had maintained as his home a household which
was also the principal abode of his child or stepchild
for whom the taxpayer was entitled to the deduction
for exemption.
Returns of single persons not head of household or
surviving spouse were those of other unmarried
individuals.
Returns with standard deduction or with itemized
deductions
Standard deduction returns included (1) Form 1040A
returns, (2) Form 1040 returns with adjusted gross
income under $5,000 on which the income tax was
determined from the tax table, and (3) Form 1040 re-
turns with adjusted gross income of $5,000 or more on
which the taxpayer elected to use the standard deduction.
Returns with "No adjusted gross income", classified
as standard deduction returns in years prior to 1961,
have been classified separately since 1961.
Returns with itemized deductions were Form 1040
returns with adjusted gross income against which item-
ized nonbusiness deductions were claimed by the tax-
payer in the computation of his taxable income. A
relatively few separate returns of married persons
who had neither standard nor itemized deductions were
included in this classification because it was assumed
that the other spouse itemized.
Size of selected sources of income or loss
For distributions of thenumber of returns with selected
sources of income or loss in adjusted gross income, re-
turns were divided into categories according to the size of
a specific income or loss. The size intervals are nar-
row at the lower end of the scale so that small amounts
are adequately classified.
States
Classification by States was based on the district in
which the returns were filed. Internal Revenue districts,
or groups of districts, are identical with State bounda-
ries, except that the District of Columbia was a part of
the Baltimore, Maryland, Internal Revenue District. The
Office of International Operations had charge of returns
with addresses outside the 50 States. These returns in-
cluded those from Puerto Rico, Virgin Islands, Panama
Canal Zone, and returns with foreign addresses, all of
which were classified as "Other areas."
121
122
Taxable and nontaxable returns
Taxable returns had an income tax remaining after the
allowable tax credits were deducted. If the tax after cred-
its was greater than zero, the return was classified as a
taxable return.
Nontaxable returns had no income tax remaining after
tax credits. Some nontaxable returns had income tax
before credits which was eliminated by the tax credits.
Many nontaxable returns showed an amount of self-
employment tax; however, the self-employment tax was
disregarded for this classification.
Taxpayers age 65 or over
In order to distinguish returns filed by taxpayers age
65 or over, the additional exemption for age was used
whenever claimed on a return. In the case of joint re-
turns of husbands and wives, some had only one addi-
tional exemption for age 65 or over while others had
two additional exemptions for age, indicating that both
husband and wife were over 65 years of age. Whether one
or two age exemptions was claimed, the return was con-
sidered a return of a taxpayer 65 years or more of age.
Tax rate classes
This classification applied to the percentage rates used
in computing income tax before credits based on the
amount of taxable income. The class intervals coincide
with the percentage rates of the three income tax rate
schedules mentioned below.
Tax rate schedules
The three tax rate schedules designed for individual in-
come tax apply to (1) joint returns and returns of surviv-
ing spouse, (2) separate returns of husbands and wives
and returns of single persons not head of household or
surviving spouse, and (3) returns of heads of household.
These schedules are reproduced at the end of this report.
Type of taxpayment
Taxpayers made prepayments toward their tax liability
through tax withheld from wages and payments on 1964
declarations of estimated tax. Any balance due was pay-
able when the return was filed. Some taxpayers made no
prepayments of tax (about one of every nine returns).
In table 12, returns were separated into four categories
according to the following combinations of prepayments
of tax: (1) only tax withheld, (2) tax withheld and pay-
ments on declarations, (3) only payments on declarations,
and (4) neither tax withheld nor payments on declara-
tions. The first three combinations were shown for re-
turns with an overpayment of tax, all conibinations were
shown for returns with tax due at time of filing, and all
combinations were shown for returns with neither
overpayment nor tax due.
EXPLANATION OF TERMS
Adjusted gross income
Adjusted gross income was gross income from all
sources that are subject to income tax minus (1) ordi-
INDIVIDUAL INCOME TAX RETURNS FOR 1964
nary and necessary expenses of operating a trade or
business, (2) expense deductions attributable to rents and
royalties, (3) expenses of outside salesmen attributable
to earning salary or other compensation, (4) expenses of
travel, meals, and lodging while away from home over-
night paid by an employee with respect to services
rendered, (5) transportation cost related to the perform-
ance of services as an employee, (6) expenses for educa-
tion required to maintain salary, status, or present em-
ployment, (7) expenses paid or incurred in connection
with service as an employee under a reimbursed or other
expense allowance arrangement with the employer, (8)
exclusion of allowable sick pay if the sick pay was in-
cluded in gross salary, (9) depreciation and depletion
allowed life tenants and income beneficiaries of property ,
held in trust, (10) deductible losses from sales of capital |
assets, and other property, (11) deduction equal to 50
percent of the excess of net long-term capital gain over
net short-term capital loss, (12) net operating loss de-
duction, (13) contributions to a retirement fund by the
self-employed, and (14) reasonable expenses incurred
in moving from old residence to new residence at new
place of employment.
Alternative computation of tax liability
An alternative computation of the tax was afforded
taxpayers on the long-term capital gains portion of their
income. This alternative computation limited the tax on
net long-term capital gains in excess of any net short-
term capital losses to 25 percent. The portion of the
income deemed ordinary income was still taxed at the
normal tax and surtax rates. Under the alternative
computation, half the excess described above was in-
cluded in taxable income and the tax before credits was
half of the included portion of the excess plus an amount
calculated by applying the normal tax and surtax rates to
the balance of taxable income.
Providing there were some capital gains, the alternative
computation of tax was advantageous if taxable income
other than capital gains exceeded $40,000 on joint returns
and returns of surviving spouse, $32,000 on returns of
heads of household, or $20,000 on separate returns of
other persons. These were the points at which the mar-
ginal combined normal tax and surtax rates on the dif-
ferent rate schedules exceeded 50 percent.
Business or profession net profit or net loss
This source was reported by individuals who were sole
proprietors of a business or members of a profession,
and who did not elect to be taxed as a corporation. When
there were two or more sole proprietorship businesses
operated by the taxpayer, the single amount of profit or
loss included in adjusted gross income represented the
combined profits and losses from all business activities.
The sole proprietor was required to exclude dividends
from the business receipts and to report them with divi-
dend income for the purpose of dividend exclusions and
tax credit.
Business expenses deductible from business receipts
included such items as cost of goods sold, salaries and
wages paid employees, interest on business indebtedness,
taxes on business and business property, bad debts arising
from sales or services, depreciation, obsolescence, de-
INDIVIDUAL INCOME TAX RETURNS FOR
123
pletion, casualty losses on business property, rent, re-
pairs, supplies, advertising, selling expense, insurance,
and other costs of operating the business. Compensation
of the sole proprietor was not allowed as a business de-
duction and the net operating loss deduction was not
reported among the business expenses.
Capital gain and loss
Net short-term gain or loss. - -Gains and losses from
sales or exchanges of capital assets held six months or
less were considered to be short-term. Gains and losses
from current year transactions were combined with (1)
any capital loss carryover from the five preceding years,
and (2) any net short-term gain or loss received from
partnerships or fiduciaries to obtain the net short-term
gain or loss.
Net long-term gain or loss. --Gains and losses from
sales or exchanges of capital assets held more than six
months were considered to be long-term. Gains and losses
from current year transactions were combined with (I)
any net long-term gain or loss received from partner-
ships or fiduciaries, and (2) any capital gain dividends
received from regulated investment companies to obtain
the net long-term gain or loss.
Capital loss carryover from 1959- 1963. --This carry-
over was that portion of the net capital loss sustained in
the 5-year period preceding 1964 which the taxpayer had
been unable to offset against either his capital gains or
the $1,000 maximum deduction for net capital loss in
computing adjusted gross income for tax years subse-
quent to the year in which the capital loss arose. The
carryover was reported with and treated as a short-
term capital loss in the current year. (See definition
of "net loss from sales of capital assets" for the new
treatment of capital losses carried over from 1964.)
Net loss from sales of capital assets before statutory
limitation. --This was the entire loss reported on returns
with a net capital loss (in adjusted gross income) result-
ing from the combination of net gains and losses, both
short-term and long-term. The limitations applied to this
amount are described in the definition of "net loss from
sales of capital assets."
Net long-term capital gain in excess of net-short term
capital loss. --This was the entire amount of net long-
term gain in excess of any net short-term loss computed
for each return having these conditions regardless of
what tax computation was used. Only one-half of the
excess was included in adjusted gross income. However,
since the tax on this portion of the excess cannot exceed
50 percent, the maximum rate on the excess long-term
gain is, in effect, 25 percent.
One-half excess net long-term gain. --Although this
term represents that portion of the net long-term capital
gain included in adjusted gross income, in these statistics
it is used only to describe the capital gains portion of tax
base on alternatives tax computation returns. In reality,
this amount is taxed at 50 percent which results in the
overall effective rate on long-term gains of 25 percent.
(See examples 2 and 3 on page 67 of section 3.)
Net gain from sales of capital assets. --Such gain in-
cluded in adjusted gross income was the amount of gain
from sales or exchanges of property treated as capital
assets. In computing this gain, the net short-term gain
or loss was combined with the net long-term gain or loss
and the resultant gain if long-term was reduced 50 per-
cent. The amount of net gain in adjusted gross income
conforms to one of several conditions, namely, (a) 50
percent of the excess net long-term gain over net short-
term loss occurring on certain returns, (b) on returns
with only a net long-term gain, 50 percent thereof, (c) on
returns with both net short- and long-term gain, the en-
tire amount of net short-term gain combined with 50
percent of the net long-term gain, (d) on returns with
only a net short-term gain, the entire net gain, and (e)
the entire excess of net short-term gain over net long-
term loss on other returns.
Net loss from sales of capital assets. - -This source
reported as a component of adjusted gross income was
the deductible loss resulting from sales or exchanges of
property treated as capital assets. To determine the
deductible loss, the net short-term gain or loss was
merged with the net long-term gain or loss, and the
excess loss was allowed to the extent of the smallest
of (1) amount of capital loss, (2) taxable income (adjusted
gross income if tax table was used) computed without
regard to capital gains and losses and the deduction for
personal exemptions, or (3) $1,000.
Prior to 1964, any part of the capital loss incurred in
the taxable year which was not deductible because of the
limitation could be carried forward for 5 succeeding
years as a short-term capital loss to the extent that it
was not absorbed by capital gains in the intervening
years. Current year losses were offset against gains
before the carryover became available. If the carryover
was not eliminated in the 5-year period, the remain-
ing loss could not be used.
The Revenue Act of 1964 provided two major changes
in the law on capital losses. A capital loss incurred in
tax year 1964 or later years could be carried over in-
definitely until absorbed. The loss carryover is now
treated as a long-term or short-term loss in the years
to which carried, depending upon its nature in the year
incurred.
Contributions
Contributions deductible from adjusted gross income
were gifts to organizations created in the United States
or its possessions, or under its laws, and operated for
religious, charitable, scientific, literary, or educational
purposes exclusively, or for the prevention of cruelty to
children or animals, and gifts to veterans' organizations
or to governmental agencies which use the gifts for public
purposes. Individuals who were members of a partner-
ship also included their pro rata share of contributions
made by their partnerships.
Prior to 1964, the deduction for contributions generally
could not exceed 20 percent of adjusted gross income;
however an extra 10 percent was deductible if it con-
sisted of contributions to churches, convention or asso-
ciation of churches. Salvation Army, tax-exempt edu-
cational institutions, tax-exempt hospitals, and certain
organizations engaged in continuous medical research
in conjunction with hospitals.
The Revenue Act of 1964 allowed a deduction for all
contributions up to 30 percent of adjusted gross income
with the general exception of contributions to private
foundations which were still subject to the 20 percent
limitation. The new law also provided that contributions
124
INDIVIDUAL INCOME TAX RETURNS FOR 1964
exceeding the 30 percent limitation (in the year paid)
could be carried over to be deducted in subsequent
years.
Credit on 1965 tax
This credit, requested on Forms 1040, was that part
of the overpayment of 1964 tax which taxpayers speci-
fically requested be credited to their estimated income
tax for 1965.
Deficit (in adjusted gi-oss income)
This deficit occurred when the deductions allowed for
the computation of adjusted gross income, as stated above,
exceeded the gross income.
Dividends in adjusted gross income
Dividends in adjusted gross income were distributions of
cash, property, services, accommodations, etc., by a cor-
poration from its earnings to individual taxpayers, except-
ing dividends not exceeding $200 per return in other in-
come on Forms 1040A. As a result of the Revenue Act of
1964, the maximum exclusion of qualifying dividends was
increased to $100 per taxpayer. On joint returns, if both
husband and wife received qualifying dividends, each ex-
cluded up to $100 against his respective dividend income.
All dividends qualified for the exclusion unless they fell
under Section 116(b) of the Internal Revenue Code of
1954.
Dividends did not include the so-called dividends on
deposits or withdrawal accounts in mutual savings banks,
cooperative banks, domestic building and loan or savings
and loan associations, and credit unions. This type of in-
come was considered interest for income tax purposes.
Employee business expenses
An employee was allowed a deduction in the computation
of adjusted gross income for business expenses incurred
in connection with his employment. Expenses which
qualified included:
(1) cost of travel, meals, and lodging while away
from home in the performance of service as an employee,
(2) any other expenses to the extent covered by a
reimbursement or expense allowance arrangement with
the employer,
(3) business transportation costs, other than com-
muting, and
(4) outside saleman's expenses of soliciting busi-
ness for his employer.
If the employee accounted his deductible expenses to
his employer, he was not required to report the reim-
bursement in income, except for any amount of reim-
bursement in excess of expenses. Likewise, he was not
required to show the expenses on the tax return except
those expenses in excess of the reimbursement.
Certain employee business expenses (listed in the defi-
nition of "Other deductions") were not deductible in the
computation of adjusted gross income, but were deduc-
tible as an itemized deduction in the computation of
taxable income.
Employee moving expenses
A provision of the Revenue Act of 1964 allowed an em-
ployee to deduct in the computation of adjusted gross
income the reasonable expenses incurred in moving from
his old residence to his new residence at his new place of
employment. Expenses deductible included those for mov-
ing household goods and personal effects, and the cost of
transportation, meals, and lodging of the taxpayer and
members of his household en route to his new residence.
In order for a taxpayer to qualify for the deduction:
(a) his new place of work had to be at least 20 miles
further from his former residence than was his old prin-
cipal place of work; and
(b) he must have been employed on a full-time basis
for at least 39 weeks during the 12-month period immedi-
ately following his arrival in the general location of his
new place of work. If at the time of filing he had not yet
met this test, hecouldclaim the deduction, but the amount
of the deduction was reportable as income in the next tax
year if he subsequently failed to qualify. Otherwise, he
could claim the deduction on an amended return after
actually meeting the test.
If the employer reimbursed moving expenses, any ex-
cess reimbursement must have been included in the tax-
payer's gross income. If the reimbursement was less
than the expense, the taxpayer deducted the difference.
If the reimbursement equaled the expenses, neither item
had to be reported.
Exemptions
In the computation of taxable income, exemptions were
allowed for the taxpayers and their dependents, and addi-
tional exemptions were allowed for taxpayers who were
65 or over and for taxpayers who were blind.
A $600 exemption was allowed for the taxpayer, the
taxpayer's spouse, and for each child (including a step-
child or an adopted child) who was under 19 years of age,
or who was a student regardless of age, if the taxpayer
furnished more than half the support. If the child was 19
or over and not a student, an exemption was allowed only
if the child had less than $600 gross income for the year
and the taxpayer furnished more than half the support.
An exemptionof $600 was also allowed for any dependent
who had less than $600 gross income, and who received
more than half his support from the taxpayer if the de-
pendent was (1) a close relative as outlined in Section
152 of the Internal Revenue Code, or (2) any person who
lived in the taxpayer's home for the entire year and who
was a member of his household, whether or not related
to the taxpayer.
An exception to the support test for a dependent pro-
vided that where the individual was supported by several
persons, none of whom contributed more than half the
support, any one of the group who had contributed more
than 10 percent of the support could claim the exemp-
tion, if each of the others who contributed more than 10
percent declared in writing that he would not claim the
exemption for the year.
To qualify as a dependent, an individual must have been
either a citizen or resident of the United States; a resi-
dent of Canada, Mexico, the Republic of Panama, or the
INDIVIDUAL INCOME TAX RETURNS FOR 1964
125
Canal Zone; or an alien child adopted by and living with
a United States citizen abroad.
The birth or death of a dependent during the year did
not affect the exemption for him, if the support and other
tests were met for the part of the year during which the
dependent lived.
Besides the "personal" exemption forthe taxpayer and
spouse, an additional $600exemption was allowed for each
taxpayer or spouse who was age 65 or over, and each
taxpayer or spouse who was blind. A taxpayer could file
a separate return and claim the exemptions for the
spouse (including those for age and blindness) only if the
spouse had no gross income and was not a dependent of
another taxpayer. Exemptions for age and blindness were
not allowed for any dependents.
The total number of exemptions shown in this report
includes a duplication of exemptions for certain individ-
uals. These individuals were (1) dependents (of another
individual) who had less than $600 gross income, but filed
a return to obtain a refund of tax withheld on wages, and
(2) child dependents (under 19 or a student) who were
required to file a return because their gross incomes
were $600 or more. This particular group of individ-
uals is counted twice, as a dependent on another tax-
payer's return, and as a taxpayer on their own return.
Farm net profit or net loss
This source was reported by individuals who were sole
proprietors of a farm and who did not elect to be taxed
as a corporation. When there were two or more sole
proprietorship farms operated by the taxpayer, the single
amount of profit or loss included in adjusted gross income
represented the combined profits and losses from farm
business activities.
Farm business receipts included sales of market live-
stock and produce raised and held primarily for sale and
other farm income including such items as merchandise
received for produce, machine work, breeding fees, wood
and lumber, other forest products, patronage dividends,
rebates or refunds, agricultural program payments and
other farm items.
Farm business expenditures deductible from farm
business receipts were the ordinary and necessary costs
of operating a farm for profit. These included such items
as labor hired, feed bought, seeds and plants bought,
machine work hired, supplies bought, tying material,
containers, insect and disease control, machinery ex-
pense, farm building and fence repairs, livestock ex-
penses, fertilizer bought, veterinary, fuel, light, power,
taxes, insurance, premiums, interest paid, rent, cash,
hauUng hired, auto and truck, and other.
Income tax after credits
Tax after credits was the income tax liability exclud-
ing the self-employment tax and was the criterion upon
which taxable and nontaxable returns were classified.
It was after the deduction for income tax credits, but
prior to the year -end adjustments for tax withheld from
wages and payments on declaration which determined
the overpayment or tax due status.
Income tax before credits
In general, tax before credits was based on the taxable
income and was computed at the prescribed rates. It was
either (1) the regular combined normal tax and surtax
including tax from the optional tax tables, (2) the tax
computed under the alternative method, (3) the tax com-
puted using the new income averaging provisions, or
(4) tax computed by individuals affected by two sets of
rates (those in effect prior to 1964, and those for 1964),
before such amounts were reduced by tax credits. Tax
before credits did not include the self-employment tax.
Merest paid
Interest paid was deductible for interest on personal
debts, mortgages, bank loans, and installment purchases
of real or personal property, but did not include that
paid on money borrowed to buy tax-exempt securities
or single premium life insurance and endowment con-
tracts. Interest relating to business, royalties, and
rentals was reported in their respective schedules.
Interest received
Interest received was the taxable portion of interest
from bonds, debentures, notes, mortgages and personal
loans, interest received or credited on bank deposits,
savings accounts, and deposits in organizations listed
above, as well as partially tax-exempt interest and in-
terest from tax-free covenant bonds received directly
or through partnerships and fiduciaries. Excluded were
small amounts of interest (not more than $200 per return)
reported in other income on Form 1040A returns.
Medical and dental expense
This deduction was allowed from adjusted gross income
with certain limitations. Expenditures considered for this
deduction were the actual amounts paid during the tax
year for health care of the taxpayer, his spouse, de-
pendents, and any other person who could be claimed
as a dependent except for the fact that he or she had
$600 or more of gross income or filed a joint return with
his or her spouse. Such expenses included payments to
physicians, surgeons, dentists, nurses, oculists, chiro-
practors, osteopaths, hospitals, premiuni paid on health
and hospital insurance, cost of x-rays, laboratory fees,
diagnoses, therapy treatment, psychiatric care, dentures,
crutches, hearing aids, and the like. Any insurance re-
ceived on account of medical expenses incurred reduced
the cost which could be considered as medical expenses
actually paid by the taxpayer.
With the exception of the special group of individuals
mentioned below, amounts paid for drugs and medicines
were included in medical expenses only to the extent that
they exceeded 1 percent of adjusted gross income. The
deduction allowed for medical expenses (including the
excess drug expense) was the amount of such expenses
in excess of 3 percent of adjusted gross income.
There were special rules for any taxpayer who was
65 years of age or over, for married couples who filed
a joint return if either was 65 or over, and dependent
126
INDIVIDUAL INCOME TAX RETURNS FOR 1964
parents 65 or over. Prior to 1964, medical expenses
for these individuals were not limited to the excess of
3 percent of adjusted gross income; however, the limita-
tion on medicine and drugs was in effect. The Revenue
Act of 1964 removed the 1 percent limitation for these
individuals, so that all their expenses were deductible
for 1964.
The maximum deduction allowed was $5,000 multiplied
by the number of exemptions other than those for age and
blindness, but could not exceed $20,000 for husband and
wife filing a joint return, for head of household, or for
surviving spouse, nor could it exceed $10,000 for other
single persons or for married persons filing separate
returns.
If the taxpayer was 65 years of age or over and dis-
abled and was head of household, surviving spouse, or
other single person, or married but filing a separate
return, a maximum deduction not in excess of $20,000
was allowed. On joint returns, if only one spouse was
65 years or over and disabled, the maximum was still
$20,000. If both were 65 or over and both disabled, the
maximum allowed was $40,000, but not more than
$20,000 medical expense for each could be taken.
Net gain or loss from sales of property other
than capital assets
The amount of this source in adjusted gross income
resulted from sales or exchanges of property which was
either not a capital asset or was not treated as a capital
asset. It includes net loss from section 1231 property.
Each taxpayer included his share of such gain or loss
received through partnerships and fiduciaries. Net gain
from these transactions was included in its entirety and
the net loss was fully deducted in computing adjusted
gross income. Losses on sales or exchanges of small
business investment company stock were ordinary losses
rather than capital losses. Also, losses on small busi-
ness stock were ordinary losses to the original holders;
however, this ordinary loss is limited to $25,000 on
separate returns and to $50,000 on joint returns.
Net income or loss from rents
This source, although reported in a schedule that in-
cluded royalty income, was separated from the latter in
order that each source might be shown independently.
Rent income (or loss) constituted a part of adjusted
gross income to the extent that the gross rents received
exceeded the deductions for depreciation, repairs, main-
tenance, interest, taxes, commissions, advertising, fuel,
insurance, janitor service, and other allowable expenses
related to the rented property. Income from rents when
combined with income from royalties will not be equiva-
lent to the rents and royalties income published prior
to 1960 due to the different procedure for arriving at a
net figure.
Net income or loss from royalties
This income or loss was separated from the rent
income so that the net income from royalties reported
in adjusted gross income would be known. Gross royal-
ties included revenues from oil, gas, and other mineral
rights, revenue from patents, copyrights, on literary
works, trademarks, formulae, and so on. Deductions
against gross royalties were made for depletion, depreci-
ation, office rent, legal fees, clerical help, interest,
taxes, and similar items. As stated above, income from
royalties when combined with income from rents will not
be comparable with income from rents and royalties for
years prior to 1960.
Normal tax and surtax
The income tax imposed upon the taxable income of
individuals by the Internal Revenue Code of 1954, as
amended by the Revenue Act of 1964 is divided into two
sections. The first section is a normal tax of 3 percent
of taxable income. All taxpayers with taxable income pay
the first part of their tax liability at this rate. The second
section of the income tax is the surtax which is levied on
a scale graduated in relation to size of taxable income.
To facilitate computation, the normal tax and surtax rates
are combined in the tax tables furnished the public.
Ordinary gain from sales of depreciable property
Included here was that portion of gain not treated as
capital gain from sales of depreciable property specified
in Sections 1245 and 1250 of the Internal Revenue Code.
The first section provides that gain from sales of certain
depreciable property (which prior to 1962 was all treated
as capital gain) was taxable as ordinary income to the
extent of depreciation deducted after 1961. The property
covered included depreciable property (other than live-
stock) which was either personal property or other
tangible property (not including a building or its struc-
tural components) used as an integral part of (a) manu-
facturing, (b) production, (c) extraction, or (d) the fur-
nishing of transportation, communications, electrical
energy, gas, water, or sewage disposal services. Such
other tangible property also included research facilities
used in connection with the activities in (a) - (d) above.
For 1964, elevators and escalators were added to section
1245 property.
The second section, applicable to taxable years begin-
ning in 1964, covered intangible real property (such as a
leasehold of land) and such tangible property as buildings
and their structural components. The amount of gain
treated as ordinary income was an applicable percentage
of the lower of (a) the gain realized, or (b) the excess of
depreciation deductions claimed after 1963 over what
would have been taken under the straight line method.
The applicable percentage was 100 percent minus one
percentage point for each full month the property was
held over 20 full months. Thus, the applicable percent-
age, and consequently the amount taxable as ordinary
income, decreased the longer the property was held and
was nonexistent after ten years. However, if the property
was held one year or less, the entire depreciation (not
the excess over straight-line) was treated as ordinary
income.
Other deductions
Included here were all other nonbusiness deductions
allowed against adjusted gross income not elsewhere
INDIVIDUAL INCOME TAX RETURNS FOR 1964
127
reported. These included the limited deduction for cost
of child care in the case of employed women and widow-
ers; loss from theft; casualty losses resulting from fire,
storm, or other physical forces; and uninsured casualty
and theft losses of business property and capital assets
held for production of income for more than 6 months.
Other items were alimony paid; expenses incurred in
the collection of income or for the management, con-
servative, or maintenance of property held for the
production of income subject to tax; taxpayer's share
of interest and taxes paid by a cooperative apartment
corporation; gambling losses not in excess of winnings
reported in income; amortization of bond premium; ex-
penses connected with taxpayer's employment, for ex-
ample, dues to unions or professional societies, cost of
tools and supplies for the job, and fees to employment
agencies; allowable expenses of taxpayer in connection
with his employer's business; and unreimbursed expense
of education undertaken to maintain or improve skills
required to perform duties of present employment status.
Other gain from sales of depreciable property
The excess gain, not treated as ordinary gain, from
sales of property specified in Section 1245 or 1250 of
the Internal Revenue Code. This gain was included with
section 1231 gain and loss. If the net result was a gain,
all such gains and losses were treated as capital gains
and losses. If the net result was a loss, all gains and
losses were treated as gains and losses from sales of
property other than capital assets. See definition of
Ordinary gain from sales of depreciable property.
Other sources of income
Included here were such items as alimony received,
prizes, awards, sweepstakes winnings, gambling profits,
recovery of bad debts and taxes deducted in a prior year,
insurance received as reimbursement for medical ex-
penses taken in a previous year, the taxpayer's share of
distributed or undistributed current year taxable income
(exclusive of long-term capital gain) received from a
small business corporation which elected not to be taxed
as a corporation, net operating loss deduction where that
item is not shown separately, net income or loss from
estates and trusts and any other income subject to tax
for which no entry was providedon the return form. Also
included is a total of $188,021,000 consisting of interest,
and dividends in adjusted gross income (not exceeding
$200 per return) reported on 2,822,000 returns. Form
1040A.
Other tax credits
Included in "Other tax credits" for this year was the
dividends received credit. The Revenue Act of 1964 pro-
vided for a decrease in, and the ultimate elimination
(1965) of this tax credit. The credit was 2 percent of
qualifying dividends in adjusted gross income with certain
limitations. Prior to 1964, the credit had been 4 percent.
Two additional tax credits against income tax were
those for partially tax-exempt interest and for tax paid
at source on interest from tax-free covenant bonds, but
allowed only if nonbusiness deductions were itemized.
The remaining credit included here was the "throwback
tax credit" allowed the recipient of an accumulation
distribution from a complex trust, whether claimed on
a standard or itemized deduction return.
The partially tax-exempt interest credit, allowed for
interest on certain securities of the United States, was
3 percent of the amount of partially exempt interest
included in adjusted gross income, reduced by the item-
ized deduction for amortization of bond premium on the
bonds. However, the credit could not exceed the smaller
of (1) 3 percent of the taxable income, or (2) income tax
reduced by credits for foreign tax paid and for dividends
received.
Tax credit was allowed for tax withheld at source on
tax-free covenant bond interest. The issuing corpora-
tion withheld as tax 2 percentof the total interest earned.
The taxpayer also included his share of this tax credit
allotted to him through partnerships and fiduciaries.
The throwback tax credit was the recipient's pro rata
share of taxes paid by a complex trust in preceding tax
years which would not have been payable by the trust
had the trust in fact made distributions of income cur-
rently to the beneficiaries. Income tax paid on accumu-
lation distributions deemed distributed in prior years
was not refunded to the trust but was allowed as a
credit against the income tax liability of the recipients.
Credit in excess of the total tax was treated as an over-
payment and as such was refundable.
0\'erpayment
An overpayment of tax occurred when the sum of the
tax withheld and payments on declaration exceeded the
combined income tax after credits and the self-
employment tax. Overpayment on Form 1040A gave rise
to a refund. On Forms 1040, overpayment could be elected
as a refund, or as a credit on the subsequent year's esti-
mated tax, or could be requested as part refund and part
credit on the estimated tax.
Partnership net profit or net loss
Partnership net profit or loss was reported by persons
who were members of a partnership, syndicate, joint
venture, or association that did not elect to be taxed as
a corporation. The taxpayer's profit or loss from such a
partnership was his share of the ordinary income or loss
of the enterprise together with payments made to him as
salary or for the use of capital. If the individual was a
member of more than one partnership, the single amount
of partnership profit or loss reported in adjusted gross
income was the combination of all his shares, whether
actually received or not. The ordinary income of the
partnership did not include dividends qualifying for the
exclusion, net short- and long-term capital gain or loss,
interest on tax-free convenant bonds, and partially tax-
exempt interest. The partner's share of each of these
items was reported by him in its respective source.
Payments on 1964 declaration of estimated income tax
Such payments were reported on returns. Form 1040.
The payments, received with the 1964 Declaration of
Estimated Income Tax, Form 1040ES, also included any
credit which was applied against the estimated tax by
reason of an overpayment of the 1963 tax liability.
128
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Pensions and annuities
Pensions and annuities were the taxable portion of
amounts received during the year. The full amount of a
pension or annuity received by a retired employee who
contributed nothing toward the cost was taxable. If the
annuitant contributed to the cost, methods were provided
for computing the taxable amount to be reported. The
method used depended upon the type of pension or annuity
but, in general, an exclusion of a portion of the receipts
was provided as recovery of cost.
Refund
A refund of tax included the portion of overpayment
requested as refund by taxpayers filing Forms 1040,
and all overpayments on Form 1040A. The refund could
be requested in cash or United States Savings Bonds,
Series E (with any excess over the bond price being
refunded in cash). When bonds and cash were both
checked on the return, the refund was made entirely in
cash. The refund had to be at least $18.75 before the
bond election could be made.
Salaries and wages (gross)
Gross salaries and wages were amounts of compensa-
tion for personal services reported in adjusted gross
income. In addition to actual salaries and wages, this
source is comprised of commissions, bonuses, tips,
fees, excess reimbursement over employee business
expenses, and the value of nonmonetary payments for
services, e.g., merchandise, accommodations, property,
etc. Excluded from this source were tax exempt portions
of salaries earned abroad.
In earlier editions of this report salaries and wages
are net of excludable sick pay and certain expenses con-
nected with employment that were deductible from total
salaries and wages in computing adjusted gross income.
In addition, salaries and wages not in excess of $200 and
not subject to withholding, reported by taxpayers filing a
Form 1040A, were included in Other sources of income.
Self- employment pension deduction
Beginning in 1963, self-employed individuals could con-
tribute to a qualified retirement plan in much the same
manner as a corporate employee and could deduct such
contributions when computing adjusted gross income.
In general, all self-employed individuals currently sub-
ject to the self-employment tax were eligible for this de-
duction. For purpose of the deduction, self-employed
individuals were further distinguished by the law as being
employees or owner-employees, the latter being a sole
proprietor of an unincorporated trade or business, or a
partner who owns more than 10 percent of either the capi-
tal interest or the profits interest in the partnership.
The amount of the allowablededuction was measured by
earned income. An owner-employee might contribute an-
nually to a pension plan 10 percent of his earned income,
or $2,500, whichever was the lesser. The deduction itself
was limited to 50 percent of the contribution but could not
exceed $1,250. Self-employed individuals other than
owner-employees were not bound by the $2,500 limit on
contributions, but they were subject to the same limita-
tions regarding the amount of the deduction.
One further limitation was imposed on owner-
employees. If they wished to participate in a retirement
plan, all employees (excluding part-time and seasonal)
with 3 or more years of service must also have been
included in the plan.
Self-employment tax
This tax was reported by each individual who had self-
employment income of at least $400 derived from solely
owned trade or business and from his share of partner-
ship profits even though these enterprises elected to be
taxed as corporations. Citizens employed by foreign
governments or international organizations were sub-
jected to self-employment tax on salaries for 1960 and
subsequent years. Certain types of income and deduc-
tions were not allowed in computing self-employment
earnings, such as investment income, capital gain or
loss, net operating loss deduction, and casualty losses.
The maximum amount subject to social security self-
employment tax for 1964 was $4,800 although this maxi-
mum amount was reduced by the amount of wages re-
ceived on which the social security employee tax had
been withheld by an employer. The maximum tax payable
was $259.20. No exemption was allowed against the self-
employment income subject to tax and no tax credits ap-
plied to this tax. The self-employment tax rate for 1964
was 5.4 percent. This tax was paid regardless of the
taxpayer's age and even though Social Security benefits
were received by the taxpayer.
Sick pay exclusion
An employee was allowed to exclude from income
amounts received under an employer provided wage con-
tinuation plan for periods of absence due to injury or
sickness. Prior to 1964, the exclusion could not exceed
$100 a week, and if the absence was due to sickness,
the exclusion was available only after seven consecutive
calendar days of absence (unless the employee was hos-
pitalized for one day during that absence). In the case of
personal injury, there was no 7-day waiting period.
The Revenue Act of 1964 tightened the limitations on the
amount of sick pay excludable. If an employee received
over 75 percent of his weekly rate of wages for absence
due to injury or sickness, there was a 30-calendar day
waiting period before the exclusion was available. The
amount to be excluded thereafter was limited to a rate not
to exceed $100. However, if the employee received 75
percent or less of his weekly rate of wages, the waiting
period was only 7 calendar days, but the exclusion for
the first 30 consecutive calendar days of absence was
limited to a rate not to exceed $75 a week. After 30 days
the weekly rate of exclusion was increased to an amount
not to exceed $100 a week. There was no exclusion for
the waiting period regardless of whether the employee
was sick or injured, unless he was hospitalized for at
least one day during the period of absence.
Standard deduction
A taxpayer was allowed a standard deduction in lieu of
itemizing his deductible personal expenses. The taxpayer
elected the larger of the regular 10 percent standard de-
duction or the minimum standard deduction (new for
INDIVIDUAL INCOME TAX RETURNS FOR 1964
129
1964). The "regular" method was 10 percent of adjusted
gross income, and the minimum standard deduction was
$200 ($100 for married filing separately) plus $100 for
each allowable exemption. In neither case could the de-
duction exceed $ 1 ,000 ($500 for married filing separately).
Taxpayers who selected the so-called "optional tax
table" did not report an amount of standard deduction,
as the deduction was already built into those tables. For
statistical purposes, a standard deduction was computed
for those taxpayers using the larger of the two methods
explained above.
Taxable income
This measure was adjusted gross income minus deduc-
tions, standard or itemized, and personal exemptions;
however, the amount shown in this report is only the
positive amount upon which the income tax before cred-
its was computed. Whenever taxable income was a nega-
tive amount (producing no tax), it was disregarded. This
occurred on some, but not all, nontaxable returns.
Taxable income was reported on itemized deductions
returns, and on standard deduction returns with $5,000
or more adjusted gross income, and transcribed if it
was a positive amount. Taxable income was mechanically
computed for each return which did not show this item,
but disregarded if found to be a negative amount. Re-
turns which did not show taxable income were (1) those
Form 1040 and 1040A returns with adjusted gross in-
come under $5,000 on which the tax table was used,
and (2) those Form 1040A returns with adjusted gross
income of $5,000 under $10,000 on which the tax was
computed by the taxpayer using the standard deduction
and regular tax rates in a tax computation schedule that
he retained. The taxable income was not required to be
transferred to the card-form itself.
Taxable income for taxpayers who used the tax table
was computed by (1) using the midpoint of the income
bracket of the tax table into which the taxpayer's ad-
justed gross income fell as the amount of adjusted gross
income, (2) providing a 10 percent standard deduction
based on the midpoint, and (3) allowing $600 for each
exemption claimed. This formula produced the amount
of taxable income upon which the taxpayer's tax was
based by way of the tax table.
Taxable income for taxpayers using Form 1040A with
adjusted gross income of $5,000 under $10,000 was com-
puted by (1) using the total income reported, (2) deduct-
ing 10 percent of the total income as standard deduction
but limited to $1,000 or $500 in the case of a separate
return of husband or wife, and (3) allowing $600 for each
exemption. This formula provided the amount of taxable
income used by the taxpayer in his retained tax compu-
tation schedule.
Tax credit for foreign tax paid
Tax credit for foreign tax paid was permitted against
the income tax only if nonbusiness deductions were item-
ized and the foreign tax was excluded from those deduc-
tions. The credit related to the income and profits taxes
paid to foreign countries or possessions of the United
States and included the taxpayer's share of such taxes
paid through partnerships and fiduciaries. This tax credit
was limited to the same proportion of the income tax
before credits as the taxable income from foreign sources
bore to the entire taxable income, but could not exceed
the amount of foreign tax paid.
Tax credit for investment in certain depreciable
property
The investment credit was 7 percent of a taxpayer's
qualified investment in new and used tangible personal
property and certain other tangible property which had
a useful life of over 8 years. The cost or basis was re-
duced by (1) one third if the useful life was at least 6
years but less than 8 years.or (2) two thirds if the useful
life was at least 4 years but less than 6 years. The cost
or basis was reduced 4/7 if the investment was in public
utility property. If the tax liability exceeded $25,000 the
tax credit was limited to $25,000 plus 25 percent of the
tax liability over that amount. Tax liability, for this
purpose was reduced by (1) the foreign tax credit, (2) the
credit for partially tax-exempt interest, (3) the retire-
ment income credit before figuring the limitations on the
investment credit and (4) the dividends received credit.
Tax credit for retirement income
A credit for retirement income was allowed an indi-
vidual if he received earned income of more than $600
in each of any 10 calendar years prior to the tax year
for which the credit was computed. Prior to 1964, the
credit was 20 percent applied to the lesser of (1) retire-
ment income received during the year, or (2) $1,524
reduced by amounts of social security, railroad retire-
ment, or other tax-exempt pensions. Amounts of earned
incom.e also reduced the $1,524 limitation on the base of
the credit. This latter reduction depended on the amount
of earned income and the age of the taxpayer.
The Revenue Act of 1964 introduced changes to the
maximum amount of the credit and its computation. The
percentage to be used in the computation of the credit
was reduced to 17 percent (in line with the overall tax
rate reduction). If husband and wife filed a joint return
and both were 65 or over, they could elect an alternative
credit computation which provided a $2,286 limitation on
the base of the credit.
The credit, however computed, could not exceed the
income tax reduced by (1) the credit for tax withheld
at source on tax-free covenant bonds, (2) the foreign
tax credit, (3) the dividends received tax credit, and
(4) the credit for partially tax-exempt interest.
Tax due at time of filing
This amount was reported on returns where the tax
withheld and the payments on declaration (together
with other items reported with them) plus the income
tax credits were insufficient to cover the total of both
the income tax before credits and the self-employment
tax. The balance of tax due was paid when the return
was filed.
Taxes
Taxes allowed as a deduction from adjusted income
included personal property taxes. State income taxes,
certain State and local retail sales taxes. State gasoline
130
INDIVIDUAL INCOME TAX RETURNS FOR 1964
taxes, taxes paid to foreign countries or possessions of
the United States unless a foreign tax credit was claimed,
and real estate taxes except those levied for improve-
ments that tended to increase the value of the property.
Federal taxes were not deductible. Taxes paid on busi-
ness property were reported in schedules for business,
rents, and royalties.
For 1964, State and local taxes on motor license plates,
driver's licenses, cigarettes, tobacco and alcoholic bev-
erages were not deductible.
Tax from recomputed prior year investment credit
The investment credit provisionsof the tax law included
a so-called "recapture rule" which required taxpayers to
pay back all or a portion of any credit taken on property
disposed of before the end of its useful life. The law
specified that if property qualifying for the credit was
disposed of before the end of its estimated useful life, the
tax for the year of disposal was increased by the differ-
ence between the credit originally allowed and the credit
that would have been allowed if the computation had been
based on a shorter useful life.
Tax rates
The reduction in income tax rates for 1964 was one of
the important changes made by the Revenue Act of 1964.
The new rates ranged from 16 percent on the first $500
of taxable income to 77 percent on taxable income in
excess of $200,000 for individuals other than heads of
household (in which case the 16 percent rate applied to
the first $1,000).
Prior to 1964, the first bracket rate was 20 percent
which was applied to (1) the initial $2,000 taxable income
for single persons and heads of household, and (2) the
initial $4,000 for joint and surviving spouse taxpayers.
The 1964 Act divided the old first bracket of $2,000 tax-
able income into four rate brackets of $500 each for
single taxpayers, and into two rate brackets of $1,000
each for heads of household. On joint returns and re-
turns of surviving spouse, the old first bracket of
$4,000 taxable income was split into four rate brackets
of $1,000 each.
Taxpayers with income under $5,000 and who elected
the standard deduction used an optional tax table to de-
termine their tax. The 1964 Act replaced the old single
optional tax table with five separate tax tables. The tax-
payer selected the table which applied to his marital
status (for tax purposes) and which gave him the lowest
tax based on either the regular 10 percent or minimum
standard deduction.
Tax witheld
The tax withheld included the income tax withheld
from salaries and wages by employers, the income tax
paid by regulated investment companies on undistributed
capital gain, and the excess withholdingof social security
employee tax. These items were considered to be tax-
payments. The amount of income tax withheld by em-
ployers from wages subject to income tax withholding
was withheld as prescribed in withholding tables or by
the exact computation method and could have been in-
creased by agreement between employer and employee.
The basic withholding rate was 14 percent for most of
the tax year 1964. Income tax on capital gain retained
by regulated investment companies was paid by the com-
pany and the taxpayer allotted his pro rata share of the
tax paid.
SECTION 8
Sources of Data, Description of the Sample
and Limitations of the Data
TABLE CONTENTS
Text Tables
T. Noncalendar year returns (Forms 1040 with taxable years beginning on or
before December 31. 1963 and ending on or after January I, 1964)-
Selected sources of income and loss, taxable income, and tax items, by
adjusted gross income classes. 131
U. Number of returns by form of return: 1963 and 1964. 132
V. Number of individual income tax returns filed, number in sample, and the
prescribed rate by sampling stratum. 1964. 133
W. Relative sampling variability at the one standard deviation level for
selected items, by adjusted gross income classes. 133
X. Relative sampling variability at the one standard deviation level of esti-
mated number of returns. 133
Y. Relative sampling variability at the one standard deviation level: Total
number of returns, adjusted gross income, and selected items, by ad-
justed gross income classes, 134
SOURCES OF DATA
Individual income tax data were estimated from a
sample of unaudited tax returns, Forms 1040 and 1040A,
filed by citizens and residents during the calendar year
1965 in the district offices of the Internal Revenue Serv-
ice, and with the Director of International Operations in
the National Office. The sample was designed to repre-
sent all returns for the income year 1964 regardless of
when filed. Most of the returns were filed by taxpayers
with calendar-year accounting periods, but a small num-
ber did have noncalendar-year accounting periods.
Table T shows selected income and tax data for non-
calendar year returns (Forms 1040 with taxable years
beginning on or before December 31, 1963, and ending
on or after January 1, 1964). The 43,000 noncalendar
Grand tot
■^
$5,000 under
$10,000 under
$15,000 under
$20,000 under
$50,000 under
$100,000 unde
$1,000,000 or
'
Returns $10,000
or more
48,064
154,271
72,581
46,671
6,618
31,252
'38,739
36,545
4C»,-.-71
Taxable returns, total
Under $5,000
$5,000 under $10,000
$10,000 under $15,000
$15, 000 under $20, 000
$20, 000 under $50,000
$50,000 under $100,000
$100,000 under $500,000
$1,000,000 or more '.
Nontaxable returns, total ^
Returns under $5,000^
Returns $5,000 under $10,000
Returns $10,000 or more
See text for "Description of the Sample and Lijnitations of
'Adjusted gross income less deficit.
^Includes returns with no adjusted gross income.
^Estimate is not shovm separatley because of high sampling
'Less than $500.
NOTE; Detail may not add to total because of rounding.
3,390
2,616
4,930
3,141
3,830
2,268
18,865
2,859
20,046
Data" and "Explanatio
lability. However, th
of Classifications i
are included ;
the appropriate
131
132
INDIVIDUAL INCOME TAX RETURNS FOR 1964
year returns showed $517 million of adjusted gross in-
come. Taxable income amounting to $377 million was
reported on 29,000 returns. Over half the returns,
23,000, had sole proprietorship (nonfarm) net profit or
loss. About 12,500 returns showed farm net profit or
loss, and there were 8,000 returns with partnership
net profit or loss.
Since new tax rates were in effect for 1964, a tax-
payer having a taxable year beginning in 1963 and end-
ing in 1964 had to prorate his tax to encompass the
change in rates. The taxpayer computed his tax under
both the old law and the new law. He then prorated the
■vo tax figures on the basis of the number of days for
le taxable year within 1963 and 1964, respectively. The
final" tax was the sum of the prorated amounts.
Noncalendar year taxpayers reported tax liability of
$117 million, 95 percent of which was attributable to
returns with income of $10,000 or more.
Tentative returns were excluded from the sample.
Returns with no information regarding income and tax
were included in the sample for purposes of obtaining a
count of returns filed, but were excluded from the tables.
Amended returns were included in the sample only if the
original could be located and excluded.
An individual income tax return was required of (1)
every citizen, resident alien, and bona fide resident of
Puerto Rico under 65 years of age (including minors) who
had $600 or more of gross income for the year, (2) every
citizen or resident 65 years or over who had $1,200 or
more gross income for the year, and (3) every person
regardless of age or gross income who had self-
employment income of $400 or more during the tax year.
Gross income, for purposes of filing, included income
earned from sources outside the United States, even
though the income was exempt from tax. However, in the
case of individuals who were residents of Puerto Rico,
gross income, for purposes of filing, did not include in-
come derived from sources within Puerto Rico except
amounts received for services performed as an employee
of the United States.
Individuals who had tax withheld from wages, but whose
income was less than that required for filing, usually
filed to obtain a refundof tax withheld, although they were
not otherwise required to file.
Taxpayers had a choice of two return forms for report-
ing their income for 1964. Form 1040A, the card-form,
was available to individuals who had less than $10,000
adjusted gross income consisting of wages reported on
withholding statements (Form W-2) and not more than
$200 of dividends, interest, and wages not subject to
income tax withholding.
The Form 1040 was a two-page form with supplementary
schedules. If an individual's income was entirely from
salaries and wages he needed only to file the principal
two-page form. If, in addition to salaries and wages, an
individual had only interest income, he could also file the
two-page form with an attachment listing the sources of
his interest income. Individuals who had income from
sources other than salaries and wages and interest were
required to report that income on supplementary sched-
ules.
Table U presents a comparison of the number of re-
turns for the current year with those for 1963 by form of
return filed, size of adjusted gross income, and type of
Table U.— NUMBER OF RETURNS BY FORM OF RETURN:
[Taxable and nontaxable returns I
1963 AND
1964
Fonn ol' return, type of Seduction and
income group
1963
1964
Change,
1963 to
1964
(1)
(2)
(3)
Grand total
«ith standard deduction
'i3i;992
24,913,559
'432; 317
25,956,507
17,686,195
Standard deduction returns on which tax table was
Form 104QA
120,994
17,565,201
14,618,406
46,378,035
17,686,195
14,759,192
2,927,003
47,689,406
120,994
140,786
ISSJ^
19,159,515
19,101,018
17,792,221
10,295,153
5,693,685
1,803,383
28,153,822
8,432,370
6| 314^119
431,992
18,234,740
19,980,057
9,474,609
20,347,498
11,197,315
5,915,412
26,909,591
6,605,103
13,064,645
7,239,638
432,317
Adjusted gross income $5,000 under $i6,66b
879,039
' '
Adjusted Iross income $5,000 under $16,000
Adjusted gross income $10,000 or more
1,221,727
431,388
-1,827,262
-342,688
Adjusted gross income $5,000 under $10,000
See text for "Description of thi
f Classifications and Terms."
^Taxpayers witw adjusted gross :
nly by using the tax table .
NOTE: Detail may not add to to'
Sample and Limitati(
Data" and "Explanation
tne standard deduction
deduction reported. Forms 1040 for 1964 numbered 47.7
million, an increase of 1.3 million returns over 1963.
Forms 1040A numbered 17.7 million, an increase of 121
thousand returns over 1963.
The standard deduction was elected on 38.0 million
returns, Forms 1040 and I040A. Individuals who had in-
come under $5,000 and desired the standard deduction
were required to use the optional tax table to obtain the
deduction and compute their tax. There were 26 million
returns of taxpayers using the optional tax table for
1964, one million more than for 1963.
DESCRIPTIONS OF THE SAMPLE AND LIMITATIONS
OF THE DATA
The data presented for individual income tax returns
for 1964 are estimates based on a stratified systematic
sample of all Forms 1040 and 1040A filed in the succeed-
ing year. The total sample consisted of 473,445 returns,
about 0.72 percent of the total number filed for the year.
Sample Selection
Returns were grouped by type of return, presence or
absence of business income, size class of adjusted gross
income, taxpayment status, and by the 58 district offices
and the Office of International Operations in Washington,
D. C, The grouping procedures were employed to facili-
tate the processing of returns for revenue collection
and audit purposes.
For sample purposes, the groups were combined in
sample strata, primarily on the basis of adjusted gross
income which correlates well with the principal income
and tax characteristics being estimated.
INDIVIDUAL INCOME TAX RETURNS FOR 1964
133
(Taxable and nontaxable
etumsl
Sampling stratun
Number of
returns
Number of
returns
in sample
sapling
(1)
(2)
(3)
65,735,470
473,445
Form lOiOA
Fom 1040, adjusted gross income—
Under $10,000:
Nonbusiness
17,765,316
30,444,292
7,847,514
7,184,498
1,727,220
83,659
258,499
19,598
'l65
35,477
60,924
77,847
33^964
20,173
62,693
19,598
17,024
'l65
2/1000
2/1000
2/100
2/100
25/100
25/100
$10,000 under $30,000, Schedules C and F
$30,000 under $100,000, Schedules and F
$100,000 and over:
Schedules C and F
Prior year delinquent:
1/1
1/100
The sample was obtained by withdrawing returns from
each stratum in accordance with the sampling rate for
that stratum using a selection form designed especially
for that stratum. The selection form used the document
number of the return as a basis for selection.
Table V shows the number of returns filed, the number
of returns in the sample, and the prescribed sampling
rate by sampling strata.
Method of Estimation
Estimates for all returns filed were determined by
multiplying the sample data by "weighting factors"
obtained by dividing the number of sample returns re-
ceived from each sampling stratum into the total num-
ber of returns filed in that stratum. For instance, the
"weighting factor" of 500,77 for Form 1040A returns
was obtained by dividing the total number of returns filed,
17,765,816, by the number of returns in the sample,
35,477. The primary sources of data on total number of
returns were counts made and submitted by the district
offices and the Office of International Operations showing
the number of Form 1040 and 1040A returns filed during
the calendar year 1965,
A comparison of the estimated number of returns
shown in the national tables of this report with the num-
ber of returns reported filed in the district offices, as
shown in table S, will disclose slight differences. These
differences occur for the following reasons: (1) an esti-
mated 410,000 returns were excluded from the tables
because they showed no income information, (2) returns
were classified in the proper adjusted gross income size
class regardless of the sampling strata to which they
were assigned in the field offices, and (3) weights were
rounded.
One set of weighting factors was used for national
tabulations, and separate sets, one for each Internal
Revenue district, were used for State tabulations. The
achieved sampling rates varied sufficiently among dis-
tricts to warrant using district weights for State tables.
As a result, the totals for "United States" in the State
tables show slight difference from the corresponding
totals, based on national weights, shown in other tables
of this report.
~
Sales of capital assets
All rcouiu..
Net gain
Net loss
Adjusted gross income
classes
Adjusted
gross
Relative
sampling
bility
sampling
varia-
bility
Amount
Relative
'^ria"^
(Ferctnl)
(1)
(2)
(3)
(4)
(5)
(6)
Returns under $5,000...
76,643,132
164,487,867
155,528,831
0.33
0.32
0.14
1,019,859
6,764,004
2.23
2.62
0.67
253,774
289,932
426,286
3.02
Returns $10,000 or more
Interest received
............
Income ta
credi
< after
Adjusted gross income
,r^.„.
Relative
bllity
Amount
Relative
sampling
bilitj
Amount
"^rii"^
bility
(7)
18)
(9)
(10)
(11)
(12)
Returns under $5,000...
$10,000..!
Returns $10,000 or more
3,012,131
2,739,301
4,373,193
1.31
0.48
28,140,773
90,537,348
111,190,955
0.37
4,668,445
15,944,111
26,540,300
0.51
0.15
Sampling Variability
The data from returns showing adjusted gross income
of $100,000 or more are not subject to sampling vari-
ability since all suchreturns were included in the sample.
However, the estimates which include data from returns
showing adjusted gross income under $100,000 are sub-
ject to sampling variability. Table W shows, for selected
amount estimates, the range in percent which would not
be exceeded in 2 out of 3 estimates based on similar
sampling systems.
Table X shows, for frequency estimated in general, a
conservative range in percent that would not be exceeded
in 2 out of 3 estimates, prepared from similarly selected
samples. Sampling variability patterns are presented
separately for three adjusted gross income classes.
For instance, if data from returns showing adjusted gross
income under $10,000 reveal 100,000 returns having a
certain characteristic, then the relative sampling vari-
ability will be less than 7 percent. As another example,
if data from returns showing adjusted gross income of
$10,000 under $50,000 reveal 100,000 returns having a
certain characteristic, then the relative sampling vari-
ability of this estimate will be less than 2,2 percent.
Returns uith adjusted gross income
Estimated number of returns
$10,000
$10,000 under
$50,000
$100, ocS '"'
(1)
(2)
(3)
fl-TC^O
1,000
'1)
32
14
10
l!4
Islooo
100, 000
134
INDIVIDUAL INCOME TAX RETURNS FOR 1964
Data have been deleted from the tables where the esti-
mated relative sampling variability was judged to be
excessive. Where s{uch a deletion has been made, the
applicable cells have been appropriately footnoted. Table
Y shows the estimates and corresponding relative sam-
pling variabilities for selected items by adjusted gross
income classes.
Response and Other Nonsampling Errors
In processing returns for collection purposes and,
later, in processing the sample of such returns for sta-
tistical purposes, several steps were taken to reduce
taxpayer-reporting errors and other errors introduced
in data processing operations. Over 90 percent of all
individual returns filed during 1965 were mathematically
ADJUSTED GROSS INCOME, AND SELECTED ITEMS,
Relative
sajnpling
variability
Relative
sajnpling
variability
Grand total
Taxable returns, total
$600 under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5,000
$5,000 under $6,000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000...
$20,000 under $50,000
$50,000 under $100,000...
$100,000 under $500,000. .
$500,000 under $1,000,001
$1,000,000 or more
No adjusted gross income.
Under $600
$600 under $2,000
$2,000 under $5,000
$5,000 under $10,000
$10,000 or more
Returns under $5,000
Returns $5,000 under $10, 0(
Returns $10,000 or more
145,401
197,704
232,121
244,377
251,392
297,232
259,735
929,885
2,951,058
1,771,274
1,74S,469
76,643,132
42 1&4,4S7,867
19 155,528,831
1,726,034
1,594,906
2,345,820
Adjusted gross
Relative
sampling
variability
Taxable income
Relative
variability
Grand total ,
Taxable returns, total
$600 under $1,000
$1,000 under $2,000
$2,000 under $3,000
$3,000 under $4,000
$4,000 under $5, 000
$5, 000 under $6, 000
$6,000 under $7,000
$7,000 under $8,000
$8,000 under $9,000
$9,000 under $10,000
$10,000 under $15,000
$15,000 under $20,000
$20,000 under $50,000
$50,000 under $100,000
$100, 000 under $500, OOO
$500,000 under $1,000,000
$1,000,000 or more
No adjusted gross income
Under $600
$600 under $2,000
$2,000 under $5,000
$5,000 under $10,000
$10, 000 or more
Returns under $5,000
Returns $5,000 under $10,000
Returns $10,000 or more
^Adjusted gross income less deficit.
^Not subject to sampling variability since the returns in these classes
^Deficit.
4,137,065
1,148,652
1,046,522
11,806
165,192
332,709
549,823
522,070
445,301
1,541,221
752,008
1,364,806
8,515,230
12,170,876
15, 564, 570
18,319,522
51,914,829
17,^70,472
26,832,008
8,523,317
4,522,030
5,161
343,498
,426*534
3,186,260
3,525,596
3,401,658
3,154,118
9,792,079
3,709,244
6,882,146
306,896
1,547,813
1,110,684
6,978,231
6,527,012
INDIVIDUAL INCOME TAX RETURNS FOR 1964
135
verified before they were made available for sample se-
lection. Any corrections resulting from mathematical
verification of the taxpayer's entries are reflected in the
data tabulated.
In transcribing and tabulating the information from the
returns in the sample, additional checks were imposed
to improve the quality of the resulting estimates. Re-
turns which showed data in accompanying schedules but
not on appropriate return lines, community property re-
turns on which the "halving" of income was incorrectly
computed, and returns with other obvious errors were
edited and recording errors amended. Mechanical tran-
scribing was verified by the process of repeat card
punching and, prior to tabulating, numerous tests for
consistency were applied using an electronic computer,
to assure that proper balance and relationship between
return items were maintained.
An intensive system of sample management and con-
trol was used to insure the selection of the prescribed
sample and prevent any serious undercoverage. Sample
controls were maintained on a district _basis by the most
detailed Internal Revenue Service groupings. In addition,
a name control file, containing a historical record of tax
return information for certain taxpayers who annually
report large incomes, provided a further check on the
completeness of the sample.
Prior-year delinquent returns were included for the
purpose of "covering" data for 1964 returns that were
filed after December 31, 1965. -It was felt that the char-
acteristics of 1964 returns filed after 1965 could best be
represented by previous year delinquent returns filed
during 1965. As can be seen in table V, the number of
delinquent returns filed,during 1965 was 437,000.
However, the controls maintained over the selection
of the sample and the processing of the source data in
the field offices did not completely eliminate the possi-
bility of error. Also, practical operating considerations
necessitated allowance of reasonable tolerance in con-
trolling the processing of these data within the Statistics
Division.
SECTION 9
Synopsis of Lqvn^s
Table I . —REQUIREMENT FOR FILING INDIVIDUAL INCOME TAX RETURNS, EXEMPTION ALLOWANCES, AND MIMIMUM
AND MAXIMUM TAX RATES, 1954-64
Items
1';
.5 1 1.50 1 1.
57 1950 1959 19d0
19d1
19o2
1..o3|i9..
(Dollars)
V
J
Gross income requirement for filing returns^
600
600
600
Additional exemptions for age 65 or over and for blindness^
(Percent)
...
^0.0
91.0
87.0
16
77.0
■■•For 195<4-62, persons 65 years of age or over, gross income $1,200. Gross income for 1958-04 includes income earned
from sources outside the United States, even though tax-exempt.
^Additional exemptions allowed only for taxpayer and spouse.
^No maximum effective tax rate was specified in the law; however, the effective tax rate would never exceed 77 per-
cent.
Table II . —REQUIREMENT FOR FILING THE SELF -EMPLOYMENT TAX SCHEDULE, AND SELF -EMPLOYMENT TAX
RATES, 1954-63
Items
1955 1 195o 1 1957 1 1953 | 1959 | l^'oO | 1*1 | 1902 | 1963 | 1964
(Dollars)
A\. J
Self-employment net earnings requirement for filing
Maximum self-employment income subject to self -employment
4,200
4 SCO
(Percent)
-^
^ >
3-3/8
3-3/4
4-1/2
4.7
^
137
SECTION 10
1964 Forms and Instructions
Form 1040A: Individual Income Tax Return, 139
Form 1040: Individu
Schedule B, Income and Credits, 150
Schedule C, Profit (or Loss) from Business or
Profession, 170
Form 1040: Schedule D, Gains and Losses from Sales or
Property , 174
Schedule F, Farm Income and Expense, 177
Schedule G, Income Averaging, 182
Form 2948: Medical and Dental Expense Statement, 186
1040A
O.S. INDIVIDUAL INCOME TAX RETURN
(LESS THAN ^10,000 TOTAL INCOME)
1964
L Name CK a joint tetuin ol husband and wifa; use first t
tai street or nual route)
City, tawa or post ollice. State and Postal ZIP coda
4. Check o>
□ Single;
It item 7 is JI0,COO
interest dividends an
wages are over $200. i
5. Eoter total wages, salaries, tips, etc Enclose Yours -
Forms W-2, Copy B. If not shown on encj<
Forms W-2 attach explanation.
G. Interest and dividends
9 (add items i and 6)
8. Enter tax from Tax Table or from tax computation schedule -
Total Federal income tax withheld (from Forms W-2)-
If your income was $5,000 or more, you must compute your tax.
However, if your Income was less than $5,000, you may have the
Internal Revenue Service compute your tax by omitting items 8, JO,
and 7 7. If you compute your own fax, pay balance (item 10) in
full with return to your Dnirict Director.
) is larger than item 8, enter refund -
Apply refund to: Q] U.S. Savings Bonds, with excess refunded; or Q Refund onlir.
I.S. TREASURY
REVENUE SERVICE
LIST YOUR EXEMPTIONS AND SIGN ON OTHER 5IUE.
12. EXEMPTIONS FOR YOURSELF— AND WIFE (only it all her ini:ome is included in this return, or she had no I
Check boxes which apply
(a) Resular $600 exemption D Yourself QWife
(b) Additional $600 exemption if 65 or over at end of 1 964 D Yourself D Wife
(c) Additional $600 exemption if blind at end of 1 964 D Yourself D Wife
13. NUMBER OF YOUR DEPENDENT CHILDREN WHO LIVED WITH YOU *-|
14. DEPENDENTS OTHER THAN THOSE CLAIMED IN ITEM 13.
(a) NAME
► Enter Figuie 1 in the last column to right
for each name listed
(If more space is needed, allach schedule)
(b) Relationship
(c) Months lived in
write^'-B^' or "D"^°
havemcomEofjeOO
(e) Amount YOU fur-
nished for dependenl's
support. II 100^
write "ALL"
(0 Amount furnished
byOrHERSmdud.ng
dependenL See
inslruclion 14
•♦
i
»
15. Total exemptions from items 12, 13, and 14 above *■
If jou had an expense allowance or charged expenses to jour employer, see instructians for "Reimbursed Expenses" and check here Q if appropriate.
SIGN
Under penalties of perjury, 1 declare that to the best of my knowledge and belief Ihis is a true, correct, and complete retunt
HERE *
, BOTH HU'SBAND ANO WIFE VSUSTSK
139
FACSIMILES OF TAX RETURNS, 1964
1964
1964
INSTRUCTIONS FOR FORM 1040A
FOR EMPLOYEES WHO EARNED LESS THAN $10,000
Card Form 1040A offers an easy way for employees receiving less than
$10,000 total income to file their 1964 U.S. income tax returns.
To use CARD Form 1040A folloiv these simple steps
A Read instructions below. See "Who May Use
Form 1040A." If ineligible, use Form 1040.
g Fill out the copy on page 4. If you need help,
you can ask questions by phone of any Internal
Revenue Service office or come in for assistance.
C Transfer answers from the copy to the card.
Keep the copy for your records.
J) Sign the card and mail it together with your With-
holding Statements (Forms W-2, Copy B) to your
District Director of Internal Revenue.
If your name, address, and social security number are already printed and punched on the card form, please use
this card as it will permit high-speed machine handling. Correct the preprinted information, if necessary.
WHO MUST FILE A TAX RETURN.— Every citizen or
resident of the United States under 65 who had $600 or
more income; if 65 or over, $1,200 or more.
WHO MAY USE FORM 1040A.— If your income was
less tlian $10,000 and consisted entirely of wages re-
ported on Withholding Statements (Forms W-2) and
not more than $200 total of dividends, interest, and
other wages not subject to withholding, you may use
the card form. A husband and wife may file a joint
return if their combined incomes do not exceed these
limits.
WHO MAY NOT USE FORM 1040A.— File Form 1040
instead of Form 1040A if —
(1) you had income from sources other tlian or in
amounts larger than those stated above,
(2) either husband or wife itemizes deductions,
(3) you claim the tax status of head of household or
surviving husband or wife,
(4) you claim the dividends received credit or the
retirement income credit,
(5) you claim an exclusion for "Sick Pay" paid
directly to you by your employer and this amount
is included in the total wages shown on your
Form W-2,
(6) you claim deductions for travel, transportation,
moving, or "outside salesmen" expense (how-
ever, see "Reimbursed Expenses," page 3 of in-
structions),
(7) you claim credit for payments on estimated tax
or an overpayment from 1963, or
(8) you are a nonresident alien (file Form 1040B,
Form 1040NB, or Form 1040NB-a).
MEMBERS OF ARMED FORCES.— A member of the
Armed Forces should give his name, social security
number, permanent home address and serial number.
WHEN AND WHERE TO FILE.— Please file as early as
possible with the District Director of Internal Revenue
for your district on or after January 1, 1965, but not
later than April 15, 1965.
WHERE TO GET FORMS.— If you need a Form 1040,
you can get one from any Internal Revenue office, and
from most banks and some post offices. Your employer
will furnish a Withholding Statement (Form W-2).
HOW TO PAY. — Checks or money orders should be
made payable to "Internal Revenue Service." You
need not pay a balance of tax due of less than $1, and a
refund of less than $1 will not be made unless you apply
for it.
Signature. — Your return is not valid unless you sign
it. Both husband and wife must sign a joint return.
COMPUTATION OF TAX ON FORM 1040A:
(1) If your income was less than $5,000. — You
may figure your tax from the appropriate tax
table on page 5, 6, 7, or 8, or you may have the
Internal Revenue Service do it for you. If
you are married and filing a separate return
and you choose to have the Internal Revenue
Service figure your tax, it will be figured using
the 10 percent standard deduction and never
the minimum standard deduction.
(2) If your income is $5,000 or more buf less
ihan $10,000.— You must use the standard de-
duction — either the 10 percent standard de-
duction or the minimum standard deduction,
whichever is greater, and compute your own
tax. See Tax Computation Schedule on page
4.
Instructions— Form I040A(I964)
FACSIMILES OF TAX RETURNS, 1964
141
The use of the tax table or the standard deduction
eliminates the need to list contributions, interest, taxes,
losses, medical expenses, child care expenses, and cer-
tain miscellaneous deductions. The standard deduc-
tion is 10% of item 7, page 1, Form 1040A, but not less
tlian the minimimi standard deduction which is an
amount equal to $200 (SlOO if married and filing a sep-
arate return) plus SlOO for each exemption claimed in
item 15 on the back of your return. The deduction is
limited to $1,000 ($500 for each return if married and
fihng separate returns). If your standard deduction
is less than your itemized deductions, it will be to your
advantage to use Form 1040 and itemize your deduc-
tions. The tax tables are designed to allow for the
standard deduction.
If separate returns are filed by married individuals,
and if either the husband or wife elects the 10 percent
standard deduction or one of them chooses to have the
Internal Revenue Service figure the tax, the other must
use the 10 percent standard deduction. Neither may
use the minimum standard deduction unless both use it.
MARRIED COUPLE:
Marital Status. — ^If married at the end of 1964, you
are considered married for the entire year. If divorced
or legally separated on or before the end of 1964, you
are considered single for the entire year. If your wife
or husband died during the year, you are considered
married for the year, and may file a joint return.
(1) How to prepare a joint return. — To assure any
benefits of the split income provisions, a husband and
wife must file a joint return. If a joint return is filed,
you must include the income of both; however, a joint
return may be filed even though one had no income.
If your income was under $5,000 and you choose to have
the Internal Revenue Service figure your tax, it will be
computed on the combined income or on the separate
incomes, whichever results in the smaller tax or larger
refund. If you figure your own tax, be sure to make
both computations and enter the smaller tax or larger
refund on your return. A joint return may not be filed
if either husband or wife was a nonresident alien at any
time during the taxable year.
(2 ) How to prepare a separate return. — ^In a separate
return each must report his or her separate income and
fill in a separate form.
DO YOU OWE A TAX BALANCE?— Under the pay-as-
you-go system, your withholding tax and your final in-
come tax should come out about even. This benefits
both you and your Government. If you owe a balance
on your 1964 return, you should consider changing your
Withholding Exemption Certificate (Form W-4).
INSTRUCTIONS FOR PREPARING FRONT OF FORM 1040A
(D (2) (3) ^^ y°" ^^^ married and are filing a joint re-
turn as husband and wife, be sure to enter
the first names and middle initials of yourself and your
wife. For example: John F. and Mairy L. Doe. Enter
both your social security nimiber and your ivife's social
security nimiber whether filing jointly or separately.
(g) Enter the total wages from all your 1964 Withhold-
ing Statements, Forms W-2. Also include in this
item wages not subject to withholding tax. An exam-
ple of these wages are those paid to part-time workers
on which the employer is not reqviired to withhold in-
come tax. If you lose a Withholding Statement, ask
your employer for a new one. If you cannot furnish a
statement, attach an explanation.
TWO OR MORE EMPLOYERS.— If a total of more than
$174 of social security (F. I. C. A.) tax was withheld
from the wages of either you or your wife because one
or both of you worked for more than one employer, you
may claim the excess over $174 as a credit against your
income tax.
a. Add up the social security (F. I. C. A.) tax with-
held by all your employers from your wages in 1964.
If joint return, separate computations must be made
for you and your wife.
6. Subtract $174.
c. Include the balance in the amount shown in
item 9.
(g) INTEREST AND DIVIDENDS.— Enter your tax-
able income from interest and dividends. Read
the following instructions before completing this
item —
a. INTEREST.— Include all interest actually received
or credited to your account by a bank, savings and loan
association, etc.
b. DIVIDENDS.— Include all dividends received ex-
cept the first $100 received from domestic corporations.
So-called dividends received from mutual savings banks
or savings (building) and loan associations on deposits
or withdrawable accounts are treated as interest, not
dividends. If a joint return is filed and both husband
and wife had dividend income, each is entitled at most
to a $100 exclusion and one may not use any portion of
the $100 exclusion not used by the other. For example,
if the husband had $180 in dividends, and the wife had
$20, only $120 may be excluded.
142
FACSIMILES OF TAX RETURNS, 1964
INSTRUCTIONS FOR PREPARING FRONT OF FORM 1040A— Continued
(2) ® (D dD ® COMPUTATION OF TAX
a. If your income was less than $5,000. — You may
figure your own tax from the appropriate Tax Table in
these instructions, or you may have the Internal Reve-
nue Service do it for you. If you figure your own tax,
complete items 8, 9, and 10 or 11. If you have the
Service figure your tax, you will be sent a bill for the
balance due or a check for the refund.
b. If your income was $5,000 or more but /ess than
$10,000. — You must compute your own tax and use the
standard deduction. (If your itemized deductions are
in excess of your standard deduction, it will be to your
advantage to use Form 1040.) See page 4 for computa-
tion schedule. Keep it for your records.
PURCHASE OF U.S. SAVINGS BONDS.— If you are
entitled to a refund, you may apply it to the purchase of
Series E United States Savings Bonds. If you check the
first box under item 11, you will be issued as many
bonds as your refund will buy, providing it does not
leave a balance of less than $1 to be paid by check.
For example, if your refund is $40 you will receive a $50
face value bond and a check for $2.50. Bonds will be
issued in the name used in filing your return. If you
file a joint return the bonds will be issued only to hus-
band and wife as co-owners.
INSTRUCTIONS FOR PREPARING BACK OF FORM 1040A
^5\ FiU in this item to receive credit for your and your
wife's exemptions. A taxpayer cannot claim his
wife (husband) as an exemption if the wife (husband)
filed a separate return for any purpose (for example, to
obtain a refund of income tax withheld). Age and
blindness are determined as of December 31, 1964.
^3) (14) Enter in item 13 the total number of your de-
pendent children who lived with you during
1964.
List other dependents in item 14.
Each dependent must meet all of the following tests:
a. Received more than one-half of his or her support
from you (or from wife or husband if a joint return is
filed). Support includes all amounts used for the de-
pendent's support whether contributed by the depend-
ent or by others and whether such amounts are taxable
or nontaxable income such as social security, gifts, sav-
ings, etc.
6. Received less than $600 income. (This test does
not apply to your children or stepchildren who were
under 19 or who were full-time students for 5 calendar
months of the year; however, you must have provided
over one-half of the child's support.)
c. Did not file a joint return with her husband (or
his wife).
d. Was either a citizen or resident of the United
States or a resident of Canada, Mexico, the Republic of
Panama, or the Canal Zone. (An alien child legally
adopted by and living with a United States citizen
abroad also qualifies as a citizen of the United States
for this purpose.)
e. EITHER (1) for the entire year 1964 had your
home as his principal place of abode and was a mem-
ber of your household; OR (2) was related to you (or
to husband or wife if a joint return is filed) in one of
the following ways :
Child*
Stepchild
Mother
Father
Grandparent
Brother
Sister
Grandchild
Stepbrother
Stepsister
Stepmother
Stepfather
Mother-in-law
Father-in-law
Brother-in-law
Sister-in-law
Son-in-law
Daughter-in-law
The following if related
by blood:
Uncle
Aunt
Nephew
Niece
*Includes a child who is a member of your household
if placed with you by an authorized placement agency
for legal adoption.
BIRTH OR DEATH OF DEPENDENT.— You can claim a
full $600 exemption for a dependent who was born or
died during the year if the tests for claiming an exemp-
tion for such dependent are met for the part of the year
during which he was alive.
REIMBURSED EXPENSES.— If you account to your em-
ployer for business expenses when you travel on busi-
ness, and he pays for them (either by advances or reim-
bursements or by allowing you to use a charge account),
or he gives you a flat allowance for subsistence and mile-
age of not more than $25 per day and 15 cents per mile,
and your expenses equal your reimbursement, or your
expenses exceed the reimbursement and you do not
wish to claim a deduction, you may file Form 1040A
without showing these amounts by simply checking \V]
the box under item 15 on the back of Form 1040A.
However, if your employer's payments are more than
your expenses or you wish to claim a deduction for ex-
cess expenses, you may not use Form 1040A, you must
use Form 1040.
FACSIMILES OF TAX RETURNS, 1964
COFY=IiCEEP FOE
Form 1040 A
U.S. INDIVIDUAL INCOME TAX RETURN
(LESS THAN $10,000 TOTAL INCOME]^
1964
piegje (1) Name (If a joint return ol husband and wife.
print —
nes and middle mitials of bolfi)
(2) Your loclal Mcurlty numba
W ^ (Husband's if joint rctufn)
1 address (Number and street or i
t number. If Joint return
■ post otTice, State and Postal ZIP code
□ Single
Enter tfie name and address used on your return for
1963. (If the same as above, write "Same.") If
none filed, give reason.
$10,000 or more, or it fpjEnter total wages, salaries, tips. etc. Enclose
, dividends and nonwithheld r-' Forms W-2. Copy B. If not shown on enclosed
r $200. use Form 1040. I Forms W-2 attach explanation.
r0J Interest and dividends
ITotal income (add items 5 and 6)
NOTE.— Married taxpayers: If you are changing from filing separate returns to a joint (Q) Enter taxfrom Tax Table or from tax computation schedule >
return or from a joint return to separate returns, enter names and addresses from the 1963 y— t
joint or separate returns. (Q) Total Federal income tax withheld (from Forms W-2) >
If your income was S5,000 or more, you must compute your tax.
However, if your income was less than $5,000, you may hove the '
Internal Revenue Service compute your tax by omittins items 8, 10. {W j " ''e'^ ^ 's larger than item 8. enter refund ■
and 7 7. If you compute your own tax, pay balance (item 10) in I . . , , , — , ., . . . _ j ..,^ , j j i — i. . j i
full with return to your District Director \ APP" '''"<"> "^ D "S- S'"'"?' Bonds, with excess refandeil: or Q Refund only.
REVENUE SERVICE
LIST YOUR EXEMPTIONS AND SIGN ON OTHER SIDE.
© EXEMPTIONS FOR YOURSELF— AND WIFE (only il all her Income is included in this return, or she had no income)
Check boxes which apply
(a) Resular $600 exemption
(b) Additional $600 exemption if 65 or over at end of 1964
(c) Additional $600 exemption if blind at end of 1964
D Yourself □ Wife
D Yourself DWife
n Yourself DWife
[13) NUMBER OF YOUR DEPENDENT CHILDREN WHO LIVED WITH YOU
fl4j DEPENDENTS OTHER THAN THOSE CLAIMED IN ITEM 13.
(a) NAME
► Enter figure 1 in the last column to right
for each name listed
(If more space is needed, attach schedule)
(b) Relationship
(c) Months lived in
(Our home. If born o
died during year also
write •■B"br"D"
(e) Amount YOU fur-
nished for dependent':
support, if lOOJ
write "ALL"
15. Total exemptions from items 12, 13, and 14 above
If you had an expense allowance or charged expenses to your employer, see instnictiiins for "Reimbursed Expenses" and check here G if appropriate.
Under penalties of perjury, I declare that to the best of my knowledge and t
reel, and complete return
BOTH HUSBAND AND WIFE MUST SIGN i
1964-O-725-550
TAX COMPUTATION SCHEDULE (t/se only if total income, item 7 of Form 1040A, is $5,000 or more)
1. Enter total income from item 7 of Form 1040A $
2. Enter the standard deduction which is explained on page 2 of the instructions (married
person filing a separate return cannot claim more than $500)
3. Subtract line 2 from line 1
4. Multiply $600 by total number of exemptions claimed in item 15 of Form 1040A
5. Subtract line 4 from line 3
6. Tax on amount on line 5. Use appropriate tax rate schedule below. Enter here and in
item 8 of Form 1040A (Do not attach this schedule to Form 1G40A) $
H you ore a single taxpayer or a married taxpayer Ulins a
separate return, use ffiis fox rate scfiedufe
If the amount on line 5 is: j-, , i- ^
Over But not over l^n^er on hne 6:
$0 S500 16% of the amount on line 5
$500 S1,000 S80, plus 16.5% of excess over $500
$1,000 $1,500 $162.50, plus 17.5% of excess over $1,000
$1,500 $2,000 $250, plus 18%, of excess over $1,500
$2,000 $4,000 $340, plus 20% of excess over $2,000
$4,000 $6,000 $740, plus 23.5% of excess over $4,000
$6,000 $8,000 $1,210, plus 27% of excess over $6,000
$8,000 $9,999.99 $1,750, plus 30.5% of excess over $8,000
If you are married taxpayers filing a joint return, use this tax
rate schedule
If the amount on line 5 is:
Enter on line 6:
Oier But not over
SO $1,000... 16% of the amount on line 5
$1,000 $2,000 $160, plus 16.5%. of excess over $1,000
S2,000 $3,000 $325, plus 17.5% of over excess $2,000
$3,000 $4,000 $500, plus 18% of excess over $3,000
$4,000 $8,000 $680, plus 20% of excess over $4,000
$8,000 $9,999.99 $1,480, plus 23.5%) of excess over $8,000
144
FACSIMILES OF TAX RETURNS. 1964
1964 TAX TABLES FOR INCOMES UNDER $5,000 <'^<'''
Iff your total Income (item 7 of your return) is $5,000 or more, use
Tax Computation Schedule on page 4
Find your tax after selecting the proper Tax Table from those listed below based on your filing status (item 4, page 1,
Form 1040A).
TABLE A — For Married Persons Filing Joint Returns
TABLE B— For Single Persons
Tables A and B reflect the lowest tax after taking both the
10 percent standard deduction and the minimum standard de-
duction into account.
TABLE C — For Married Persons Filing Separate Re-
turns, Using 10 Percent Standard Deduction
TABLE D — For Married Persons Filing Separate Re-
turns, Using Minimum Standard Deduction
TAX TABLE A— FOR MARRIED PERSONS FILING JOINT RETURNS
This table is designed to allow for the standard deduction
To find your tax read down income columns until you find the line covering the total income shown as item 7. Tlien read across to
the appropriate column headed by the number corresponding to the number of exemptions claimed on item 15. Enter tax in item 8.
It your total
ncomg is—
And the number of
exemptions is-
If your total
ncome is—
And the number of exemptions is-
But less
2
3 fe
But less
2
3
^
5
6
If 4 or more -
If 7 or more
At least
than
there is
no tax ^
than
there is
no tax
Your tax is- ^
Your tax is—
$0
$1,600
$0
-fO " '
$2, 800
$2, 825
$195
$82
$0
$0
$0
1,600
1,625
2
2,825
2,850
199
86
1,625
1.650
6
2,850
2,875
203
90
1,650
1,675
10
*
2,875
2,900
207
94
1,675
1.700
14
.>
2,900
2,925
212
98
1,700
1,725
18
2,925
2,950
216
102
1.725
1,750
22
~
2,950
2,975
220
106
1,750
1,775
26
2,975
3,000
224
110
1,775
1,800
30
3,000
3,050
230
116
4
1,800
1.825
34
3,050
3,100
238
124
12
1.825
1.850
38
?
3,100
3, 150
247
132
20
1,850
1,875
42
3,150
3,200
255
140
28
1,875
1.900
46
3,200
3,250
263
148
36
1.900
1,925
50
,
3,250
3,300
271
156
44
1,925
1.950
54
>
3,300
3,350
280
164
52
1,950
1,975
58
"'
3,350
3,400
288
172
60
1.975
2,000
62
3,400
3.450
296
181
68
2.000
2,025
66
,
3,450
3,500
304
189
76
2.025
2.050
70
,
3,500
3,550
313
197
84
2,050
2.075
74
3,550
3,600
321
205
92
2,075
2,100
78
3,600
3, 650
329
214
100
2,100
2, 125
82
3,650
3,700
338
222
108
2,125
2,150
86
I)
3,700
3,750
347
230
116
4
2,150
2,175
90
'
3,750
3,800
356
238
124
12
2.175
2.200
94
3,800
3,850
364
247
132
20
2,200
2.225
98
3,850
3,900
373
255
140
28
2,225
2,250
102
3,900
3,950
382
263
148
36
2,250
2,275
106
-
3,950
4,000
391
271
156
44
2.275
2,300
110
4,000
4,050
399
280
164
52
2,300
2,325
114
2
4,050
4,100
407
288
172
60
2.325
2,350
118
** " (
4,100
4,150
415
296
181
68
2,350
2.375
122
10 !
4,150
4,200
423
304
189
76
2,375
2,400
126
14
4,200
4,250
430
313
197
84
2,400
2,425
130
1!> ' '■,
4,250
4,300
438
321
205
92
2,425
2,450
134
22 J
26 4
4, 300
4,350
446
329
214
100
2,450
2,475
138
4,350
4,400
454
338
222
108
2, 475
2.500
142
30 ,
4,400
4,450
462
347
230
116
4
2,500
2,525
146
34
4,450
4,500
470
356
238
124
12
2,525
2,550
150
3S j;
4,500
4,550
478
364
247
132
20
2,550
2,575
154
42
4,550
4,600
486
373
255
140
28
2,575
2,600
158
46
4,600
4,650
493
382
263
148
36
2,600
2,625
162
50
4,650
4,700
501
391
271
156
44
2,625
2,650
166
54
4,700
4,750
509
399
280
164
52
2,650
2.675
170
5S
4,750
4,800
518
408
288
172
60
2,675
2,700
174
62 " ,,
4.800
4.850
526
417
296
181
68
2,700
2,725
179
66
4,850
4,900
534
426
304
189
76
2,725
2,750
183 70
4,900
4,950
542
434
313
197
84
2.750
2,775
187 74
4,950
5,000
550
443
321
205
92
2,775
2.800
191 78
FACSIMILES OF TAX RETURNS, 1964
145
PAGE 6 TAX TABLE B— FOR SINGLE PERSONS
This table is designed to allow for the standard deduction
To find your tax read down income columns until you find the line covering the total income shown as item 7. Then read across
to the appropriate column headed by the number corresponding to the number of exemptions claimed on item 15. Enter tax in item 8.
II your total
income is—
And the number of exemptions is- ^j:
^ If your total
income is-
And the number of exemptions is—
But less
than
1
2
3 i
At least
But less
than
1
2
3
4
5
6
At least
If 4 or more
there is
no tax
If 7 or more
there is
no tax
Your tax is-
Your tax is—
$0
$900
$0
$0
$0
$2, 450
$2, 475
$261
$140
$26
$0
$0
$0
900
925
950
975
925
950
975
1.000
2
6
10
14
2,475
2,500
2,525
2.550
2.500
2,525
2,550
2,575
266
270
275
279
144
148
152
156
30
34
38
42
1,000
1,025
1,050
1,075
1,025
1,050
1,075
1,100
18
22
26
30
2,575
2.600
2.625
2.650
2,600
2,625
2,650
2,675
284
288
293
297
160
165
169
173
46
50
54
58
1,100
1,125
1,150
1,175
1,125
1,150
1,175
1,200
34
38
42
46
2,675
2,700
2,725
2,750
2,700
2,725
2,750
2.775
302
306
311
315
178
182
187
191
62
66
70
74
1,200
1,225
1.250
1,275
1,225
1,250
1,275
1,300
50
54
58
62
2,775
2.800
2.825
2.850
2.800
2,825
2,850
2,875
320
324
329
333
195
200
204
208
78
82
86
90
1,300
1,325
1,350
1,375
1,325
1,350
1,375
1,400
66
70
74
78
2,875
2,900
2.925
2.950
2,900
2,925
2,950
2,975
338
343
348
353
213
217
222
226
94
99
103
107
1,400
1,425
1,4S0
1,475
1,425
1,450
1,475
1,500
82
90
94
i
2,975
3,000
3,050
3,100
3,000
3,050
3,100
3,150
358
365
374
383
230
237
246
255
111
117
125
134
4
12
20
1,500
1,525
1,550
1,575
1,525
1,550
1,575
1,600
99
103
107
111
1
3, 150
3,200
3,250
3,300
3,200
3,250
3,300
3,350
392
401
410
419
264
273
282
291
142
150
158
167
28
36
44
52
1, $00
1,625
1,650
1,675
1,625
1,650
1,675
1,700
115
119
123
127
2
6
10
14
3,350
3,400
3,450
3.500
3.400
3,450
3,500
3,550
428
437
446
455
300
309
318
327
176
184
193
202
60
68
76
84
1,700
1,725
1.750
1,775
1,725
1,750
1,775
1,800
132
136
140
144
22
26
30
i
3,550
3,600
3,650
3.700
3,600
3,650
3,700
3,750
464
473
482
491
336
345
355
365
211
219
228
237
92
101
109
117
4
1,800
1,825
1.850
1,875
1.825
1.850
1,875
1,900
148
152
156
160
34
38
42
46
3,750
3,800
3,850
3,900
3,800
3,850
3,900
3,950
500
509
518
527
375
385
395
405
246
255
264
273
125
134
142
150
12
20
28
36
1.900
1,925
1,950
1,975
1,925
1,950
1,975
2,000
165
169
173
178
50
54
58
62
\
3,950
4,000
4,050
4.100
4,000
4,050
4,100
4, 150
536
545
554
563
415
425
434
443
282
291
300
309
158
167
176
184
44
52
60
68
2,000
2,025
2,050
2,075
2,025
2,050
2.075
2,100
182
187
191
195
66
70
74
78
4, 150
4,200
4,250
4,300
4,200
4,250
4,300
4, 350
572
581
590
599
452
461
470
479
318
327
336
345
193
202
211
219
76
84
92
101
2,100
2,125
2,150
2,175
2,125
2,150
2.175
2.200
200
204
208
213
82
90
94
4,350
4.400
4,450
4,500
4,400
4,450
4,500
4,550
608
617
626
635
488
497
506
515
355
365
375
385
228
237
246
255
109
125
134
4
12
20
2,200
2,225
2,250
2,275
2.225
2.250
2,275
2,300
217
222
226
230
99
103
107
111
4,550
4,600
4,650
4,700
4,600
4,650
4,700
4,750
644
653
662
671
524
533
542
551
395
405
415
425
264
273
282
291
142
150
158
167
28
36
44
52
2.300
2,325
2.350
2,375
2,325
2,350
2,375
2.400
235
239
243
248
115
119
123
127
2
6
10
14
4,750
4,800
4,850
4.900
4,800
4,850
4,900
4,950
680
689
707
560
569
578
587
435
445
455
465
300
309
318
327
176
184
193
202
60
68
76
84
2.400
2,425
2,425
2.450
252
257
132
136
18 m
22 m
4,950
5,000
716
596
475
336
211
92
FACSIMILES OF TAX RETURNS, 1964
TAX TABLE C— FOR MARRIED PERSONS FILING SEPARATE RETURNS, USING 10-PERCENT STANDARD DEDUCTION •*'^ge7
To find your tax read down income
the appropriate column headed by the
columns until you find the line covering the total income shown as item 7. Then read
number corresponding to the number of exemptions claimed on item 15. Enter tax i
across to
Q item 8.
If your total income is—
And the number of exemptions is— '" If your tola! income is—
And tlie number of exemptions is—
But less
than
1
2
3 I'l
But less
than
1
2
3
4 5
6
7
At least
't'hU'iJr J At least
lax 'M
If 8 or more
there is no
You, tax is- m
Your lax is—
$0
675
$675
700
$0
3
$0
$0 P $2,325
s,^*,^ 2.350
$2, 350
2,375
$251
255
$147
150
$49
52
$0
$0
$0
$0
700
725
750
775
725
750
775
800
7
10
14
17
"1 2.375
^^ 2,400
1^ 2,425
^^^ 2, 450
2,400
2,425
2,450
2.475
259
263
267
271
154
158
161
165
56
59
63
67
800
825
850
875
825
850
875
900
21
25
28
32
1 2.475
i-l 2.500
^J 2. 525
,p 2.550
2,500
2,525
2.550
2.575
275
279
283
287
169
173
177
181
70
74
77
81
900
925
950
975
925
950
975
1,000
35
39
43
46
^>l 2.575
?1 2. 600
^ 2. 625
?1 2, 650
2.600
2.625
2,650
2.675
291
295
299
303
185
189
193
197
85
88
92
96
1,000
1,025
1,050
1,075
1.025
1,050
1,075
1,100
50
53
57
61
^ 2,675
t^ 2,700
.t1 2,725
^^^4 2,750
2,700
2.725
2,750
2,775
307
311
315
320
201
205
209
213
100
103
107
111
3
7
10
14
1.100
1,125
1,150
1,175
1,125
1,150
1,175
1,200
64
68
71
75
^^ 2,775
ii^ 2,800
"J 2.825
^ 2,850
2,800
2,825
2,850
2.875
324
328
332
336
217
220
224
228
114
118
122
126
17
21
25
28
1,200
1,225
1,250
1,275
1,225
1,250
1,275
1,300
79
82
86
90
;5.y 2,875
^ 2,900
A 2,925
^^ 2,950
2,900
2.925
2,950
2,975
340
344
349
353
232
236
240
244
129
133
137
140
32
35
39
43
1,300
1,325
1,350
1,375
1,325
1,350
1.375
1.400
93
97
101
105
1
4
8
^1 2,975
, ;- 3. 000
;*Q 3.050
Z 3,100
3,000
3,050
3,100
3, 150
358
365
374
383
248
254
262
270
144
150
157
165
46
52
59
66
1,400
1,425
1,450
1,475
1.425
1,450
1.475
1.500
108
112
116
119
11
15
19
22
k 3, 150
-1 3.200
'd 3.250
f^ 3.300
3,200
3.250
3.300
3,350
392
401
410
419
278
286
295
303
173
180
196
73
80
88
95
1.500
1,525
1.550
1,575
1.525
1,550
1,575
1,600
123
127
131
134
26
29
33
37
M 3.350
m 3.400
"M 3. 450
fi 3.500
3,400
3,450
3,500
3,550
428
437
446
455
311
319
327
335
204
212
220
228
103
110
lis
125
6
13
20
28
1,600
1,625
1,650
1,675
1,625
1,650
1.675
1.700
138
142
145
149
40
44
47
51
^M 3.550
^ 3. 600
m 3. 650
^ 3.700
3,600
3.650
3,700
3,750
464
473
482
491
344
353
362
371
236
243
251
259
132
140
147
155
35
42
49
56
1,700
1,725
1,750
1,775
1.725
1.750
1,775
1,800
153
157
160
164
55
58
62
65
"m 3.750
r>| 3.800
.1 3,850
fS 3, 900
3,800
3,850
3. 900
3,950
500
509
518
527
380
389
398
407
268
276
284
292
162
170
178
186
64
71
78
85
1,800
1,825
1,850
1.875
1,825
1,850
1,875
1,900
168
172
176
180
69
73
76
80
-M 3,950
0^4, 000
1 4, 050
;^^. 4, 100
4,000
4,050
4,100
4.150
536
545
554
563
416
425
434
443
300
308
316
324
194
201
209
217
93
100
108
115
4
u
18
1,900
1,925
1,950
1,975
1,925
1,950
1,975
2,000
184
188
192
196
84
87
91
95
' 1 4, 150
J 4,200
M 4, 250
^'■| 4,300
4,200
4,250
4,300
4,350
572
581
590
599
452
461
470
479
332
341
350
359
225
233
241
249
122
130
137
145
25
32
40
47
2.000
2,025
2,050
2,075
2,025
2,050
2,075
2,100
199
203
207
211
98
102
106
109
2 K 4.350
5 ^ 4,400
9 ^ 4,450
13 ^ 4,500
4.400
4.450
4.500
4.550
608
617
626
635
488
497
506
515
368
377
386
395
257
265
273
281
152
160
167
175
54
61
68
76
2,100
2,125
2,150
2,175
2,125
2, J50
2,175
2,200
215
219
223
227
113
117
121
124
16 .^ 4.550
20 ^J 4. 600
23 « 4. 650
27 M 4,700
4.600
4,650
4,700
4,750
644
653
662
671
524
533
542
551
404
413
422
431
289
297
305
313
183
191
199
207
83
90
98
105
1
8
2.200
2,225
2,250
2,275
2,225
2,250
2,275
2,300
231
235
239
243
128
132
135
139
31 W 4,750
34 ^ 4, 800
38 ^ 4,850
41 ^ 4,900
4,800
4.850
4,900
4,950
680
689
698
707
560
569
578
587
440
449
458
467
322
330
338
347
215
222
230
238
113
120
127
135
16
23
30
37
2,300
2, 325
247
143
45 S 4,950
5,000
716
596
476
356
246
142
44
FACSIMILES OF TAX RETURNS, 1964
147
PAGE 8 TAX TABLE D —FOR MARRIED PERSONS FILING SEPARATE RETURNS, USING MINIMUM STANDARD DEDUCTION
To find your tax read down income columns until you find the line covering the total income shown as item 7. Then read across
to the appropriate column headed by the number corresponding to the number of exemptions claimed on item 15. Enter tax in item 8.
If your total income is—
And the number of exemptions is— ^ If your total income is —
And the number of exemptions is—
But less
1 2
3
But less
than
■
2
3
4
5
6
7
At least
If 4 or more ?
there is no i At least
If 8 or more
tliere is no
tax
Your tax is- f 2
Your tax is-
$0
$800
$0
$0
$0 y 1 $2. 400
$2, 425
$270
$148
$34
$0
$0
$0
$0
800
825
850
875
825
850
875
900
2
6
10
14
^ 2. 425
m 2,450
om 2, 475
m 2, 500
2,450
2,475
2,500
2,525
275
2>9
284
288
152
156
160
165
38
42
46
50
I
900
925
950
975
925
950
975
1.000
18
22
26
30
S 2,525
m 2,550
om 2, 575
P 2, 600
2,550
2,575
2,600
2,625
293
297
302
306
169
173
178
182
54
58
62
66
1,000
1,025
1,050
1,075
1,025
1,050
1,075
1,100
34
38
42
46
fi 2,625
1 J 2, 650
y2 2, 675
pM 2,700
2,650
2,675
2,700
2,725
311
315
320
324
187
191
195
200
70
74
78
82
1,100
1,125
1,150
1,175
1,125
1, 150
1,175
1,200
50
54
58
62
|1 2, 725
» 2,750
op 2, 775
om 2, 800
2,750
2,775
2,800
2.825
329
333
338
343
204
208
213
217
90
94
99
1,200
1,225
1,250
1,275
1,225
1,250
1,275
1,300
66
70
74
78
fi 2,825
m 2,850
» 2, 875
1^ 2.900
2,850
2,875
2,900
2,925
348
353
358
363
222
226
230
235
103
107
111
115
2
I
1,300
1,325
1,350
1,375
1,325
1,350
1,375
1,400
82
86
90
94
S-j-l 2. 925
t'4 2, 950
M 2.975
i ^ 3, 000
2,950
2,975
3,000
3,050
368
373
385
239
243
248
255
119
123
127
134
6
10
14
20
1,400
1,425
1,450
1,475
1.425
1,450
1,475
1,500
99
103
107
111
.; 3, 050
^ ' 3, 100
-,i 3.150
'I 3, 200
3,100
3,150
3,200
3,250
395
405
415
425
264
273
282
291
142
150
158
167
28
36
44
59.
1,500
1,525
1,550
1,575
1,525
1,550
1,575
1,600
115
119
123
127
2
6
10
14
; ^ 3.250
■» ' 3, 300
;'"■* 3. 350
" ' 3. 400
3,300
3,350
3,400
3,450
435
445
455
465
300
309
318
327
176
184
193
202
60
68
76
84
1,600
1,625
1,650
1,675
1,625
1.650
1,675
1,700
132
136
140
144
18
22
26
30
; i 3, 450
H -5,500
' ^ 3,550
' 3, 600
3,500
3,550
3,600
3,650
475
485
495
505
336
345
355
365
211
219
228
237
92
101
109
117
4
12
20
1,700
1,725
1,750
1,775
1.725
1.750
1.775
1,800
148
152
156
160
34
38
42
46
3,650
3,700
'^ 3, 750
. 3,800
3,700
3,750
3,800
3,850
515
525
535
545
375
385
395
405
246
255
264
273
125
134
142
150
28
44
52
1,800
1,825
1,850
1,875
1.825
1.850
1.875
1,900
165
169
173
178
50
54
58
62
~ 3, 850
^ , 3,900
; 3,950
4,000
3,900
3,950
4,000
4,050
555
565
575
585
415
425
435
445
282
291
300
309
158
167
176
184
60
68
76
84
1,900
1,925
1,950
1,975
1,925
1,950
1,975
2,000
182
187
191
195
66
70
74
78
. i, 050
, ' 1,100
, 1,150
4, 200
4,100
4, 150
4,200
4,250
595
605
615
625
455
465
475
485
318
327
336
345
193
202
211
219
92
101
109
117
4
12
20
2,000
2,025
2,050
2,075
2,025
2,050
2,075
2,100
200
204
208
213
82
86
90
94
0^4. 250
; ^ 4, 300
- 4,350
4, 400
4,300
4. 350
4.400
4.450
635
645
655
665
495
505
515
525
355
365
375
385
228
237
246
255
125
134
142
150
28
36
44
52
2,100
2,125
2,150
2.175
2,125
2,150
2,175
2,200
217
222
226
230
99
103
107
111
■ ^ 4,450
? 4,500
. 4, 550
;- 1 4, 600
4.500
4,550
4,600
4.650
675
685
695
705
535
545
555
565
395
405
415
425
264
273
282
291
158
167
176
184
60
68
76
84
2,200
2,225
2,250
2,275
2.225
2,250
2.275
2,300
235
239
243
248
115
119
123
127
2 'A 4,650
6 r^ 4,700
10 -,l 4,750
14 ^ 4,800
4,700
4,750
4,800
4,850
715
725
735
746
575
585
595
605
435
445
455
465
300
309
318
327
193
202
211
219
92
101
109
117
4
12
20
2.300
2,325
2,350
2.375
2,325
2,350
2,375
2,400
252
257
261
266
132
136
140
144
IS f , 4,850
22 'J^ 4,900
26 r-' 4, 950
30
4,900
4,950
5,000
758
769
781
615
625
635
475
485
495
336
345
355
228
237
246
125
134
142
28
36
44
, GOVERNMENT PRINTING OFFICE: 1964— O-'
18
FACSIMILES OF TAX RETURNS, 1964
^°^" 1040 U.S. INDIVIDUAL INCOME TAX RETURN-1964
•fl^e^fSSel^K^' o,t.«able year beginning _ 1964, ending _ 19
Your social security numbwr
(Husband's if joint return)
1
First name and initial (If joint return, use first names and middle iniUais of both)
Usl nam*
OccupaUon
Home address (Number and street or rural route)
Wife's number, II Joint return
1 1
(L
City, town or post office, and State PosUl ZIP code
Occupation
£ Enter the name anci address used on your return for 1 963 (if the same as above, write "Same"). If none filed, give reason
NOTE. — Married taxpayers: It you are changing from filing separate returns fo a joint return or from
a joint return to separate returns, enter names and addresses from the 1963 joint or separate returns.
See instructions before
completing your return.
^ n c I FILING STATUS— check one:
la. U Single
b. D Married filing joint return (even if only one had incomi
C. n Married filing separately. If your husband or wife
filing a return give his or her first name and social security n
s also
imber.
d. LH Unmarried Head of Household
e. D Surviving widow(er) with dependent child
Enter numbe
of boxes
checked
EXEMPTIONS
2a. Regular D Yourself D Wife
b. Age 65 or over . . D Yourself D Wife
C. Blind D Yourself D Wife |
3a. Number of your dependent children who lived with you
b. Number of other dependents (from line 3, Part I, page 2)
4. Total exemptions claimed
TAX
COMPU-
TATION
INCOME — If joint return, include all income of both husband and wife
5. Wages, salaries, tips, etc. If not shown on attached Forms W-2 attach explanation «
6. Other income (from line 9, Part II, page 2) "
7. Total (add lines 5 and 6) . ,
8. Adjustments (from line 5, Part III, page 2) •
9. Total income (subtract line 8 from line 7) •
FIGURE TAX BY USING EITHER 10 OR 11
1 0. Tax Table — If you do not itemize deductions and line 9 is less than $5,000, find your tax from tables
in instructions. Do not use lines 11 a, b, t, or d. Enter tax on line 12.
1 1 . Tax Rate Schedule—
a. If you itemize deductions, enter total from Part IV, page 2 \
If you do not itemize deductions, and line 9 is $5,000 or more enter the larger of:
(1)10 percent of line 9 or;
(2) $200 ($100 if married and filing separate return) plus $100 for each exemption >. <
claimed on line 4, above.
The deduction computed under (1) or (2) is limited to $1,000 ($500 if married and
filing separate return). /
b. Subtract line 11a from line 9
c. Multiply total number of exemptions on line 4, above, by $600
d. Subtract line 11c from line lib. (Figure your tax on this amount by using tax rate schedule on
page 10 of instructions. Enter tax on line 12.)
TAX— CREDITS-PAYMENTS
12. Tax (from either Tax Table, line 10, or Tax Rate Schedule, line 11) '
13. Total credits (from line 5, Part V, page 2) •
14. Income tax (subtract line 13 from line 12)
15. Self-employment tax (Schedule C-3 or F-1)
16. Total tax (add lines 14 and 15)
If either you or your wife worked lor more than one employer, see page 5 of instructions.
17a.Total Federal income tax withheld (attach Forms W-2) . . .
b.1964 Estimated tax payments— —
(Include 1963 overpayment allowed as a credit) <Olflce where paid)
dotal (add lines 17a and 17b)
TAX DUE OR REFUND ^.^ ,„ ,„„ ^
18. If payments (line 17c) are less than tax (line 16), enter Balance Due. *'"'
19. If payments (line 17c) are larger than tax (line 16), enter Overpayment
20. Amount of line 19 you wish credited to 1965 Estimated Tax
I this rftturn.
21 . Subtract line 20 from 19. Apply to: □ U.S. Savings Bonds, with excess refunded; or D Refund only
Under penalties of perjury, I declore that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge
ar.d belief it is true, correct, and complete. If prepared by a person other than taxpayer, his declaration is based on all information of which he has any
knowledge.
SIGN
Dat'e
HERE
Sign here .
If joint retu
Sigiiatijre of preparer other than taxpayer
BOTH HUSBAND AND WIFE MUST SIGN even if only (
FACSIMILES OF TAX RETURNS, 1964
FORM 1040-1964
Pages
PART l.-EXEMPTIONS-Ceinplete only «or dependents claimed en line 3b, page 1
(a) NAME
(If more space is needed attach schedule)
(b) Relationship
(c) Months lived in your
home. If bom or died dur-
ingyearwrite"B"or "D"
(d) Did dependent
have income of J600
or more?
(e) Amount YOU furnished
g«SJ
^
$
2
PART II.— INCOME FROM ALL SOURCES OTHER
THAN WAGES, SALARIES, ETC.
Dividends and Other Distributions
A. Gross amount
B. Nontaxable and capital sain distributions
Give details in lin(
L. subtract item bi trom item A. la Ihroueh Id
Explanation of Item C (Write (H), (W), (J) for stock held by husband, wife, or joinUy)
la. Qualifyins dividends (Name of payer) —
Total . .
b. Subtract $1 00. If joint return see instructions
c. Balance
d. Nonqualifying dividends (Name of payer)—
Total
2. Total (add lines 1c and 1d)
3. Interest (Name of payer)..
Total interest income
4. Pensions and annuities, rents and royalties,
partnerships, and estates or trusts (Schedule B)
5. Business income (Schedule C)
6. Sale or exchange of property (Schedule D) .
7. Farm income (Schedule F)
8. Other sources (state nature)
Total other sources .
9. Add lines 2 through 8. Enter here and on
line 6, page 1 . . . ■ . . . ^
PART III.— ADJUSTMENTS
1. "Sick pay" if included in line 5, page 1 (Attach
Form 2440 or other requited statement) . .
2. Moving expenses (attach Form 3903) . . . .
3. Employee business expense (attach Form 21 06
or other statement)
4. Payments by self-employed persons to retire-
ment plans, etc. (Attach Form 2950SE) . . .
5. Total adjustments (lines 1 through 4). Enter
here and on line 8, page 1
EXPENSE ACCOUNT INFORMATION— If you had an expense
allowance or charged expenses to your employer, check here IZl and
see page 7 of instructions^
PART IV.-ITEMIZED DEDUCTIONS-Use only if you do
not use tax table or standard deduction.
Medical and dental expense. — Attach itemized list. Do not enter any
expense compensated by insurance or otherwise. NOTE: If you or your
wife are 65 or over, or if either has a dependent parent 65 or over, seo
page 8 of instructions (or possible larger deduction.
1. Enter excess, if any, of medicine and drugs
over 1 % of line 9, page 1
2. Other medical, dental expenses (include hos-
pital insurance premiums)
3. Total (add lines 1 and 2)
4. Enter 3% of line 9, page 1 (see note above)
5. Subtract line 4 from line 3; see page 8 of in-
structions for maximum limitation ....
Contributions. — If other than money, attach re-
quired statement — see instructions.
Total (see instructions for llmltotions) ■
Interest: Home mortgage.
Other (Specify)
Total Interest expense ■
Taxes — Real estate
State and local gasoline-
General soles
State and local Income-
Personal property
Total taxes ■
Other deductions (see page 9 of Instructions).
Total other deductions ■
TOTAL DEDUCTIONS ( For line 1 1 a, page 1 )■■
PART v.— CREDITS
1. Dividends received credit: Enter smallest of
(a) 2% of line 1 c. Part II, (b) fax shown on
line 1 2, page 1 , less foreign tax credit, or (c)
2% of taxable Income (see Instructions).
2. Retirement income credit (Schedule B) . .
3. Investment credit (Form 3468)
4a. Foreign tax credit (Form 1116)
b. Tax-free covenant bonds credit
5, Total credits (add lines 1 through 4b). Enter
here and on line 13, page 1
PRINTING OFFICE; 1SM-Q-72S-MI
150
FACSIMILES OF TAX RETURNS, 1964
SCHEDULE B
(Form 1040)
SUPPLEMENTAL SCHEDULE OF INCOME
AND RETIREMENT INCOME CREDIT
(From pensions and annuities, rents and royalties, partnerstiips, and estates or trusts)
Attach this schedule to your income tax return, Form 1040
1964
Name and address as shown on page 1 of Form 1040
Part 1.— PENSION AND ANNUITY INCOME
A. — General Rule (if you did not contribute to the cost of ttie pension or annuity, e
nter the total amount recei
ed on line 6 and omit lines 1 through 5.)
AMOUNT
4. Amount received this year •
2. Expecfed return
(Iine1 divided by line 2)
%
plied by line 3
6. Taxable portion
i
(excess of line 4 over line 5)
B.— Special Rule— Where your employer has contributeil part of the cost anil your own contribution will be recovered tax-tree within 3 years.
If your cost was fully recovered m prior years, enter the total amount received on line 5 and omit lines 1 througti i.
!
1 Cost of annuity (amounts you paid) . •
4. Amount received tfiis year . ■ • '
2. Cost received tax-free in post years . •
1
3. Remainder of cost (line 1 less line 2) .
5. Taxable portion (excess, if any, of line 4 over line 3) .
Part II.— RENT AND ROYALTY INCOME
i
1. Kind and location of properly
(Identify whether rent ot royalty)
2 Total amount of rents
or royalties
3. Depreciation (explain
in Part IV) or depletion
4. Repairs (attach
itemized list)
5. Other expenses
(attach Itemized list)
i
1
i
1 . Totals •
2. Net income (or loss) from rents and royalties (column 2 less sum of columns 3, 4, and 5)
PartllL-iNCOME OR LOSSES FROM PARTNERSHIPS AND ESTATES OR TRUSTS
1. Portnersfiips (name, address, and nature of income)-
2 Estates or trusts (name and address)
:
Total of Ports 1 II and III (Enter fiere and on linp 4 Pnrt II nnn^ 9 nf Fnrm in4n^
Part iV.— SCHEDULE FOR DEPRECIATION CLAIMED IN PART II ABOVE— This schedule is designed tor taxpayers usins the alternative guide-
lines and administrative procedures described In Revenue Procedure 62-21 as well as for those taxpayers who wish to continue using procedures authorized
prior to the revenue procedure. Where double headings appear use the first heading for the new procedure and the second heading for the older procedure.
1. Group and guideline class
2. Cost or other basis
at beginning of year
3. Asset additions
i„year(a™un.)
A. Asset retirements
in year (amount)
<re?5!'2i')°
5. Depreciation
allowed or allowable
in prior years
6. Method
of
computing
depreciation
7. Class life
- OR —
8. Depreciation for
Description of properly
Cost or other basis
Date acquired
this year
1 . Total additional first-year depreciation (do not include in it(
L 1 ,
.
Total cost or other basis
3. Cost or otiier basis of full^
,' depreciated asse
>ts Still in use. . .
1 1
^ Mim
FACSIMILES OF TAX RETURNS, 1964
Schedule B (Form 1040) 1964
Part v.— RETIREMENT INCOME CREDIT
A.— General Rule
l( separate return, use column B only. If joint return, use column A lor wile and column B for husband »
Did you receive earned income in excess of $600 in each of any 1 calendar years before 1964? (Widows
A
B
DYes DNo
DYes DNo
If answer above is "Yes" in either column, furnish all information below in that column.
1 . Retirement income for taxable year:
(a) For taxpayers under 65 years of age:
Enter only income received from pensions and annuities under public retirement
systems (e.g. Fed., Stale Govts., etc.) included in line 9, page 1, of Form 1040
(b) For taxpayers 65 years oF age or older:
Entertotalof pensions and annuities, interest, and dividends included in line 9, page
1 of Form 1040, and gross rents included in column 2, Part II of this sctiedule
2. Maximum amount of retirement income for credit computation
1,524 i 00
1,524:00
3. Deduct:
(a) Amounts received as pensions or annuities under ttie Social Security Act, tfie Rail-
road Retirement Acts, and certain other exclusions from gross income
(b) Earned income received (Does not apply to persons 72 years of age or over):
(2) Taxpayers 62 or over but under 72, enter amount determined as follows:
if $1 ,200 or less, enter zero i
if over $1 ,200 but not over $1 ,700, enter '/j of amount over $1 ,200; or i . .
if over $1 700 enter excess over $1 450 J
4. Total of lines 3(a) and 3(b)
5. Balance (line 2 minus line 4)
6. Line 5 or line 1 whichever is smaller
7. (a) Total (add amounts on line 6, columns A and B)
// line 7(a) is less than $2,286 and this is a joint return and both husband and wife are age 65 or over,
complete the Alternative Computation in B below which may result in a larger credit.
(b) Amount from line 7 of part B below, if applicable
8. Tentative credit. Enter 17% of line 7(a) or 17% of line 7(b), whichever is greater
LIMITATION ON RETIREMENT INCOME CREDIT
9. Amount of tax shown on line 12, page 1 of Form 1040
1 1 . Subtract line 10 from line 9
12. Credit. Enter here and on line 2, Part V, page 2, Form 1040, the amount on line 11 or line 8, whichever
is smaller
. — Alte rnativ e Computation (alter completing lines 1 through Ka) above)_
This mettiod |
You are married and tiling a joint return;
.,„.il..kl„ !«. I "• ^o**' husband and wife are GS or over, AND
availaDle it. ^ c. Eitlier one, or botli, received earned income in excess of $600 i
1 each of any 10 calendar years before 1964.
Furnish the Information called for below for both husband and wife even If only one answered "Yes" In column A or B above.
1 . Retirement income of both husband and wife from pensions and annuities, interest, and dividends included
in line 9, page 1, Form 1040, and gross rents included in column 2, Part II of this schedule
2. Maximum amount of retirement income for credit computation
3. Deduct:
(a) Amounts received as pensions or annuities under the Social
Security Act, the Railroad Retirement Acts, and certain other
exclusions from gross income
(b) Earned income received (Does not apply to persons 72 years
of age or over):
If $1 ,200 or less, enter zero 1
If over $1 ,200 but not over $1 ,700 enter Vl of amount over I
$1,200; or
If over $1,700, enter excess over $1,450 J
4. Total of lines 3(a) and 3(b)
5. Total (add amounts on line 4, columns A and B)
6. Balance (subtract line 5 from line 2)
7. Enter here and on line 7(b) of port A above, the amount on line 6 or line 1, whichever is smaller.
2,286
FACSIMILES OF TAX RETURxNS, 1964
A Special Message for Taxpayers:
Your 1964 forms and instructions have been revised
in accordance with the Revenue Act of 1964 which re-
duced tax rates and provided a minimum standard
deduction.
Many other changes have been made to conform to
the new legislation which provided:
Higher ceilings on charitable contributions and the
retirement income credit;
Benefits for persons 65 or over on medical expenses
and sales of their residences ;
Deductions for moving expenses;
Restrictions on the sick pay exclusion and the deduc-
tion for taxes paid;
An increase in the dividends exclusion and a decrease
in the dividends received credit ; and
An averaging system to moderate the effects of un-
usual increases in income.
During the past year, continued progress has been
made in installing our Automatic Data Processing sys-
tem, and some parts of the system are now operative in
all of the 50 States. This system is designed to give
you better service and more efficient and effective en-
forcement of the tax laws. Our aim is to make sure
that everyone pays his share — and no more — of the cost
of keeping America safe, prosperous, and healthy.
For your own protection and to promote fast, accurate
processing of your return, please watch these points —
Name and Address — If your return form is not pre-
addressed, be sure you enter your name and address
correctly.
Copy Your Social Security Number, exactly as it
appears on your account card. This number is im-
portant to rapid processing of your return and to iden-
tifying your tax affairs.
Be Sure To Fill Out Each Item on the form which
applies to you. Be accurate. Follow the instructions.
List all income such as wages, dividends, interest, etc.
Take all allowable deductions.
Attach Forms W-2 to your return. If not avail-
able, please explain.
Be Sure To Sign Your Return.
File Early — before the April 15 deadline.
These instructions cover the most common aspects of
the tax laws and regulations. If you have questions,
telephone or visit any Internal Revenue Office. We
will be glad to help you.
Instructions
forPreparing
Your
Federal
Income Tax
Return
Form 1040
for 19 64
'""^^^^
Commissioner of Internal Revenue
instructions form 1040 (1964)
FACSIMILES OF TAX RETURNS, 1964
Individuals have two return forms to
choose from. Form 104O and card form,
Form 1040A. Form 1040 is limited to
a single sheet. Supporting schedules
may be attached according to the indi-
\adual needs of each taxpayer.
Generally, if your income was en-
tirely from salary, wages, interest, divi-
dends, and sources other than those for
which schedules (B, C, D, and F) are
HOW TO USE FORM 1040
(To be filed not later than April 15)
required as prescribed below, you will
need only Form 1040. You can use it
whether you take the standard deduc-
tion or itemize deductions.
If you have income from sources listed
below, complete and attach one or more
of the following forms:
Schedule B for income from pensions,
annuities, rents, royalties, partner-
ships, estates, trusts, etc.;
person-
Schedule C for income from :
ally owned business;
Schedule D for income from the sale
or e.\change of property; and
Schedule F for income from farming.
These schedules as well as other sup-
porting schedules described in these in-
structions may be obtained from any
Internal Revenue Service office.
WAGE EARNERS WITH LESS THAN $10,000 INCOME
You can use a simpler return (Form
1040A), printed on a punch card, if:
1 . Your income was less than $ 1 0,000,
AND
2. It consisted of wages leported on
withholding statements (Forms W-2)
and not more than $200 total of other
wages, interest, and dividends, AND
3. Instead of itemizing deductions,
you wish to use the ta.x table or to take
the standard deduction which is gen-
erally the higher of:
(a) the 10- percent standard deduc-
tion — about 10 percent of your
income, or
(b) the minimum standard deduc-
tion — an amount equal to $200
($100 if married and filing sepa-
rate return) plus $100 for each
exemption claimed on item 15 on
the back of your Form 1040 A.
The instructions for Form 1D40A pro-
vide further information about its use.
One of the special features is that if
your income is less than $5,000, you can
choose to have the Internal Revenue
Service figure your tax for you. You
can obtain these forms from most banks
and some post offices.
LOCATIONS OF DISTRICT DIRECTORS' OFFICES
Following
it
a llil ol
>h. Dl.trh
cl Dlreclort'
ra Ihon Ol
ie DItlrict
Dlretlor-.
your Stole <
ind
which one
local pott offli
ALABAMA— Birmingham, Ala., 35203,
ALASKA— Anchorage, Alatka, 99501.
ARIZONA— Phoenix, Aril., 85025.
ARKANSAS — little Rock, Ark., 72203.
CALIFORNIA— Loi Angelei, Calif.,
900) 2i San fron-
102.
COLORADO— Denver, Colo., 80202.
CONNECTICUT— Hartford, Conn., 06115.
DELAWARE— Wilmington, Del., 19801.
DISTRICT OF COLUMBIA— Baltimore, Md., 2120J.
FLORIDA— Jacksonville, Fla., 32202.
GEORGIA— Allonta, Go., 3C303.
HAWAII— Honolulu, Hawoii, 96813.
IDAHO— Boise, Idaho, 83701.
ILLINOIS — Chicago, III., 60602; SprlngAetd, III., 62704.
INDIANA— Indianapolis, Ind., 46204.
IOWA— Des Moines, Iowa, 50309.
KANSAS— Wichita, Kans., 67202.
KENTUCKY— Louisville, Ky., 40202.
LOUISIANA — New Orleans, La., 70130.
MAINE— Augusta, Maine, 04330.
WHO MUST FILE A TAX RETURN
Every citizen or resident of the United
States — whether an adult or minor —
who had $600 or more income in 1964
must file; if 65 or over, $1,200 or more.
A person with income of less than
these amounts should file a return to get
a refund if tax was withheld. Generally,
a married person with income less than
her (his) own personal exemption will get
the smaller tax or larger refund by filing
a joint return with husband or wife.
c«9— 16— 78044-1
MARYLAND — Bollimore, Md., 21202.
MASSACHUSETTS — Boston, Moss., 02115.
MICHIGAN — Detroit, Mich., 4e226.
MINNESOTA— St. Paul, Minn., 55101.
MISSISSIPPI— Jackson, Miss., 39202.
MISSOURI— St. Louis, Mo., 63101.
MONTANA — Helena, Mont., 59601.
NEBRASKA— Omaha, Nebr., 68102.
NEVADA — Rono, Nev., 89505.
NEW HAMPSHIRE— Portsmouth, N.H., 03801.
NEW JERSEY — Newark, N.J., 07102.
NEW MEXICO— Albuquerque, N. Mex., 87101.
NEW YORK— Brooklyn, NY., 11201; 120 Church Street,
New York, NY., 10007,- Albany, N.Y., 12210; Buf-
falo, NY., 14202.
NORTH CAROLINA — Greensboro, N.C., 27401.
NORTH DAKOTA, Forgo, N. Dak., 58102.
OHIO — Cleveland, Ohio, 44113; Cincinnati, Ohio, 45202.
OKLAHOMA— Oklahoma City, Okla., 73102.
OREGOr^ — Porllond, Oreg., 97232.
PANAMA CANAL ZONE— Director of International Op-
erations, internal Revenue Service, Woshington, D.C.,
20225.
PENNSYLVANIA— Philodelphia, Pa., 19108;
GENERAL INSTRUCTIONS
Earned Income From Sources Outside the
United States. — To determine whether
an income tax return 'must be filed, in-
come must be computed without regard
to the exclusion provided for income
earned from sources outside the United
States. If you received such income and
-believe it is excludable for income tax
purposes, attach Form 2555 to your
return.
Social Security Numbers. — Be sure to
enter your number in the space pro-
PUERTO Rico— Director
Internal Revenue Service, 1105 Fernandez Juncos
Avenue, Santurce, PR., 00907.
RHODE ISLAND — Providence, R.I., 02907.
SOUTH CAROLINA— Columbia, S.C, 29201.
SOUTH DAKOTA— Aberdeen, S. Dok., 57401.
TENNESSEE — Nashville, Tenr., 37203.
TEXAS— Austin, Tex., 78701; Dallas, Tex., 75201.
UTAH— Solt Lake City, Utah, 84110.
VERMONT— Burlington, VI., 05401.
VIRGINIA— Richmond, Va., 23240.
VIRGIN ISLANDS — Permanent residents: Department of
Finance, Tax Department, Charlotte Amolie, St.
Thomas, V.I., 00801; Others: Director , '
Operotions, Internal Revenue Service,
Juncos Avenue, Santurce, P.R., 00907,
WASHINGTON — Tocoma, Wash., 98402.
WEST VIRGINIA— Parkersburg, W. Va., 26102.
WISCONSIN— Milwaukee, Wis., 53202.
WYOMING— Cheyenne, Wyo., 82001.
FOREIGN ADDRESSES — Toxpoyers with legal residence
in Foreign Countries — Director of Internotional Oper-
tions. Internal Revenue Service, Washington, D.C.,
20225.
vided, exactly as shown on your card.
If you need a number, file application
Form SS-5 with the local office of the
Social Security Administration. File
the application early to make certain
you receive your card before April 15,
the deadline for filing your return. If
you file an application but do not receive
your card by that date — file your return
and enter "Applied for" in the space
provided for the number.
154
FACSIMILES OF TAX RETURNS, 1964
GENERAL INSTRUCTIONS— Continued
MEMBERS OF ARMED FORCES
A member of the Armed Forces
should give his name, social security
number, permanent home address and
serial number.
WHEN AND WHERE TO FILE
Please file as early as possible. You
must file not later than April 15. Mail
your return to the "District Director of
Internal Revenue" for the district in
which you live (see page 2). U.S. citi-
zens abroad who have no legal residence
or place of business in the United States
should file with Director of Interna-
tional Operations, Internal Revenue
Service, Washington, D.C., 20225.
WHERE TO GET FORMS
As far as practical, the forms are
mailed directly to taxpayers. Additional
forms may be obtained from any Inter-
nal Revenue Service office, and also at
most banks and some post offices.
on the form schedules are not sufficient
for your needs. The attachment must
contain all required information, follow
"TJT ^° , . , , , the format of the official schedules and
The balance of tax shown to be due ^^^^^ bg attached to the return in the
on line 18, page 1, of your return on ^^me sequence as the schedules appear
Form 1040 must be paid m full with „„ the official forms. If an attachment
your return if it amounts to $1.00 or i^ u^gd in place of a schedule having a
summary line on page 1 or 2 of Form
1040, the total must be entered on the
summary line on page 1 or 2, but need
not be entered on the official schedule.
more. Make checks or money orders
payable to "Internal Revenue Service."
ROUNDING OFF TO WHOLE DOLLARS
The money items on your return and
schedules may be shown in whole dol-
lars. This means that you eliminate any
amount less than 50 cents, and increase
any amount from 50 cents through 99
cents to the next higher dollar.
ATTACHMENTS TO THE RETURN
Attachments may be used if the lines
The above does not apply to Sched-
ules C-3 and F-1 (self-employment
tax) which the Service separates from
the returns and transmits to the Social
Security Administration for the record-
ing of information in benefit accounts,
or to any tax computation portion of a
form or schedule.
MARRIED PERSONS— JOINT OR SEPARATE RETURNS
Advantages of a Joint Return.— Gener-
ally it is advantageous for a married
couple to file a joint return. There are turn. Check the box "married filing
separately," line Ic, page 1 of the return
and give the first name and social secu-
rity number of your husband or wife in
the space provided. When filing sepa-
rate returns, the husband and wife
should each claim the allowable deduc-
tions paid with his or her own funds.
benefits in figuring the tax on a joint re-
turn, which often result in a lower tax
than would result from separate returns.
How To Prepare a Joint Return.— You
must include all income, exemptions and
deductions of both husband and wife.
In the return heading, list both names
including middle initials (for example:
"John F. and Mary L. Doe"). Both
must sign the return.
A husband and wife may file a joint
return even though one of them had no
income. A joint return may not be filed
if either husband or wife was a nonresi-
dent alien at any time during the tax-
able year.
When a joint return is filed, the cou-
ple assumes full legal responsibility for
the entire tax, and if one fails to pay,
the other must pay it.
the name of the filer should be entered your wife or husband check the boxes
in the name and address area of the re- provided in line 2, page 1.
Clianges in Marital Status.— If you are
married at the end of your taxable year,
you are considered married for the en-
tire year. If you are divorced or legally
separated on or before the end of your
taxable year, you are considered single
for the entire year.
(In community property States, deduc-
tions resulting from payments made out
of funds belonging jointly to husband
and wife may be divided half and half.)
If one itemizes and claims actual deduc-
tions then both must do so. If one uses
the 10 percent standard deduction (in-
stead of the minimum standard deduc-
tion—line Ua (2), page 1, Form 1040),
then the other may not use the mini-
mum standard deduction.
A separate return may also be filed
where only the husband or wife had in-
If your wife or husband died during
the year, you are considered married for
the entire year. Generally a joint return
may be filed for the year provided you
have not remarried before the end of the
year. If an executor or administrator
has been appointed, the return should be
filed by both you and the executor or
administrator. If no executor or ad-
ministrator has been appointed, you may
file the return. Indicate you are filing
as a surviving husband or wife in the
signature area of the return. If a re-
fund is due, attach Form 1310, State-
come. Enter only the name of the one
How To Prepare a Separate Return. — Sep- having income in the name and address ment of Claimant to Refund Due on
arate returns may be filed by husband area. Check the box "married filing Behalf of Deceased Taxpayer. You
and wife where each has income of his separately," line Ic, page 1 of the re- may also be entitled to the benefits of
own. In such case each should report turn and do not enter your wife's (hus- a joint return for the two years follow-
his or her own income, exemptions and band's) first name or social security ing the death of your husband or wife,
deductions in separate returns. Only number. To claim the exemption for See "Widows and Widowers," below.
Unmarried Head of Household.— The law
provides special tax rates for any indi-
vidual who qualifies as a "Head of
Household." Only the following per-
sons may qualify: ( i) one who is un-
married (or legally separated) at the
end of the taxable year, or (b) one who
is married at the end of the year to an
individual who was a nonresident alien
at any time during the taxable year. In
addition, you must have furnished over
half of the cost of maintaining as your
home a household which during the en-
<l«9— 16— 78044-1
SPECIAL COMPUTATIONS
tire year, except for temporary absence,
was occupied as the principal place of
abode and as a member of such house-
hold by (1) any related person other
than your unmarried child or stepchild
(see list under "Line 3," paragraph 5 on
page 4 of these instructions) for whom
you are entitled to a deduction for an
exemption, unless the deduction arises
from a multiple support agreement, or
(2) your unmarried child, grandchild,
or stepchild, even though such child is
not a dependent.
The home you maintain for your
father and mother need not be your
residence.
See head of household rates on page
10.
Widows and Widowers.— Under certain
conditions a taxpayer whose husband
(or wife) has died during either of her
two preceding taxable years may com-
pute her tax by including only her in-
come, exemptions, and deductions, but
otherwise computing the tax as if a joint
FACSIMILES OF TAX RETURNS, 1964
155
GENERAL INSTRUCTIONS— Continued
return had been filed. However, the (a) must not have remarried, (b) must entitled to a deduction for an exemp-
exemption for the decedent may be maintain as her home a household tion, and (c) must have been entitled to
claimed only for the year of death. which is the principal place of abode of file a joint return with her husband (or
The conditions are that the taxpayer her child or stepchild for whom she is wife) for the year of death.
HOW TO REPORT YOUR INCOME
All income in whatever form received which is not specifically exempt must be included in
your income tax return, even though it may be ofTset by deductions. Examples are given below:
Examples of Income Which Musf Be Reported
Profits from sales or exchanges of real estate, Employer supplemental unemployment bene-
securities, or other property. fits.
Industrial, civil service and other pensions.
annuities, endowments.
Rents and royalties from property, patents,
copyrights.
Your share of estate or trust income.
Examples of Income Which Should Not Be Reported
Disability retirement payments and other ben- Workmen's compensation, insurance, dam- Railroad Retirement Act benefits
efits paid by the Veterans Administration. ages, etc., for injury or sickness. Gifts, inheritances, bequests.
Dividends on veterans' insurance. Interest on State and municipal bonds.
Life insurance proceeds upon death. Federal and State social security benefits.
Wages, salaries, bonuses, commissions, fees.
tips, and gratuities.
Dividends.
Interest on bank deposits, bonds, notes.
Interest on U.S. Savings bonds.
Profits from business or profession.
Your share of partnership profits.
Alimony, separate maintenance or support
pa^Tnents received from (and deductible
by) your husband (or wife).
Prizes and awards (such as items received
from radio and TV shows, contests, raffles,
etc.).
INSTRUCTIONS FOR PAGE 1 OF FORM 1040
Exemptions ($600 for Each Allowable Ex-
emption)
Line 2— YOU AND WIFE
For You. — You, as the taxpayer, are
always entitled to at least one exemp-
tion. If, at the end of your taxable year,
you were either blind or 65 or over, you
get two exemptions. If you were both
blind and 65 or over, you get three ex-
emptions. Be sure to check the appro-
priate boxes. Age and blindness are de-
termined as of December 31, 1964.
Your age is determined on the day be-
fore your actual birthday and, thus, if
your 65th birthday was on January 1,
1965, you get the additional exemption
for age on your return for 1964.
For Your Wife. — An exemption is al-
lowed for your wife (or husband) if you
and she are filing a joint return. If you
file a separate return, you may claim her
exemptions only if she had no income
and did not receive more than half her
support from another taxpayer. You
are not entitled to an exemption for your
wife on your return if she files a separate
return for any reason (for example, to
obtain a refund of tax withheld where
her income is less than $600 ) . Other-
wise, your wife's exemptions are like
your own — one, if she was neither blind
nor 65 or over; two, if she was either
blind or 65 or over; three, if she was both
blind and 65 or over.
In Case of Death. — If your wife or
husband died during 1964, the number
of her or his exemptions is determined
as of the date of death.
Proof of Blindness.— If totally blind,
a statement to that effect must be at-
tached to the return. If partially blind,
attach a statement from a qualified phy-
sician or a registered optometrist that
( 1 ) central visual acuity did not exceed
20/200 in the better eye with correcting
lenses, or (2) that the widest diameter
of the visual field subtends an angle no
greater than 20°.
Line 3— CHILDREN. OTHER DEPENDENTS
Enter on line 3a the total number of
your children who lived with you during
1964.
Enter on line 3b the total number of
dependents from line 3, Part I, page 2 of
your return.
Each child, stepchild and other de-
pendent claimed must meet all of the
following tests:
1. Income.— Received less than $600
income ( if the child was under 1 9 or was
a student, this limitation does not ap-
ply), and
2. Support. — Received more than half
of his or her suppiort from you (or from
husband or wife if a joint return is filed) ,
(see definition below of support), and
3. Married Dependents. — Did not file a
joint return with her husband (or his
wife), and
4. Nationality. — Was either a citizen or
resident of the United States or a resi-
dent of Canada, Mexico, the Republic
of Panama or the Canal Zone ; or was an
alien child adopted by and living with a
United States citizen abroad, and
5. Relationship. — Either (1) for your
entire taxable year had your home as
his principal place of abode and was a
member of your household ; or ( 2 ) was
related to you (or to husband or wife if
a joint return is filed) in one of the fol-
lowing ways :
Child* Stepbrother Son-in-law
Stepchild Stepsister Daughter-in-law
Mother Stepmother The following if
Father Stepfather related by blood:
Grand- Mother-in-law Uncle
parent Father-in-law Aunt
Brother Brother-in-law Nephew
Sister Sister-in-law Niece
Grandchild
•Includes a child who is a member of your
household if placed with you by an author-
ized placement agency for legal adoption.
Definition of Support. — Support in-
cludes food, shelter, clothing, medical
and dental care, education, and the like.
Generally, the amount of an item of sup-
port will be the amount of expense in-
curred by the one furnishing such item.
If the item of support furnished by an
individual is in the form of property or
lodging, it will be necessary to measure
the amount of such item of support in
terms of its fair market value. In com-
puting the amount of support include
amounts contributed by the dependent
for his own support and also amounts
ordinarily excludable from income (for
example, social security benefits) .
In figuring whether you provide more
than half of the support of your child
who is a student, you may disregard
amounts received by him as scholar-
ships.
Definition of Student. — The law de-
fines a student as an individual who,
during each of 5 calendar months during
the year, is {a) a full-time student at an
educational institution or (b) pursuing
a full-time course of institutional on-
farm training under the supervision of
an accredited agent of an educational
institution or of a State, or a political
subdivision of a State.
Children Under 19 and Students.— If your
dependent child has income of $600 or
over and is under 19, or is a student, he
must file an income tax return, report
the income, and claim his exemption.
If you provide over half of your child's
support and meet the other qualifica-
tions for claiming a dependent, you may
also claim the exemption on your return.
Birth or Death of Dependent. — You can
claim a full $600 exemption for a de-
pendent who was born or died during
the year if the tests for claiming an ex-
emption for such dependent are met for
the part of the year during which he was
alive.
156
FACSIMILES OF TAX RETURNS, 1964
INSTRUCTIONS FOR PAGE 1 OF FORM 1040— Continued
Support by More Than One Taxpayer. — that he will not claim the individual as
If several persons contributed toward a dependent for the year. The decla-
the support of an individual during the rations must be filed with the return of
taxable year, but none contributed over
half of the support, they may designate
one of their number to claim the exemp-
tion if :
(a) They as a group have provided
over half of the support of the individ-
ual ; and
(b) Each of them, had he contrib-
uted over half of the support, would
have been entitled to claim the individ-
ual as a dependent ; and
(c) The person claiming the exemp-
tion for the individual contributed over
10 percent of the support; and
(d) Each other person in the group
who contributed over 10 percent of the
individual's support makes a declaration
the person claiming the exemption.
Form 2120, Multiple Support Declara-
tion, is available at any Internal Reve-
nue Service office.
Line 5— WAGES. SALARIES. TIPS. ETC.
Report the full amount of your wages,
salaries, fees, commissions, tips, bonuses,
and other payments for your personal
services even though taxes and other
amounts have been withheld by your
employer. See page 7 for treatment of
reimbursed employee business expenses.
If your employer furnishes you a state-
ment showing that a portion of the cost
of group term life insurance is taxable to
you, include the taxable amount with
other payments reported on this line.
All income regardless of where earned
must be reported on one Federal tax
return.
Payment in Merchandise, etc. — If you are
paid in whole or in part in merchandise,
services, stock, or other things of value,
determine the fair market value of such
items and include it in your wages.
Meals and Living Quarters. — Employees
who, as a matter of choice, receive meals
and lodging from their employers,
whether or not designated wages, must
include the fair market value in income.
However, if, for the convenience of
your employer, your meals are furnished
at your place of employment or you are
required to accept lodging at your place
of employment as a condition of your
employment, the value of the meals or
lodging is not to be reported.
TAX— CREDITS— PAYMENTS^BALANCE DUE OR REFUND
FIGURING YOUR TAX Credit for Taxes Paid by Regulated Invest-
Line 10.— The Tax Tables are pro- ment Companies.— If you are entitled to a
vided by law and save you the trouble credit for taxes paid by a regulated in.
of itemizing deductions and computing
your tax. The tables allow $600 for
each exemption claimed on your return
and also provide for the standard
deduction.
Line 11. — The tax rate schedules on
page 10 are to be used to figure your tax.
Be sure to use the right schedule. See
pages 3 and 4 for special computations.
vestment company on undistributed cap-
ital gains, include the credit on this line
and write "Reg. Inv." to left of the
entry. To substantiate the credit
claimed attach Copy B of Form 2439.
Line 17c. — If the total amount shown
on this line is substantially less than the
amount of tax shown on line 14, you
return. If you file a joint return the
bonds will be issued only to husband and
wife as co-owners.
Declarations of Estimated Tax. — For many
taxpayers the withholding tax on wages
is not sufficient to keep them paid up on
their income tax. In general, the law
requires every citizen or resident of the
United States to file a Declaration of
Estimated Income Tax, Form 1040-ES,
and to make quarterly payments in
may be liable for die additional charge ^^^^^ ^^ filing the annual income tax re
Line 12.— Tax.— If your income has miposed by lawjor underpayment of ...„ :r u.-. ...., ..j ._ j„ u:
increased substantially this year, it may
be to your advantage to figure your tax
under the "averaging method." Ob-
tain Schedule "G" from any Internal
Revenue Service office for full details.
Line 14. — Income Tax. — Include any
tax from Recomputing Prior Year In-
vestment Credit due to early disposition
of such property. Also show the amount
separately and write "Inv. Cr." to left of
the entry. Attach computation.
Line 17a. — Payments. — Include any
amounts from the following sources on
this line.
estimated tax. This charge is manda-
tory unless the taxpayer qualifies for re-
lief under one of the specific exceptions
provided by law. Details of this addi-
tional charge, and exceptions to it are
printed on Form 1040-ES and Form
2210. If you believe one of the excep-
tions applies, attach a stateme;it or Form
2210 to your return. See paragraph
below, headed "Declarations of Esti-
mated Tax" for filing requirements.
Lines 18 and 19.— Tax Due or Refund
Under $1. — In order to facilitate the
processing of collections and refunds,
balances due of less than $1 need not be
Income Tax Withheld. — As reflected on paid, and overpayments of less than $1
the Forms W-2 which you received from
your employers.
Two or More Employers. — If more than
$174 of Social Security (F.I.C.A.) em-
ployees tax was withheld during 1964
because either you or your wife received
wages from more than one employer,
the excess should be claimed as a credit
against income tax. Include any excess
of Social Security tax withheld over
$174. Also show the amount sepa-
rately and write "F.I.C.A." to left of
will be refunded only upon separate
application to your District Director.
Line 21. — Purchase of U.S. Savings
Bonds. — If you are entitled to a refund,
you may apply it to the purchase of Se-
ries E United States Savings Bonds by
checking the first box on line 21, page 1.
You will be issued as many bonds as your
refund will buy providing it does not
leave a balance of less than $1 to be paid
by check. The excess will automatically
be refunded to you. If you make this
the entry. If a joint return, do not add election, do not check the second box on
the Social Security tax withheld from line 21. For example, if your refund is
both husband and wife to figure the $40 you will receive a $50 face value
excess over $174; compute the credit bond and a check for $2.50. Bonds will
separately. be issued in the name used in filing your
turn if his total expected tax exceeds his
withholding (if any) by $40 or more,
and he:
(a) can reasonably expect gross in-
come exceeding —
(1) $10,000 for a head of a household
or a widow or widower entitled to the
special tax rate;
(2) $5,000 for other single individ-
uals;
(3) $5,000 for a married individual
not entitled to file a joint declaration;
(4) $5,000 for a married individual
entitled to file a joint declaration, and
the combined income of both husband
and wife can reasonably be expected to
exceed $10,000; OR
( b ) can reasonably expect to receive
more than $200 from sources other than
wages subject to withholding.
Farmers and fishermen may postpone
filing their 1965 declarations until Jan-
uary 15, 1966.
Additional Charge for Underpayment of Esti-
mated Tax. — Estimate your tax carefully.
Avoid the difficulties of paying a large
balance with your return ; also the pros-
pect of your being liable for the addi-
tional charge imposed by law for under-
payment of estimated tax when filing
your 1965 income tax return. See
instructions for line I7c above.
FACSIMILES OF TAX RETURNS, 1964
157
INSTRUCTIONS FOR PAGE 2 OF FORM 1040
Part II
Line 1— DIVIDENDS
If you own stock, the payments you
receive out of tlie company's earnings
and profits are dividends and must be
reported in your tax return. Usually
dividends are paid in cash, but if paid in
merchandise or other property, they are
taxable at their fair market value.
Enter as item A, above line 1, the
gross amoimt of dividends and other
distributions received by you as a share-
holder, either directly or through a
nominee or other intermediary.
Enter as item B, above line 1, the
total of any capital gain dividends and
nonta-xable distributions included in
item A.
Some payers, especially mutual funds
and investjnent club partnerships, dis-
tribute both an ordinary dividend and
a capital gain at the same time; the
check or notice will usually show them
separately. You must report the divi-
dend income portion on this line, and
the capital gain portion on line 7, Part
I of Schedule D (Form 1040).
There are special rules applicable to
stock dividends, partial liquidations,
stock rights, and redemptions; call your
Internal Revenue Service office for more
complete information.
You may exclude from your income
$100 of dividends received from quali-
fying domestic corporations.
If a joint return is filed and both hus-
band and wife have dividend income,
each one may exclude $100 of dividends
received from qualifying corporations,
but one may not use any portion of the
$100 exclusion not used by the other.
For example, if the husband had $300
in dividends, and the wife had $20, only
$120 may be excluded on a joint return.
Use this hne to list your dividends
including dividends you receive as a
member of a partnership or as a bene-
ficiary of a estate or trust, and to show
the amount of the exclusion to which
you are entitled. If you receive divi-
dends through a nominee or other inter-
mediary, list the name of such person.
Dividends from mutual insurance com-
panies which are a reduction of pre-
miums are not to be included. So-
called "dividends" paid on deposits or
withdrawable accounts by the following
corporations are considered interest and
should be reported as interest in line
3; mutual savings banks, cooperative
banks, savings and loan associations and
credit unions.
Taxable dividends from the following
corporations, which do not qualify for
the dividends received exclusion and the
dividends received credit should be re-
ported on line Id:
(a) foreign corporations, including
your share from a controlled foreign cor-
poration.
(b) so-called exempt organizations
(charitable, fraternal, etc.) and exempt
farmers' cooperative organizations.
(c) regulated investment companies
except to the extent designated by the
company to be taken into account as a
dividend for these purposes.
(d) real estate investment trusts.
(e) China Trade Act corporations.
(f ) corporations deriving 80 percent
or more of their income from U.S. pos-
sessions and 50 percent or more of their
income from the active conduct of a
business therein.
Line 3— INTEREST
You must include in your return any
interest you received or which was
credited to your account (whether en-
tered in your passbook or not) and can
be withdrawn by you. Interest on bonds,
debentures, notes, savings accounts, or
loans is taxable, except on State and
municipal bonds and securities.
If you own United States Savings or
War bonds, the gradual increase in value
of each bond is considered interest, but
you need not report this interest until
you cash the bond or until the year of
final maturity, whichever is earlier.
However you may at any time elect to
report each year the annual increase in
value, but if you do so you must report in
the first year the entire increase to date
on all such bonds and must continue
to report the annual increase each year.
Line 8— OTHER SOURCES
If you cannot find any specific place
on your return (or related schedules) to
list certain types of income, report it
here. Income reported on this line must
be identified as to its source. Report
here amounts received as alimony, sep-
arate maintenance, prizes and awards.
Recoveries of bad debts and other items
which reduced your tax in a prior year
should also be reported here. A refund
of State income tax should be entered
here. The general rule is that a refund
of State income tax is income to the
taxpayer if a deduction was taken in a
prior year which resulted in a Federal
tax benefit. Taxpayers using the cash
basis report the refund in the year re-
ceived; taxpayers using the accrual
basis report when the claim is allowed
(if no claim is filed, report when the
taxing authority notifies you of the
overpayment).
Net Operating Loss.— If, in 1964, your
business or profession lost money instead
of making a profit, if you had a casualty
loss, or a loss from the sale or other
disposition of depreciable property (or
real property) used in your trade or
business, you can apply the losses against
your 1964 income. If the losses exceed
your income, the excess is a "net operat-
ing loss" which generally may be used to
offset your income for the 3 years prior
to and the 5 years following this year.
The loss must be carried back to the
third prior year and any remaining bal-
ance brought forward to each succeeding
year. If a "carryback" entides yoii to a
refund of prior year taxes, ask the Dis-
trict Director for Form 1045 to claim a
quick refund.
If you had a loss in a prior year which
may be carried over to 1964, it should be
reported on this line. Attach a state-
ment showing the computation.
Part III
Line 1— SICK PAY EXCLUSION
You may exclude from income
amounts received under a wage continu-
ation plan for the period during which
you were absent from work on account
of personal injuries or sickness. If both
you and your employer contribute to the
plan, any benefits attributable to your
own contributions are excludable with-
out limit, but there are certain limita-
tions on the exclusion of the benefits
attributable to your employer's contri-
butions.
To figure your sick pay exclusion you
must first determine whether your "sick
pay" was over 75 percent of your regu-
lar weekly rate of pay.
( / ) Over 75 percent —
If you received over 75 percent of
your weekly rate of wages for periods
of absence from work because of illness
or injury, there is now a 30-calendar day
waiting period before you qualify for the
exclusion. The waiting period applies
even though you were injured or hos-
pitalized. The amount to be excluded
thereafter is limited to a rate not to ex-
ceed $100 a week.
(2) 75 percent or less —
If you received 75 percent or less of
your weekly rate of wages, the waiting
period is 7 calendar days, and the exclu-
sion is limited to a rate not to exceed
$75 a week. There is no exclusion for
the waiting period regardless of whether
you were sick or injured, unless you were
hospitalized at least 1 day during the
period of absence. After 30 calendar
days the weekly rate of exclusion is in-
creased to an amount not to exceed $100.
Where the exclusion is limited to a
weekly rate of $100 and the payments
exceed this rate the exclusion is figured
by multiplying the amount received by
100 and dividing the result by the weekly
rate of payment.
Where the exclusion is limited to a
weekly rate of $75 and the payments
exceed this rate the exclusion is figured
158
FACSIMILES OF TAX RETURNS, 1964
INSTRUCTIONS FOR PAGE 2 OF FORM 1040— Continued
by multiplying the amount received by
75 and dividing the result by the weekly
rate of payment.
See Form 2440 for additional infor-
mation. Attach this fonn or a statement
showing your computation, and indicat-
ing the period or periods of absence,
regular weekly rate of pay, and whether
hospitalized.
The exclusion for periods of absence
which began before 1964 should be
computed under the 1963 rules.
Line 2— MOVING EXPENSES
Except as noted below, employees, in-
cluding new employees, can deduct un-
reimbursed moving expenses ( transpor-
tation of household goods and members
of the household, and meals and lodg-
ing while in transit). The deduction
is allowed only if (a) the change in
job location would have required at
least 20 additional miles travel if the
taxpayer had not moved to a new
residence, or, (b) he had no former
principal place of work, his new place
of work is at least 20 miles from his
former residence, and (c) during the
12-month period immediately follow-
ing his arrival in the general location of
his new principal place of work, the
taxpayer is a full-time employee, in
such general location, during at least
39 weeks.
See Form 3903 for full details. At-
tach the form or a statement which
includes the amount of your reimburse-
ment and the amount of the expenses.
Enter any excess reimbursement on line
8, Part II, page 2 of your return and
enter any excess expenses on line 2,
Part III, page 2 of your return. If the
employer for whom you were already
working paid your moving expenses to
a new location and the reimbursement
equaled the expenses, you should not re-
port the reimbursement or the expenses.
Line 3— EMPLOYEE BUSINESS EXPENSES
AND EMPLOYER PAYMENTS
Deductible Expenses and Excess Pay-
ments. — You may deduct the expenses
shown below to the extent they are not
paid by your employer. If employer
payments exceed the expenses, the ex-
cess must be reported as income on your
return.
( 1 ) Travel and transportation. — Bus,
taxi, plane, train, etc., fares or the cost of
operating an automobile in connection
with your duties as an employee.
(2) Meals and lodging. — If you are
temporarily away on business, at least
overnight from the city, town, or other
general area which constitutes your prin-
cipal or regular business location.
(3) Outside salesmen. — If you are an
"outside salesman," you may generally
deduct other expenses which are ordi-
nary and necessai7 in performing your
duties, such as selling expenses, station-
ery, and postage. An "outside salesman"
is one who is engaged in full-time solici-
tation of business for his employer away
from the employer's place of business.
It does not include a person whose prin-
cipal activities consist of service and
delivery as, for example, a milk driver-
salesman.
(4) Other business expenses. — If you
itemize deductions in Part IV, page 2 of
your return, you may also deduct (under
the heading "Other Deductions") busi-
ness expenses other than those described
above. Examples of such expenses are
professional and union dues, and the cost
of tools, materials, etc., not paid for by
your employer.
Additional Information. — If you claim a
deduction for these employee business
expenses you must submit the following
information with your return. You may
use Form 2106 for this purpose.
( 1 ) The total of all amounts received
from or charged to your employer for
business expenses,
( 2 ) The amount of your business ex-
penses broken down into broad cate-
gories, and
(3) The number of days away from
home on business.
If you do not claim a deduction, you
must attach the information unless you
were required to and did make an ade-
quate accounting for your expenses to
your employer. You have made the
equivalent of an adequate accounting,
if you received an allowance not in ex-
cess of $25 per diem in lieu of sub-
sistence, or a mileage allowance not in
excess of 15 cents per mile, and estab-
lished time, place, and business purpose
of the travel.
If you operate your own automobile
for business purposes, you may figure
the cost of operating your automobile
at a standard mileage rate of 10 cents
per mile for the first 15,000 miles of
business use and 7 cents per mile for
such use in excess of 15,000 miles rather
than deducting the actual expenses.
Use of this method is optional on a yearly
basis. Actual expenses include gasoline,
oil, repairs, hcense tags, insurance and
depreciation.
This simplified method cannot be
used if:
(a) depreciation has been claimed
using a method other than straight line
(or where additional first year depre-
ciation has been claimed), or
(b) you are clabning a deduction in
excess of reimbui-sements received from
your employer for automobile expenses.
Whether or not you are required to
submit the additional information de-
scribed above, check the box for expense
accounts on page 2 of Form 1040.
Reporting Deductions and Excess Pay-
ments. — The expenses and payments
are to be reported as follows:
( 1 ) If the employer payments exceed
the expenses, report the excess on line 8,
Part II, page 2;
(2) If the expenses exceed the pay-
ments, the excess expenses for travel and
transportation, meals and lodging, and
"Outside Salesman," may be deducted
on line 3, Part III, page 2. If you
itemize deductions the unreimbursed
fHDrtion of Other business expenses may
be deducted in Part IV, page 2, under
Other deductions; or
(3) If the expenses equaled the pay-
ments, no further entry is required on
the form.
Part IV— ITEMIZED DEDUCTIONS— If you do not use Tax Table or Standard Deduction
MEDICAL AND DENTAL EXPENSES
If you itemize deductions, you can de-
duct, within the limits described below,
the amounts you paid during the year
(not compensated by hospital, health or
accident insurance) for medical or deduct only the nui-sing cost
dental expenses for yourself, your wife. You can deduct amounts paid for
or any dependent who received over half transportation primarily for and essen-
of his support from you whether or not tial to medical care, but not for any
the dependent had $600 or more income, other travel expense even if it benefits
List on the attachment the name and your health. Meals and lodging while
amount paid to each person or institu- you are away from home receiving med-
You can deduct amounts paid for the medical expense unless they are part of
prevention, cure, correction, or treat- a hospital bill or are included in the cost
ment of a physical or mental defect or of care in a similar institution,
illness. If you pay someone for both Subject to the Limitations Set Forth Below,
nursing and domestic duties, you can ^o« CAN Deduct as Medical Expenses
Payments To or For:
Physicians, dentists, nurses, and hospitals
Drugs or medicines
Transportation necessary to get medical care
Eyeglasses, artificial teeth, medical or surgical
appliances, braces, etc.
X-ray examinations or treatment
Premiums on hospital or medical insurance
You CANNOT Deduct Payments For:
tion.
ical treatment may not be treated as Funeral expenses and cemetery plot
069— le— 78044-1
FACSIMILES OF TAX RETURNS, 1964
159
INSTRUCTIONS FOR PAGE 2 OF FORM 1040— Continued
Illegal operations or drugs
Travel ordered or suggested by your doctor
for rest or change
Premiums on life insurance
Cosmetics
FIGURING THE DEDUCTION
(A) General Rule:
(1) Medicine and drugs. — The total
amount paid for medicine and drugs
must t>e reduced by 1 percent of line 9,
page 1, Form 1040 for: (a) the tax-
payer, wife, dependent parent (s), all of
whom were under 65 years of age, and
(b) all other dependents regardless of
age.
(2) Medical and dental expenses. —
You can deduct that portion of your
medical and dental expenses which ex-
ceed 3 percent of Une 9, page 1, of Form
1040 and which were paid for the
persons described in (1) above.
(B) Special Rule for Certain Persons
65 or over:
The unreimbursed portion of the
medical and dental expenses including
medicine and drugs are deductible in
full for the following persons:
(a) The taxpayer and his wife if
EITHER is 65 years of age or over;
(b) A dependent who is 65 or over
and who is the mother or father of the
taxpayer or his wife.
If you have expenses under both the
General Rule and Special Rule, you
may obtain Form 2948 from any In-
ternal Revenue Service office to assist
you. If however, you have exp>enses
only for those persons described in the
Special Rule, attach an itemized list and
enter the total amount in line 5 of the
medical and dental expense section,
Part IV, page 2.
Limitations. — The deduction for med-
ical and dental expenses may not exceed
$5,000 multiplied by the number of ex-
emptions claimed on the return (other
than the exemptions for age and bhnd-
ness). However, in no case may the
deduction exceed:
(a) $10,000 if the taxpayer is single
and not a head of household or a widow
or widower entitled to the special tax
computation;
(b) $10,000 if the ta.xpayer is mar-
ried but files a separate return ; or
(c) $20,000 if the taxpayer files a
joint return, or is a head of household
or a widow or widower entitled to the
special tax computation.
(d) If either you or your wife are
disabled and 65 or over, you may qual-
ify for an increased maximum limita-
tion. Consult the nearest Internal
Revenue Service office for further in-
formation.
CONTRIBUTIONS
If you itemize deductions, you can
deduct gifts to :
(1) religious, charitable, education-
al, scientific or literary organizations,
and organizations for the prevention of
cruelty to children and animals, unless
the organization is operated for personal
profit, or a substantial part of its activ-
ities is the carrying on of propaganda
or otherwise attempting to influence
legislation ; and
( 2 ) fraternal organizations if they are
to be used for charitable, religious, etc.,
purposes; and
(3) veterans' organizations which
will use the gifts for public puiposes;
and
(4) governmental agencies which
will use the gifts for public purposes,
including civil defense.
Civil defense volunteers may deduct
unreimbursed expenses paid for gasoline
and other expenses of participation in
official civil defense activities. The law
does not allow deductions for gifts to
individuals, foreign organizations, or to
other types of organizations.
A contribution may be made in
money or property (not services). If
in property, attach a description of the
property, date of gift, and method of
valuation except for securities. In ad-
dition, for each gift valued at more than
$200, set forth any conditions attached
to gift; manner of acquisition and cost
or other basis if owned by you less than
5 years; and attach a signed copy of
appraisal, if any. A special rule is pro-
vided to determine the amount deduc-
tible in the case of a gift of depreciable
property described in sections 1245 and
1250 of the Internal Revenue Code (see
instructions for Schedule D for defini-
tion of sections 1245 and 1250 prop-
erty). Generally, a charitable deduc-
tion for a transfer of a future interest
in tangible personal property made
after December 31, 1963, is not allowed
until the entire interest has been trans-
ferred.
Generally, the deduction for contri-
butions may not exceed 20 percent of
line 9, page 1. An additional 10 per-
cent is allowable for contributions to
churches, a convention or association
of churches, tax-exempt educational
institutions, tax-exempt hospitals, cer-
tain medical research organizations,
certain college or university endowment
associations; and organizations referred
to in paragraphs (1) and (4), above.
Attach computation.
If your contributions exceed 30 per-
cent of line 9, page 1, consult the nearest
Internal Revenue Service office for a
possible carryover deduction.
If you support a student in your home
under a written agreement with a char-
itable or educational institution, you may
be entitled to deduct as a contribution a
part or all of the amounts you expend to
maintain such a student.
You CAN Deduct Gifts To:
Churches, including assessments
Salvation Army, Red Cross
United Funds and Community Chests
Nonprofit schools and hospitals
Veterans" organizations
Boy Scouts, Girl Scouts, and other similar
organizations
Nonprofit organizations primarily engaged in
conducting research or education for the
alleviation and cure of diseases and disabili-
ties such as cancer, cerebral palsy, cyStis
fibrosis, diseases of the heart, diabetes, men-
tal illness and mental retardation, multiple
sclerosis, muscular dystrophy, poliomyelitis,
tuberculosis, etc.
You CANNOT Deduct Gifts To:
Relatives, friends, other individuals
Political organizations or candidates
Social clubs
Labor unions
Chambers of commerce
Propaganda organizations
INTEREST
If you itemize deductions, you can de-
duct interest you paid on your personal
debts, such as bank loans or home mort-
gages. Interest paid on business debts
should be reported in the separate sched-
ule in which your business income is re-
ported. Do not deduct interest paid on
money borrowed to buy tax-exempt
securities or single-premium life insur-
ance. Do not include as interest such
items as carrying charges and insurance
which are not deductible, and taxes
which may be deductible but which
should be itemized separately.
If interest charges are not stated sepa-
rately on installment purchases of per-
sonal property (such as automobiles,
televisions, etc.), you may deduct an
amount equal to 6 percent of the average
unpaid monthly balance.
You CAN Deduct Interest On:
Your personal note to a bank or an individual
A mortgage on your home
A life insurance loan, if you pay the interest
in c?,sh
Delinquent taxes
You CANNOT Deduct Interest On:
Indebtedness of another person, when you are
not legally liable for payment of the interest
A gambling debt or other nonenforceable ob-
ligation
A life insurance loan, if interest is added to
the loan and you report on the cash basis
TAXES
If you itemize deductions, you can
deduct general State or local retail sales
taxes if under the laws of the State they
are imposed directly upon the con-
sumer, or if they are imposed on the
retailer (or wholesaler in case of gaso-
line taxes) and the amount of the tax
is separately stated by the retailer. In
certain cases you may also deduct State
or local selective sales or excise taxes,
even though not part of a general sales
tax, (or tax similar to a general sales
tax) if unposed at the general rate of
that tax.
Average general sales tax tables for
069—19— 78044-1
160
FACSIMILES OF TAX RETURNS, 1964
rNSTRUCTIONS FOR PAGE 2 OF FORM 1040— Continued
many States are available in Internal
Revenue Seivice offices. In general,
you cannot deduct taxes assessed for
pavements or other improvements, in-
cluding front-foot benefits, which tend
to increase the value of your property.
Do not deduct in this part any non-
business Federal taxes, or any taxes paid
in connection with a business or profes-
sion which are deductible in Part II of
Schedule B, or Schedule C, or F.
You CAN Deduct:
Real estate taxes
State and local gasoline taxes
General sales taxes
State and local income taxes
Personal property taxes
You CANNOT Deduct:
Any Federal excise taxes on your personal
expenditures, such as taxes on theater ad-
missions, furs, jewelry, cosmetics, transpor-
tation, telephone, gasoline, etc.
Federal social security taxes
Hunting licenses, dog licenses
Auto inspection fees, tags, drivers licenses
Water taxes
Taxes paid by you for another person
Alcoholic beverage, cigarette, and tobacco
Selective sales or excise taxes (such as those
on admissions, room occupancy, etc.) even
if they are separately stated or imposed on
the purchaser, unless imposed at the same
rate as the general sales tax.
OTHER DEDUCTIONS
Care of Children and Other Dependents.—
If deductions are itemized, a woman or a
widower (including men who are di-
vorced or legally separated under a
decree and who have not remarried) or
a husband whose wife is incapacitated or
is institutionalized for at least 90 con-
secutive days or a shorter period if she
dies, may deduct expenses paid, not to
exceed a total of $600, for one depend-
ent, or not to exceed a total of $900 for
two or more dependents for the care of :
(a) dependent children under 13 years
of age ; or
(b) dependent persons (excluding hus-
band or wife) physically or men-
tally incapable of caring for
them-selves;
if such care is to enable the taxpayer to
be gainfully employed or to actively seek
gainful employment.
In the case of a woman who is mar-
ried, the deduction is allowed if;
(a) she files a separate return because
she has been deserted by her husband,
does not know, and did not know his
whereabouts at any time during the year,
and has applied to a court to compel him
to pay support or odierwise to comply
with the law or a judicial order; or
(b) she files a joint return with her
husband, in which case, the deduction is
reduced by the amount (if any) by
which their combined income, line 9,
page 1, exceeds $6,000. This limitation
dons not apply to expenses incurred
while ike husband is incapable of self-
support because he is mentally or physi-
cally defective.
In case of a husband whose wife is
incapacitated the deduction is allowed if
he files a joint return with his wife, in
which case, the deduction is reduced by
the amount (if any) by which their
combined income, line 9, page 1, exceeds
$6,000. This limitation does not apply
to expenses incurred while the wife is
institutionalized if she is institutional-
ized for at least 90 consecutive days or
a shorter period if she dies.
Do not deduct any child care pay-
ments to a person for whom you claim an
exemption.
If the person who receives the f>ay-
ment performs duties not related to de-
pendent care, only that part of the pay-
ment which is for the dependent's care
may be deducted.
Attach Form 2441 or a statement set-
ting forth all pertinent information.
Casualty Losses and Thefts. — If you item-
ize deductions, you can deduct a net loss
resulting from the destruction of your
property in a fire, storm, automobile
accident, shipwreck, or other losses
caused by natural forces limited to the
amount in excess of $100 for each loss.
Damage to your car by collision or acci-
dent can be deducted if due merely to
faulty driving but cannot be deducted
if due to your willful act or negligence.
You can also deduct losses due to theft,
but not losses due to mislaying or losing
articles.
The amount of loss to be deducted is
measured by the fair market value of the
property just before the casualty less its
fair market value immediately after the
casualty (but not more than the cost or
other adjusted basis of the property),
reduced by any insurance or compensa-
tion received and the $100 limitation.
Attach an explanation.
You CAN Deduct Losses On:
Property such as your home, clothing, or auto-
mobile destroyed or damaged by fire
Property, including cash, which is stolen from
you
Loss or damage of property by flood, light-
ning, storm, explosion, or freezing
You CANNOT Deduct Losses On:
Personal injury to yourself or another person
Accidental loss by you of cash or other per-
sonal property
Property lost in storage or in transit
Damage by rust, gradual erosion or deteriora-
Aniraals or plants damaged or destroyed by
disease
Expenses for Education. — These expenses
may be deducted if primarily for:
(a) Maintaining or improving skills
required in your employment or other
trade or business, or
(b) Meeting the express requirements
of your employer, or the requirements of
applicable law or regulations, imposed as
a condition to the retention of your
salary, status, or employment.
Expenses incurred for obtaining a new
position, meeting minimum require-
ments, a substantial advancement in
position, or for personal purposes are not
deductible.
The rules for reporting deductible
education expenses are the same as those
shown on page 7 for the reporting of
"Employee Business Expenses."
Miscellaneous. — If you itemize deduc-
tions, you can deduct several other types
of expenses under "Other Deductions.'"
If you work for wages or a salary, you
can deduct your ordinary and necessary
employee business expenses which have
not been claimed in Part III, page 2.
You can deduct all ordinary and nec-
essary expenses connected with the pro-
duction or collection of income, or for
the management or protection of prop-
erty held for the production of income.
If you are divorced or legally sepa-
rated and are making periodic pa^inents
of alimony or separate maintenance
under a court decree, you can deduct
these amounts. Periodic payments made
under either (a) a written separation
agreement entered into after August 16,
1954, or (b) a decree for support entered
after March 1, 1954, are also deductible.
Such payments must be included in the
wife's income. You cannot deduct any
voluntary payments not made under a
court order or a written separation
agreement, lump-sum settlements, or
specific maintenance payments for sup-
port of minor children.
You may deduct gambling losses only
to the extent of gambling winnings.
You CAN Deduct Cost Of:
Safety equipment, tools and supplies, used in
your job
Dues to unions or professional societies
Business entertainment
Fees to employment agencies
You CANNOT Deduct Cost Of:
Travel to and from work
Entertaining friends
Bribes and illegal payments
Part V
Line 1— DIVIDENDS RECEIVED CREDIT
This credit is equal to 2 percent of
qualifying dividends in excess of those
which you may exclude from your in-
come. The credit may not exceed:
(a) the total income tax reduced by
the foreign tax credit if any ; or
(b) 2% of the taxable income.
Taxable income means —
(a) If tax is computed, the amount shown on
line lid, page 1, of Form 1040.
(b) If Tax Table is used, the amount shown
on line 9, page 1, Fonn 1040, less the
standard deduction, and less the deduc-
tion for exemptions ($G00 multiplied by
the number of exemptions claimed on
line 4, page 1, Form 1040).
10
FACSIMILES OF TAX RETURNS. 1964
TAX RATE SCHEDULES
161
If you do not use one of the Tax Tables, then figure your tax on the amount on line lid, page 1 of your return
by using the appropriate tax rate schedule on this page.
II and III, and MARRIED PERSONS FILING SEPARATE RETURNS.
// the am
ount on
// the amount on
line lid,
page I, is:
Enter on line 12
, page 1:
line lid,
page 1, is:
Enter on line 12,
page I:
Not over
$500
. . 16% of the amount on line lid.
Over—
But not over-
of excess over—
Over—
Bui not over—
of exces, over—
$20,000
— $22,000. .
. $6,450, plus 50.5%
— $20,000
$500
— $1,000...
. $80, plus 16.5%
— $500
$22,000
— $26,000. .
. $7,460, plus 53.5%
— $22,000
$1,000
— $1,500...
. $162.50, plus 17.5%
— $1,000
$26,000
— $32,000. .
. $9,600, plus 56%
— $26,000
$1,500
— $2,000...
. $250, plus 187o
- $1,500
$32,000
— $38,000. .
. $12,960, plus 58.5%
— $32,000
$2,000
— $4,000. ..
. $340, plus 20%
— $2,000
$38,000
— $44,000..
. $16,470, plus 61%
— $38,000
$4,000
— $6,000...
. $740, plus 23.5%
— $4,000
$44,000
— $50,000. .
. $20,130, plus 63.5%
— $44,000
$6,000
— $8,000. ..
. $1,210, plus 27%
— $6,000
$50,000
— $60,000. .
. $23,940, plus 667o
— $50,000
$8,000
— $10,000. .
. $1,750, plus 30.5%
— $8,000
$60,000
~ $70,000. .
. $30,540, plus 68.5%
— $60,000
$10,000
— $12,000. .
. $2,360, plus 34%
— $10,000
$70,000
— $80,000. .
. $37,390, plus 71%
— $70,000
$12,000
— $14,000..
. $3,040, plus 37.5%
— $12,000
$80,000
— $90,000. .
. $44,490, plus 73.5%
— $80,000
$14,000
— $16,000. .
. $3,790, plus 41%
— $14,000
$90,000
— $100,000.
. $51,840, plus 75%
— $90,000
$16,000
— $18,000. .
. $4,610, plus 44.5%
— $16,000
$100,000
— $200,000.
. $59,340, plus 76.5 7o
— $100,000
$18,000
— $20,000..
. $5,500, plus 47.5%
— $18,000
$200,000
. $135,840, plus 77%
— $200,000
Schedule II. MARRIED TAXPAYERS FILING JOINT RETURNS and CERTAIN WIDOWS AND WIDOWERS (See page 3).
// the amount on
// the amount on
line lid,
page 1, is:
Enter on line 12
, page 1:
line lid, page 1, is:
Enter on line 12
page 1:
$1 000
. 16% of the amount
on line lid.
of excess over-
Over— But not over—
$40,000 — $44,000. .
$12,900, plus 505%
of excess over—
Over—
But not over—
— $40,000
$1,000
— $2,000. .
$160, plus 16.5%
— $1,000
$44,000 — $52,000. .
$14,920, plus 53.5%
— $44,000
$2;ooo
— $3,000. .
$325, plus 17.5%
— $2,000
$52,000 — $64,000. .
$19,200, plus 56%
— $52,000
$3,000
— $4,000. .
$500, plus 18%
— $3,000
$64,000 — $76,000. .
$25,920, plus 58.5%
— $64,000
$4,000
— $8,000. .
$680, plus 20%
— $4,000
$76,000 — $88,000. .
$32,940, plus 61%
— $76,000
$8,000
— $12,000.
$1,480, plus 23.5%
— $8,000
$88,000 — $100,000.
$40,260, plus 63.5%
— $88,000
$12,000
— $16,000.
$2,420, plus 27%
— $12,000
$100,000 — $120,000.
$47,880, plus 66%
— $100,000
$16,000
— $20,000.
$3,500, plus 30.5%
— $16,000
$120,000 — $140,000.
$61,080, plus 68.5%
— $120,000
$20,000
— $24,000.
$4,720, plus 34%
— $20,000
$140,000 — $160,000.
$74,780, plus 71%
— $140,000
$24,000
— $28,000.
$6,080, plus 37.5%
— $24,000
$160,000 — $180,000.
$88,980, plus 73.5%
— $160,000
$28,000
— $32,000.
$7,580, plus 41%
— $28,000
$180,000 — $200,000.
$103,680, plus 75%
— $180,000
$32,000
— $36,000.
$9,220, plus 44.5%
— $32,000
$200,000 — $400,000.
$118,680, plus 76.5%
— $200,000
$36,000
— $40,000.
$11,000, plus 47.5%
— $36,000
$400 000 . .
$271,680, plus 77%
— $400,000
Schedule III. Unmarried (or legally separated) taxpayers who qualify as
HEAD OF HOUSEHOLD (See page 3).
// the amount on
// the amount on
line lid.
page 1, is:
Enter on line 12
, page 1:
line lid.
page I, is:
Enter on line 12
, page 1:
Not over
$1,000
. . 16% of the amount
on line lid.
Over—
But not over—
of excess over—
Over-
But not over—
of excess over—
$38,000
— $40,000. .
$14,215, plus 54%
— $38,000
$1,000
— $2,000. .
$160, plus 17.5%
— $1,000
$40,000
— $44,000. .
$15,295, plus 56%
— $40,000
$2,000
— $4,000. .
$335, plus 19%
— $2,000
$44,000
— $50,000. .
$17,535, plus 58.5%
— $44,000
$4,000
— $6,000. .
$715, plus 22%
— $4,000
$50,000
— $52,000. .
$21,045, plus 59.5%
— $50,000
$6,000
— $8,000. .
$1,155, plus 23%,
- $6,000
$52,000
— $60,000. .
$22,235, plus 61%
— $52,000
$8,000
— $10,000.
$1,615, plus 27%
— $8,000
$60,000
— $64,000.
$27,115, plus 62%
— $60,000
$10,000
— $12,000.
$2,155, plus 29%
— $10,000
$64,000
— $70,000. .
$29,595, plus 63.5%
— $64,000
$12,000
— $14,000.
$2,735, plus 327o
— $12,000
$70,000
— $76,000.
$33,405, plus 65%
— $70,000
$14,000
— $16,000.
$3,375, plus 34%
— $14,000
$76,000
— $80,000..
$37,305, plus 66%
— $76,000
$16,000
— $18,000.
$4,055, plus 37.5%
— $16,000
$80,000
— $88,000.
$39,945, plus 67%
— $80,000
$18,000
— $20,000.
$4,805, plus 39%
— $18,000
$88,000
— $90,000.
$45,305, plus 69%
— $88,000
$20,000
— $22,000.
$5,585, plus 42.5%
— $20,000
$90,000
— $100,000.
$46,685, plus 69.5%
— $90,000
$22,000
— $24,000.
$6,435, plus 43.5%
— $22,000
$100,000
— $120,000.
$53,635, plus 71%
— $100,000
$24,000
— $26,000.
$7,305, plus 45.5%
— $24,000
$120,000
— $140,000
$67,835, plus 72.5%
— $120,000
$26,000
— $28,000.
$8,215, plus 47%
— $26,000
$140,000
— $160,000
$82,335, plus 74%
— $140,000
$28,000
— $32,000.
$9,155, plus 48.5%
— $28,000
$160,000
— $180,000
$97,135, plus 75%
— $160,000
$32,000
— $36,000.
$11,095, plus 51.5%
— $32,000
$180,000
— $200,000.
$112,135, plus 75.5%
— $180,000
$36,000
— $38,000.
$13,155, plus 53%
— $36,000
$200,000
$127,235, plus 77%
— $200,000
059—18—78044-1
162 FACSIMILES OF TAX RETURNS, 1964
1964 TAX TABLES
FOR PERSONS WITH INCOMES UNDER $5,000 WHO DO NOT ITEMIZE ON PAGE 2 OF FORM 1040
11
Find your tax after selecting the proper Tax Table from those listed Ijelow based on your filing status (line 1, page 1, Form 1040).
TABLE A — For Married Persons Filing Joint Returns TABLE D — For Married Persons Filing Separate Returns,
TABLE B — For Single Persons Using Minimum Standard Deduction
TABLE C— For Married Persons Filing Separate Returns, TABLE E— For Unmarried Head of Household
Using 10-Percent Standard Deduction
Tables A, B, and E reflect the lowest tax after taking both the 10 percent standard deduction and the minimum standard deduc-
tion into account.
TAX TABLE A— FOR MARRIED PERSONS FILING JOINT RETURNS*
This table is designed to allow for the standard deduction
Read down the income columns below until you find the line covering the total income (line 9, page 1, Form 1040). Then
across to the appropriate column headed by the number corresponding to the number of your exemptions, this is your tax.
If your Iota
income is-
And the number of exemptions ||::|
If your total
income is—
And the
number of exemp
onsis-
But less
2
3 [ '1
But less
2
3
4
5
6
If 4 or more
If 7 or more
At least
than
tliere is
At least
than
no tax
Your ta
is- ^>A
Your tax is—
$0
$1, 600
$0
so^^
$2, 800
$2, 825
$195
$82
$0
$0
$0
1,600
1,625
2
" J
2, 825
2,850
199
86
1,625
1.650
6
i
2. 850
2,875
203
90
1,650
1.675
10
:.
2, 875
2,900
207
94
1,675
1.700
14
, -^
2, 900
2,925
212
98
1,700
1,725
18
1
" 2.92.5"
2.950
216
102
1,725
1,750
22
2. 950
2.975
220
100
1,750
1,775
26
(» , 2
2, 975
3.000
224
110
1,775
1,800
30
3,000
3. 050
230
116
4
1,800
1,825
34
3. (».>0
3, 100
23S
124
12
1.825
1,850
38
,3, 100
3,150
247
132
20
1,850
1,875
42
3, l.-.O
3,200
255
140
28
1,875
1,900
46
-."
3, 200
3, 250
2G3
148
36
1,900
1,925
50
3, 250
3,300
271
1,56
44
1,925
1,950
54
■
3,300
3,350
280
164
52
1,950
1, 975
58
'.
3, 350
3,400
288
172
60
1.975
2,000
62
;
3, 400
3, 450
181
68
2,000
2.025
66
;
3,450
3,500
304
189
76
2,025
2.050
70
3, 500
3,550
313
197
84
2,050
2.075
74
3, 550
3.600
321
205
92
2.075
2. 100
78
..
3, 600
3, 650
329
214
100
2,100
2,125
82
, ' .
3. 650
3,700
338
222
108
2,125
2, 150
86
-1
3.700
3.750
347
230
116
4
2,150
2,175
90
\
3, 750
3,800
356
238
124
12
2,175
2,200
94
,*'
3,800
3,850
364
247
132
20
2,200
2,225
98
'*
3, 850
3.900
373
255
140
28
2,225
2.250
102
.f
,
3. 900
3,950
382
203
148
36
2,250
2, 275
100
3, 950
4.000
391
271
156
44
2,275
2,300
110
*
4, 000
4, 050
399
280
164
52
2,300
2,325
114
2
4, 050
4,100
407
2SS
172
60
2,325
2,350
118
6
4, 100
4, 1.50
415
296
181
68
2,350
2, 375
122
10
4, 150
4,200
423
304
189
76
2,375
2,400
126
14 . -
4,200
4, 250
430
313
197
84
2,400
2,425
130
18 ; 4
4, 250
4,300
438
321
205
92
2,425
2,450
134
22 ■ '.
4, 300
4,350
446
329
214
100
2,450
2,475
138
26 1
4, 3.>0
4,400
4.54
338
222
108
2,475
2,500
142
30 .
4. 400
4,450
462
347
230
116
4
2,500
2,525
146
34 ' fe
38 1 1
4, 450
4, 500
470
356
238
124
12
2,525
2,550
150
4.500
4,550
478
364
247
132
20
2,550
2,575
154
42 ' J
4. 550
4,600
486
373
255
140
28
2,575
2, 600
158
46 U»t
4.600
4,650
493
382
263
148
36
2,600
2,625
162
50 1
4, 650
4,700
501
391
271
156
44
2,625
2, 650
166
54 •
4,700
4,750
509
399
280
164
52
2,650
2,675
170
58 , ,
4, 750
4,800
518
408
288
172
60
2,675
2,700
174
i-,2 .1
4,800
4, 850
526
417
296
181
68
2,700
2,725
179
66 \
4, 850
4,900
534
426
304
189
76
2,725
2, 750
183
70 '
4. 900
4,950
.542
434
313
197
84
2,750
2,775
187
71 'i
4, 950
5,000
550
443
321
205
2.775
2,800
191
78 ?
ic This table may also be used by certain widows or i
,hu qualify for special lai i
c59— 10— 78014-:
FACSIMILES OF TAX RETURNS, 1964 163
12 TAX TABLE B— FOR SINGLE PERSONS
This table Is designed to allow for the standard deduction.
Read down the income columns below untU you find the line covering the total income (line 9, page 1, Form 1040). Then read
across to the appropriate.column headed by the number corresponding to the number of your exemptions, this is your tax.
It your total income is—
And the number ot exemptions is— P^ II your total Income is-
And the number of exemptions is—
But less
than
1
2
3 pi
But less
than
1
2
3
4
5
6
At least
"«,"jirili *«'east
If 7 or more
there is
no lax
Younaxis— Wm
Your tax is-
$0
$900
$0
$0
$0 ii $2, 450
$2, 475
$261
$140
$26
$0
$0
$0
900
925
950
975
925
950
975
1,000
2
6
10
14
ii; 2, 475
ii 2, 500
ii 2, 525
iii 2,550
2,500
2,525
2,550
2,575
266
270
275
279
144
148
152
156
30
34
38
42
1.000
1.025
1.050
1.075
1,025
1,050
1,075
1,100
18
22
26
30
is 2,575
m 2, 600
lis 2, 625
Ii;; 2, 650
2,600
2,625
2,650
2,675
284
288
293
297
160
165
169
173
46
50
54
58
1.100
1.125
1.150
1.175
1,125
1.150
1.175
1.200
34
38
42
46
im: 2, 675
im 2, 700
ii 2, 725
ii; 2,750
2,700
2.725
2,750
2,775
302
306
311
315
178
182
187
62
66
70
74
1.200
1.225
1.250
1.275
1.225
1.250
1.275
1.300
50
54
58
62
m 2, 775
m 2, 800
mi 2, 825
oil 2.850
2,800
2,825
2,850
2,875
320
324
329
333
195
200
204
208
78
82
86
90
1.300
1,325
1.350
1.375
1.325
1.350
1.375
1.400
66
70
74
78
im 2, 875
ii: 2, 900
WM 2. 925
i;s;:;: 2,950
2.900
2.925
2,950
2,975
338
343
348
353
213
217
222
226
94
99
103
107
1.400
1,425
1,450
1.475
1,425
1,450
1,475
1,500
82
90
94
mm 2, 975
m 3, 000
iii 3, 050
ii 3. 100
3,000
3,050
3,100
3,150
358
365
374
383
230
237
246
255
HI
117
125
134
4
12
20
1.500
1.525
1.550
1.575
1,525
1,550
1,575
1,600
99
103
107
111
ii 3, 150
ii 3, 200
ii 3, 250
ii 3, 300
3,200
3,250
3,300
3,350
392
401
410
419
264
273
282
291
142
150
158
167
28
36
44
52
1.600
1.625
1.650
1.675
1,625
1.650
1.675
1,700
115
119
123
127
2
6
10
14
m 3, 350
m 3, 400
ii : 3, 450
m 3. 500
3,400
3,450
3,500
3, 550
428
437
446
455
300
309
318
327
176
184
193
202
60
68
76
84
1.700
1.725
1,750
1,775
1,725
1,750
1,775
1,800
132
136
140
144
18
22
26
30
;i| 3, 550
iii 3, 600
iii 3, 650
;ii 3, 700
3,600
3,650
3,700
3,750
464
473
482
491
336
345
355
365
211
219
228
237
92
101
109
117
4
1,800
1,825
1.850
1,875
1,825
1,850
1,875
1,900
148
152
156
160
34 J
38
42
46
i;si; 3, 750
iii 3, 800
ii;* 3, 850
ii 3, 900
3,800
3,850
3,900
3,950
500
509
518
527
375
385
395
405
246
255
264
273
125
134
142
150
12
20
28
36
1,900
1,925
1,950
1.975
1.925
1,950
1,975
2,000
165
169
173
178
50
54
58
62
ii 3, 950
;ii 4, 000
iii 4, 050
mm 4, 100
4,000
I 050
4,100
4,150
536
545
554
563
415
425
434
443
282
291
300
309
158
167
176
184
44
52
60
68
2.000
2.025
2.050
2.075
2.025
2,050
2,075
2,100
182
187
191
195
66
70
74
78
iii 4, 150
mm 4. 200
ii 4.250
;ii 4, 300
4,200
4,250
4,300
4,350
572
581
590
599
452
461
470
479
318
327
336
345
193
202
211
219
76
84
92
101
2.100
2.125
2.150
2,175
2,125
2,150
2,175
2,200
200
204
208
213
82
86
90
94
pi 4, 350
pi 4, 400
ii 4, 450
pi; 4, 500
4,400
4,450
4,500
4,550
608
617
626
635
488
497
506
515
355
365
375
385
228
237
246
255
109
117
125
134
4
12
20
2,200
2.225
2.250
2.275
2,225
2,250
2,275
2,300
217
222
226
230
99
103
107
111
pi 4, 550
Iii 4, 600
iii 4, 650
iii; 4, 700
4.600
4,650
4,700
4,750
644
653
662
671
524
533
542
551
395
405
415
425
264
273
282
291
142
150
158
167
28
36
44
52
2,300
2,325
2,350
2.375
2,325
2,350
2.375
2.400
235
239
243
248
115
119
123
127
2 mm 4. 750
6 ii 4,800
10 ii 4, 850
14 m 4, 900
4,800
4,850
4,900
4,950
680
689
698
707
560
569
578
587
435
445
455
465
300
309
318
327
176
184
193
202
60
68
76
84
2,400
2,425
2.425
2,450
252
257
132
136
18 ii 4, 950
22 ii
5,000
716
596
475
336
211
92
164
FACSIMILES OF TAX RETURNS, 1964
TAX TABLE C— FOR MARRIED PERSONS FILING SEPARATE RETURNS, USING 10PERCENT STANDARD DEDUCTION
13
Read down the income columns below until you find the line covering the total income (line 9, page 1, Form 1040). Then read
across to the appropriate column headed by the number corresponding to the number of your exemptions, this is your tax.
If your total income is-
925
950
975
1,000
1,025
1,050
1,075
1,100
1,125
1, 150
1,175
1,200
1,225
1,250
1,275
1,300
1,325
1,350
1,375
1,400
1,425
1,450
1,475
1,500
1,525
1,550
1,575
1,600
1,625
1,650
1,675
1,700
1,725
1,750
1,775
1,800
1,825
1,850
1,875
1,900
1,925
1,950
1,975
2,000
2,025
2,050
2,075
2,100
2,125
2,150
2,175
2,200
2,225
2,250
2,275
2,300
2,325
And the number of exemptions i
If your total income is-
m $2, 325
i 2, 350
wm
ii
m
WM
ii 2,475
iij 2,500
mm 2,525
Pi 2,550
m
mm
m
WM
2,375
2,400
2,425
2,450
2,575
2,600
2,625
2,650
2,675
2,700
2,725
2,750
2,775
2,800
2,825
2,850
2,875
2,900
2,925
2,950
2,975
3,000
3,050
3, 100
3, 150
3,200
3,250
3,300
3,350
3,400
3,450
3,500
3,850
3,900
3,950
4,000
4,050
4,100
J)_
^
2 lli 4,350
5 II 4,400
9 ii 4, 450
13 ii 4,500
16 III 4,550
4,150
4,200
4,250
4,300
4,650
4,700
4,750
4,800
4,850
4,900
45 ii 4,950
But less
than
$2, 350
2,375
2,400
2,425
2,450
2,475
2,500
2,525
2,550
2,575
2.600
2,625
2,650
2,675
2,700
2,725
2,750
2,775
2,800
2,825
2,850
2,875
2,900
2,925
2,950
2.975
3,000
3,050
3,100
3,150
3,200
3,250
3,300
3,350
3,400
3,450
3,500
3,550
3,600
3,650
3,700
3,750
3,800
3,850
3,900
3,950
4,000
4,050
4, 100
4,150
4,200
4,250
4,300
4,350
4,400
4,450
4.500
4.550
4.600
4.650
4,700
4,750
4,800
4,850
4,900
4,950
5,000
And the number of exemptions Is—
$251
255
$147
150
404
413
422
431
440
449
458
467
FACSIMILES OF TAX RETURNS, 1964 165
14 TAX TABLE D— FOR MARRIED PERSONS FILING SEPARATE RETURNS, USING MINIMUM STANDARD DEDUCTION
Read down the income columns below until you find the line covering the total income (line 9, page 1, Form 1040). Then read
across to the appropriate column headed by the number corresponding to thp number of your exemptions, this is your tax.
If your total income is—
And the number of exemptions is- H " ><>■" *<>"l ^""""^ 's—
And the number of exemptions is—
At least
But less
ttian
1
2
If 4 or more H At least
there is no H
But less
than
■
2
3
4
5
6
7
If 3 or more
there is no
Your tax is— B
Your tax is—
$0
$800
$0
$0
$0 ■ $2,400
$2, 425
$270
$148
$34
$0
$0
$0
$0
800
825
850
875
825
850
875
900
2
6
10
14
■ 2,425
H 2, 450
H 2. 475
H 2, 500
2,450
2,475
2,500
2,525
275
279
284
288
152
156
160
165
38
42
46
50
900
925
950
975
925
950
975
1,000
18
22
26
30
m 2,525
■ 2,550
H 2,575
■ 2. 600
2,550
2,575
2,600
2,625
293
297
302
306
169
173
178
182
54
58
62
66
1,000
1,025
1,050
1.075
1,025
1,050
1,075
1,100
34
38
42
46
a 2,625
OH 2, 650
^ 2,675
11 2, 700
2,650
2,675
2,700
2.725
311
315
320
324
187
191
195
200
70
74
78
82
1,100
1,125
1,150
1,175
1,125
1,150
1,175
1,200
50
54
58
62
H 2, 725
■ 2,750
■ 2,775
a 2, 800
2.750
2,775
2,800
2,825
329
333
338
343
204
208
213
217
86
90
94
99
a
1,200
1,225
1,250
1,275
1,225
1,250
1,275
1,300
66
70
74
78
ii 2,825
Om 2, 850
H 2, 875
11 2, 900
2,850
2,875
2,900
2.925
348
353
358
363
222
226
230
235
103
107
111
115
2
1,300
1,325
1,350
1.375
1.325
1.350
1.375
1.400
82
86
90
94
m 2, 925
Ii 2, 950
Ii 2, 975
Ii 3,000
2.950
2,975
3,000
3,050
368
373
378
385
239
243
248
266
119
123
127
134
6
10
14
20
1,400
1,425
1,450
1,475
1,425
1,450
1,475
1,500
99
103
107
111
Q
m 3,050
9 3, 100
11 3, 150
OH 3, 200
3,100
3,150
3,200
3,250
395
405
415
425
264
273
282
291
142
150
158
167
28
36
44
52
1,500
1,525
1,550
1,575
1,525
1,550
1,575
1,600
115
119
123
127
2
6
10
14
oS 3.250
oH 3,300
■ 3, 350
^ 3, 400
3,300
3,350
3,400
3,450
435
445
455
465
300
309
318
327
176
184
193
202
60
68
76
84
1,600
1,625
1,650
1,675
1,625
1,650
1,675
1,700
132
136
140
144
18
22
26
30
H 3> 450
ra 3' 500
H 3. 550
OH 3, 600
3.500
3.550
3.600
3.650
475
485
495
605
336
345
355
365
211
219
228
237
92
101
109
117
4
12
20
1.700
1,725
1,750
1,775
1,725
1,750
1,775
1,800
148
152
156
160
34
42
46
H 3, 650
M 3,700
a 3,750
P 3, 800
3.700
3,750
3,800
3.850
515
525
535
545
375
385
396
406
246
255
264
273
125
134
142
150
28
44
52
1,800
1,825
1,850
1,875
1,825
1,850
1.875
1.900
k65
169
173
178
50
64
58
62
B 3, 850
H 3, 900
■ 3. 950
OH 4, 000
3.900
3,950
4,000
4,050
555
565
575
585
415
426
435
445
282
291
300
309
158
167
176
184
60
68
76
84
1.900
1.925
1,950
1,975
1,925
1,950
1,975
2.000
182
187
191
195
66
70
74
78
H 4,050
■ 4. 100
■ 4. 150
B 4,200
4,100
4,150
4,200
4,250
595
605
615
625
455
465
475
486
318
327
336
346
193
202
211
219
92
101
109
117
4
12
20
2,000
2,025
2,050
2,075
2.025
2,050
2,075
2,100
200
204
208
213
82
86
90
94
H 4, 250
■ 4, 300
B 4,350
m 4,400
4.300
4,350
4,400
4,450
635
646
656
665
496
506
516
626
355
366
378
386
228
237
246
255
125
134
142
150
28
36
44
62
2.100
2,125
2,150
2,175
2,125
2,150
2,175
2.200
217
222
226
230
99
103
107
111
OB 4, 450
m 4,500
H 4,550
■ 4, 600
4,500
4,550
4.600
4,650
675
686
695
705
535
645
555
565
395
405
415
425
264
273
282
291
168
167
176
184
60
68
76
84
2,200
2,225
2,250
2.275
2.225
2,250
2,275
2,300
235
239
243
248
115
119
123
127
2 m 4.650
6 4.700
10 H 4,750
14 m 4. 800
4,700
4.750
4,800
4,850
715
725
735
746
575
585
595
605
435
445
455
465
300
309
318
327
193
202
211
219
92
101
109
117
4
12
20
2.300
2,325
2,350
. 2.375
2,325
2,350
2,375
2,400
252
257
261
266
132
136
140
144
18 H 4.850
22 M 4,900
26 m 4.950
4,900
4,950
5,000
768
769
781
615
625
636
475
485
495
336
345
355
228
237
246
125
134
142
28
36
44
166 FACSIMILES OF TAX RETURNS, 1964
TAX TABLE E— FOR UNMARRIED HEAD OF HOUSEHOLD
This table is designed to allow for the standard deduction.
Head down the income columns below until you find the line covering the total income (line 9, page 1, Form 1040)
15
Then read
across to the appropriate column headed by the number corresponding to the number of your exemptions, this is your tax.
If your total income is—
And tlie number of exemptions is— ^ If your total Income is—
And the number of exemptions is—
But less
than
1
2
^ P
But less
than
1
2
3
4
5
6
At least
If 4 or more H
there is K
no tax p',,/
At least
there is
no tax
Your tax is— [ j^
Your tax is-
$0
900
925
950
$900
925
950
975
,0
6
10
$0
'I ft
'=s
-;
$2, 450
2.475
2.500
2.525
$2. 475
2,500
2,525
2.550
$258
263
267
272
$138
142
146
150
$26
30
34
38
$0
$0
$0
975
1,000
1,025
1,050
1.000
1.025
1.050
1,075
14
18
22
26
> .
2.550
2,575
2.600
2.625
2.575
2,600
2,625
2.650
276
280
285
289
154
158
162
167
42
46
50
54
1.075
1,100
1, 125
1,150
1.100
1.125
1.150
1, 175
30
34
38
42
; "
. -.
i,
2.650
2,675
2,700
2,725
2.675
2,700
2,725
2,750
293
298
302
307
171
175
180
184
58
62
66
70
1, 175
1,200
1,225
1,250
1.200
1,225
1,250
1,275
46
50
54
58
-■«
' -
;' .
s-'j
2.750
2.775
2.800
2.825
2,775
2.800
2.825
2, 850
311
315
320
324
188
193
197
202
74
78
82
1.275
1,300
1.325
1.350
1.300
1.325
1.350
1.375
62
70
74
.
' *
: ,
0- %
2.850
2,875
2.900
2.925
2,875
2.900
2.925
2.950
328
333
337
342
206
210
215
219
90
94
98
102
1.375
1.400
1.425
1.450
1,400
1.425
1,450
1,475
7k
82
86
90
1 2. 950
0*1 2. 975
0,4 3. 000
1 . 3. 050
2.975
3.000
3.050
3.100
347
352
358
367
223
228
234
243
106
110
116
124
4
12
1.475
1.500
1.525
1,550
1.500
1.525
1.550
1.575
94
98
102
106
" ,1 3, 100
i 3, 150
4 3. 200
\ 3. 250
3.150
3.200
3.250
3.300
375
384
392
401
252
261
269
278
132
140
148
156
20
28
36
44
1.575
1.600
1,625
1.650
1.600
1,625
1.650
1.675
110
114
118
122
2
6
10
3. 300
; 1 3. 350
1 3. 400
, j 3, 450
3.350
3.400
3,450
3.500
410
418
427
435
287
296
304
313
164
173
182
191
52
60
68
76
1.675
1.700
1.725
1.750
1,700
1.725
1,750
1,775
126
130
134
138
14
18
22
26
3, 500
. 3, 550
i 3, 600
\ , 3. 650
3,550
3.600
3.650
3,700
444
452
461
469
322
331
340
349
199
208
217
226
84
92
100
108
1,775
1.800
1,825
1,850
1.800
1.825
1.850
1.875
142
146
150
154
30
34
38
42
; 1 3. 700
3.750
■ 3. 800
3. 850
3,750
3,800
3.850
3.900
478
487
495
504
359
378
387
234
243
252
261
116
124
132
140
4
12
20
28
1,875
1.900
1,925
1,950
1,900
1,925
1.950
1.975
158
162
167
171
46
50
54
58
3, 900
. 3, 950
4. 000
4, 050
3,950
4,000
4,050
4. 100
512
521
529
538
397
406
415
424
269
278
287
296
148
156
164
173
36
44
52
60
1,975
2,000
2,025
2,050
2,000
2.025
2.050
2,075
175
180
184
188
62
66
70
74
'■ 4, 100
; 4. 150
4. 200
' ": 4. 250
4,150
4.200
4.250
4,300
546
555
563
572
432
441
449
458
304
313
322
331
182
191
199
208
76
84
92
2.075
2.100
2.125
2.150
2.100
2.125
2,150
2.175
193
197
202
206
78
82
90
■' 4,300
t 4,350
4, 400
' i 4, 450
4,350
4,400
4,450
4.500
581
589
598
606
467
475
484
492
340
349
359
368
217
226
234
243
100
108
116
124
4
12
2.175
2,200
2.225
2,250
2.200
2.225
2,250
2.275
210
215
219
223
94
98
102
106
=- *! 4, 500
; 1 4. 550
' ; 4, 600
'■■ 4. 650
4.550
4.600
4,650
4,700
615
623
632
640
501
509
518
526
378
387
397
406
252
261
269
278
132
140
148
156
20
28
36
44
2,275
2,300
2,325
2,350
2.300
2.325
2.350
2.375
228
232
237
241
110
114
118
122
' 4, 700
2 1 - 4, 750
eh 4, 800
10 1 *J 4, 850
4,750
4,800
4,850
4.900
649
658
666
675
535
544
552
561
416
425
435
444
287
296
304
313
164
173
182
191
52
60
68
76
2,375
2,400
2.425
2.400
2.425
2.450
245
250
254
126
130
134
14 f"^ 4. 900
18 j 4. 950
22 V%
4,950
5.000
683
692
569
578
454
463
322
331
199
208
84
92
oS9— 16— 78044-J
FACSIMILES OF TAX RETURNS, 1964 167
INSTRUCTrONS FOR SCHEDULE B (Form 1040) B-1
PENSIONS • ANNUITIES • RENTS • ROYALTIES • PARTNERSHIPS • ESTATES • TRUSTS • RETIREMENT INCOME CREDIT
Part I
PENSIONS AND ANNUITIES
Noncontributory Annuities.— If the em-
ployee did not contribute 'to the cost and
was not subject to tax on his employer's
contributions, the full amount of an an-
nuity or a pension of a retired employee
must be included in his income.
Other Annuities. — Amounts received
from other annuities, pensions, endow-
ments, or life insurance contracts,
whether paid for a fixed number of
years or for life, may have a portion of
the payment excluded from income.
The following types come under this
rule: (a) pensions where the employee
has either contributed to its cost or has
been taxed on his employer's contribu-
tions, and (b) amounts paid for a reason
other than the death of the insured un-
der an annuity, endowment, or life
insurance contract.
Part I is provided for reporting the
taxable portion of the annuity. If you
are receiving payments on more than
one pension or annuity, fill out a sepa-
rate Part I for each one.
General Rule for Annuities.— Generally,
amounts received from annuities and
pensions are included in income in an
amount which is figured upon your life
expectancy. This computation and
your life expectancy multiple can be
found in the regulations covering an-
nuities and pensions. Once you have
obtained the multiple it remains un-
changed and it will not be necessary to
recompute your taxable portion each
year unless the payments you receive
change in amount. In making this
computation you can get help from the
Internal Revenue Service as well as
from some employers and insurance
companies.
Special Rule for Certain Types of Em-
ployees' Annuities. — There is a special
rule provided for amounts received as
employees' annuities where part of the
cost is contributed by the employer and
the amount contributed by the em-
ployee will be returned within 3 years
from the date of the first payment re-
ceived under the contract. If both of
these conditions are met, then all the
payments received under the contract
during the first 3 years are to be ex-
cluded from income until the employee
recovers his cost (the amount contrib-
uted by him plus the contributions made
by the employer on which the employee
was previously taxed) ; thereafter all
amounts received are fully taxable.
This method of computing taxable in-
come also applies to the employee's
beneficiary if the employee died before
receiving any annuity or pension pay-
ments.
Example: An employee received $200
a month from an annuity. While he
worked, he contributed $4,925 toward
the cost of the annuity. His employer
also made contributions toward the cost
of the annuity for which the employee
was not taxed. The retired employee
would be paid $7,200 during the first
3 years, which amount exceeds his con-
tribution of $4,925. He would exclude
from income all the payments received
from the annuity until he has received
$4,925. All payments received there-
after are fully taxable.
Death Benefit Exclusion. — If you receive
pension or annuity payments as a bene-
ficiary of a deceased employee, and the
employee had received no retirement
pension or annuity payments, you may
be entitled to a death benefit exclusion
of up to $5,000. Consult the Internal
Revenue Service.
Part II
RENTS AND ROYALTIES
If you are not engaged in selling real
estate to customers, but receive rent
from property owned or controlled by
you, or royalties from copyrights, pat-
ents, mineral leases, and similar rights,
report the total amount received in this
part. If property other than money
was received as rent, its fair market
value should be reported.
In the case of buildings you can de-
duct depreciation, as explained on page
B-2. You can also deduct all ordinary
and necessary expenditures on the prop-
erty such as taxes, interest, repairs, in-
surance, agent's commissions, mainte-
nance, and similar items. However,
you cannot deduct capital investments
or improvements but must add them to
the basis of the property for the pur-
pose of depreciation. For example, a
landlord can deduct the cost of minor
repairs but not the cost of major im-
provements such as a new roof or re-
modelingj.
If You Rent Part of Your House.— If you
rent out only part of your property, you
can deduct only that portion of your
expenses which relates to the rented
portion. If you cannot determine these
expenses exactly, you may figure them
on a proportionate basis. For example,
if you rent out half of your home, and
live in the other half, you can deduct
only half of the depreciation and other
expenses.
Room rent and other space rentals
should be reported as business income
in separate Schedule C (Form 1040)
if services are rendered to the occupant ;
otherwise, report such income in this
part. If you are engaged in the busi-
ness of selling real estate, you should
report rentals received in separate
Schedule C.
Part III
PARTNERSHIPS AND ESTATES
OR TRUSTS
Partnerships. — A partnership does not
pay income tax unless it elects to be
taxed on the same basis as a domestic
corporation. It does, however, file an
information return on Form 1065.
Only one Form 1065 need be filed for
each partnership. Each partner must
report his share of the partnership's
income.
Include in this part your share of the
ordinary income (whether actually re-
ceived by you or not) or the net loss of
a partnership, joint venture, or the like,
whose taxable year ends within or with
the year covered by your return. Other
items of income, deductions, etc., to be
carried to the appropriate schedule of
your individual return are shown in
Schedule K of the partnership return.
Your share of income of the following
classes should be entered on the appro-
priate lines and schedules of your
return :
Dividends.
Interest.
Gains from the sale or exchange of
capital assets and other property.
If the partnership is engaged in a
trade or business, the individual partner
may be subject to the self-employment
tax on his share of the self -employment
income from the partnership. In this
case the partner's share of partnership
self-employment net earnings (or loss)
should be entered on line 5(b) , separate
Schedule C-3. Members of farm part-
nerships should use Schedule F-1 to
figure self-employment tax.
059—16—78044
168
FACSIMILES OF TAX RETURNS, 1964
B-2
Small Business Corporations.— If you are
a shareholder in a small business corpo-
ration which elects to have its current
taxable income taxed to its stockholders,
you should report your share of both
the distributed and undistributed cur-
rent taxable income as ordinary income
on line 1 of this part except that portion
which is reportable as a long-term capi-
tal gain in separate Schedule D. Nei-
ther type of income is eligible for the
dividends received credit or the exclu-
sion. Your share of any net operating
loss should be treated just as if the loss
were from a proprietorship.
Estates and Trusts. — If you are a ben-
eficiary of an estate or trust, report your
taxable portion of its income whether
you receive it or not. Your share of
income of the following classes should
be entered on the appropriate lines and
schedules of your return :
Dividends.
Interest.
Gains from the sale or exchange of
capital assets and other property.
All other taxable income from estates
and trusts should be included in this
part. Any depreciation (on estate or
trust property) which is allocable to
you may be subtracted from estate or
trust income so that only the net income
received will be included in your return.
Information regarding these items may
be obtained from the fiduciary.
Part IV— DEPRECIATION
A reasonable allowance for the ex-
haustion, wear • and tear, and obsoles-
cence of property used in the trade or
business or of property held by the tax-
payer for the production of income shall
be allowed as a depreciation deduction.
The allowance does not apply to inven-
tories or stock-in-trade nor to land apart
from the improvements or physical de-
velopment added to it.
The cost (or other basis) to be re-
covered should be charged off over the
expected useful life of the property.
Similar assets may be grouped together
as one item -for reporting purposes.
In computing the basis on which de-
preciation 'may be taken for personal
property, other than livestock, salvage
value need not be taken into account, if
it does not exceed 10% of the cost or
other basis of the property. If the sal-
vage value exceeds 10%, only the excess
need be taken into account. These pro-
visions apply to property with a useful
life of 3 years or more which was ac-
quired after October 16, 1962.
The basis of any property which was
reduced in a prior year by the invest-
ment credit should be increased as of
the first day of your taxable year be-
ginning in 1964 by the amount of the
reduction previously required.
Alternative Depreciation Guidelines and
Rules. — Revenue Procedure 62-21,
dated July 12, 1962, sets forth alterna-
tive standards and procedures for de-
termining depreciation. These guide-
line lives for guideUne classes (broad
categories not item-by-item) are in
most cases substantially shorter than
those previously used. These guideline
lives and rules are applicable to all de-
preciable property including existing
assets as well as new acquisitions; how-
ever, they do not supersede existing
rules and procedures for any taxpayer
who wishes to continue to use them.
Taxpayers who wish to use the new
provisions must use them for all assets
in a particular guideline class. Tax-
payers may use class lives equal to or
longer than the guideline lives for 3
years and may continue to use them
thereafter if certain standards are met
and replacement practices are con?'st-
ent with the lives used.
The depreciation schedule provided
on the return is to be used for reporting
depreciation under both Revenue Pro-
cedure 62-2 1 and previously prescribed
rules and standards. Although de-
preciation reported under the revenue
procedure should be shown on the basis
of group and guideline class, it is not
necessary to disturb your present de-
preciation accounts.
Revenue Procedure 62-21 is con-
tained in IRS Publication No. 456 (Rev.
8-64). This publication may be ob-
tained from the Superintendent of Doc-
uments, Government Printing Office,
Washington, D.C., 20402, for 30 cents.
Following is a brief description of the
various methods of depreciation which
may be used under either Revenue Pro-
cedure 62-21 or previously prescribed
rules and standards.
Straight-Line Method. — To compute
the deduction, determine the cost (or
other basis) of the property and deduct
the total depreciation allowed or allow-
able. Divide the result by the number
of years of useful life remaining to the
asset — the quotient is the depreciation
deduction.
Declining Balance Method. — A uniform
rate is applied each year to the remain-
ing cost or other basis of property (with-
out adjustment for salvage value) de-
termined at the beginning of such year,
but depreciation must stop when the
unrecovered cost is reduced to salvage
value. For property acquired before
January 1, 1954, or used property when-
ever acquired, the rate of depreciation
under this method may not exceed one
and one-half times the applicable
straight-line rate.
Special Rules for New Assets Acquired
After December 31, 1953.— The cost or oth-
er basis of an asset acquired after De-
cember 31, 1953, may be depreciated
under methods proper before that date ;
or, it may be depreciated under any of
the following methods provided (1)
that the asset is tangible, (2) that it
has an estimated useful life of 3 years
or more, and (3) that the original use
of the asset commenced with the tax-
payer and commenced after Decem-
ber 31, 1953.
(a) Declining balance method. —
This method may be used with a rate
not in excess of twice the applicable
straight-line rate.
(b) Sum of the years-digits meth-
od. — The deduction for each year is
computed by multiplying the cost or
other basis of the property (reduced by
estimated salvage value) by the num-
ber of years of useful life remaining
(including the year for which the de-
duction is computed) and dividing the
product by the sum of all the digits cor-
responding to the years of the estimated
useful life of the asset. In the case of
a 5-year life this sum would be 15
(5 + 4 + 3 + 2-M). For the first year
five-fifteenths of the cost reduced by
estimated salvage value would be al-
lowable, for the second year four-
fifteenths, etc.
(c) Other methods. — A taxpayer
may use any consistent method which
does not result at the end of any year
in accumulated allowances greater than
the total of the accumulated allowances
which would have resulted from the use
of the declining balance method. This
limitation applies only during the first
two-thircfs of the property's useful life.
Additional First-Year Depreciation.— You
may elect to write off, in the year as-
sets are first subject to depreciation, 20
percent of the cost (before adjustment
for salvage value) of the assets if they
are tangible personal property (e.g.,
equipment, macliinery, etc.) acquired
by purchase for use in a trade or busi-
ness or to be held for the production
of income. If the aggregate cost of
these assets exceeds $10,000 ($20,000
for joint return) the additional de-
preciation is limited to $2,000 ($4,000
for joint return).
FACSIMILES OF TAX RETURNS, 1964
B-3
The additional depreciation is limited
to property with a remaining useful life
of 6 years or more and which was not ac-
quired from a person (other than a
brother or sister) whose relationship to
the taxpayer would result in the dis-
allowance of losses. Normal deprecia-
tion may also be taken on the cost of
the asset reduced by the first-year
depreciation.
The additional first-year depreciation
for the year should be entered in total
on the line provided in the depreciation
schedule and is not to be included on the
line used to show the regular deprecia-
tion of an asset.
Part V
RETIREMENT INCOME CREDIT
You may qualify for this credit which
is generally 17 percent of retirement in-
come if you received earned income in
excess of $600 in each of any 10 calen-
dar years — not necessarily consecutive —
before the beginning of your taxable
year.
The term "earned income" means
wages, salaries, or professional fees, etc.,
received as compensation for personal
services actually rendered. It does not
include any amount received as an an-
nuity or pension. If you were engaged
in a trade or business in which both per-
sonal services and capital were material
income-producing factors, a reasonable
allowance as compensation for the per-
sonal services rendered by you, not in
excess of 30 percent of your share of the
net profits of such business, shall be con-
sidered as earned income.
If you are a surviving widow (wid-
ower) and have not remarried, you may
use the earned income of your deceased
husband (wife), or you may combine
such income with your earned income,
for the purpose of determining whether
you qualify. If a husband and wife
both qualify and each has retirement
income, each is entitled to the credit.
Retirement income for the purpose of
the credit means —
(a) In the case of an individual who
is not 65 before the end of his taxable
year, only that income received from
pensions and annuities under a public
retirement system (one established by
the Federal Government, a State,
county, city, etc.) which is included in
income in his return.
(b) In the case of an individual who
is 65 or over before the end of his tax-
able year, income from pensions, annui-
ties, interest, rents, and dividends
which are included in gross income in
his return. (Gross income from rents
for this purpose means gross receipts
from rents without reduction for de-
preciation or any other expenses. Roy-
alties are not considered rents for this
purpose. )
Except as provided in the "Alterna-
tive computation" set forth below, the
amount of the retirement income used
for the credit computation may not ex-
ceed $1,524 reduced by:
(a) any amount received and ex-
cluded from income as a pension or an-
nuity under the Social Security Act and
Railroad Retirement Acts and other
tax-exempt pensions or annuities. This
reduction does nqt include ( 1 ) that part
of a pension or annuity which is ex-
cluded from income because it repre-
sents, in effect, a return of capital or
tax-free proceeds of a like nature, or (2)
amounts excluded from income received
as compensation for injury or sickness
or under accident or health plans; and
(b) certain adjustments for earned
income.
Alternative computation: The maxi-
mum amount of retirement income to be
used in figuring the credit for retirement
income has been increased from $1,524
to $2,286 for taxpayers who file joint re-
turns (both 65 years of age or over) but
who are presently limited to $1,524 be-
cause either the husband or wife did not
have earned income in excess of $600 in
each of any 10 prior calendar years.
If you meet these requirements also
complete the Alternative Computation
to determine which computation results
in the larger credit.
CUT ALONG THIS LINE
Other Infernal Revenue publicatiom containing helpful tax information . . .
They will be available on or about December I and may be obtained from your District Director or by mailing this order blank
to the Superintendent of Documents, Washington, D.C., 20402.
[— lYOUR FEDERAL INCOME TAX, 1965 Edition. Issued each year to
'help taxpayers in preparing their income tax returns, this useful
booklet contains more detailed information than the instructions which
accompany Form 1040. 160 pages, with illustrations.
Catalog No. T 22.44:965 50 cents per copy
rnTAX GUIDE FOR SMALL BUSINESS. 1965 Edition. Published an-
' — ' nually, this tax guide answers, in plain layman's language, the Fed-
eral tax questions of Corporations, Partnerships, and Sole Proprietor-
ships. 160 pages with illustrations.
Catalog No. T 22.19/2:Sm 1/965 50 cents per copy
To: Supt. of Documents
Govt. Printing Office
Washington, D.C. 20402
ORDER FORM
Enclosed find $ Please send me the publications I ha
checked above.
Street address -
Postal ZIP code
J.S. GOVERNMENT PRINTING OFFICE
DIVISION OF PUBLIC DOCUMENTS
WASHINGTON, D.C. 20402
OFFICIAL BUSINESS
RETURN AFTER 5 DAYS
Name
Street address .
City, State, and Postal ZIP code .
Fill in both parts, enclose check or money order and mail in envelope.
170
FACSIMILES OF TAX RETURNS, 1964
SCHEDULE C
(Form 1040)
PROFIT (OR LOSS) FROM BUSINESS OR PROFESSION
(Sole Proprietorships)
(Compute social security self-employment tax on Schedule C-3 (Form 1040))
1964
Attach this schedule to your income tax return. Form 1040
Name and address as shown on page 1, Form 1040
Partnerships, joint ventures, etc., must file on Form 1065
A. Principal business activity ; product
(See separate instructions) (For example: retail— hard' --.--.---.- .-i
B. Business name ..-.
D. Business location .
(Number and street or rural route
Indicate method of accounting; CH cash; □
holesale— tobacco; services— legal; manufacturing— Jurnitur<
C. Employer Identification Number
(cTty'or'posioftice)" (State)
n other.
Gross receipts or gross sales $ Less: Returns and allowanc es $-
Inventory at beginning of year (If different than lost year's closing inventory
attach explanation)
Merchandise purchased $ , less cost of any items
withdrawn from business for personal use $
Cost of labor (do not include salary paid to yourself)
Material and supplies
Other costs (explain in Schedule C-1)
Total of lines 2 through 6
Inventory at end of this year
Cost of goods sold (line 7 less line 8)
Gross profit (subtract line 9 from line 1)
OTHER BUSINESS DEDUCTIONS
Depreciation (explain in Schedule C-2)
Taxes on business and business property (explain in Schedule C-1)
Rent on business property
Repairs (explain in Schedule C- 1 )
Salaries and wages not included on line 4 (exclude any paid to yourself) ....
Insurance
Legal and professional fees
Commissions
Amortization (attach statement)
Retirement plans, etc. (other than your share — see instructions)
Interest on business indebtedness
Bad debts arising from sales or services
Losses of business property (attach statement)
Depletion of mines, oil and gas wells, timber, etc. (attach schedule) . .
Other business expenses (explain in Schedule C-1)
Total of lines 1 1 through 25
Net profit (or loss) (subtract line 26 from line 10). Enter here; on line
Part II, page 2, Form 1040 •
, Schedule C-3; and on line 5,
SCHEDULE C-1. EXPLANATION OF LINES 6, 12, 14, AND 25 ^^
Line No.
Explanation
Amount
Line No.
Explanation
Amount ^^A
$.._
$_
FACSIMILES OF TAX RETURNS. 1964
171
Schedule C (Form 1040) 1964
Page 2
SCHEDULE C-2. EXPLANATION OF DEDUCTION FOR DEPRECIATION CLAIMED ON LINE 11
This schedule is designed for taxpayers using the alternative guidelines and administrative procedures described in Revenue Procedure
62-21 OS well as for those taxpayers who wish to continue using procedures authorized prior to the revenue procedure. Where double
headings appear use the first heading for the new procedure and the second heading for the older procedure.
1. Group and guidehnfi class
Description of property
2, Cost or other basis
_a,beg.n,ng^.>,ear_
Cost or ottier
basis
3. Asset additions in
Date acquired
4. Asset retirements
5. Depreciation
allowed or allowable
in prior years
6. Metliod
ot
computing
depreciation
7^.ss^e
Rale (%)
8. Depreciation for
"
2. Totals
3. Less- Amount of depreciation claimed elsewhere in Schedule C
4. Balance — Enter here and on line 11, page 1
5. Cost or other basis of fully depreciated assets still
INVENTORY QUESTIONS
1. Was inventory valued at — Cost D; lower of cost or market Q; other Q- If other, attach explanation.
2. Hove write-downs been made to inventory? Yes Q No D- If "Yes," were the write-downs computed on the
basis of:
(a) □ Percentage reductions from parts of the inventory
(b) n Percentage reductions from the total inventory
(c) n Valuation of individual items.
If "a" or "b" is checked, enter the percentage of write-downs %. For "a," "b,"
or "c" enter the dollar amount of write-downs $
(If not available, estimate and indicate that the figure is an estimate.)
3. Was the inventory verified by physical count during the year?
Yes n No D- If "No," attach explanation of how the closing inventory was determined.
4. Was there any substantial change in the manner of determining quantities, costs or valuations between the
opening and closing inventories? Yes Q No Q- II "Yes," attach explanation.
NOTE: If a direct answer cannot be given to a question, attach explanation.
EXPENSE ACCOUNT INFORMATION
Enter information with regard to yourself and
your five highest paid employees. In determin-
ing the five highest paid employees, expense
account allowances must be added to their sal-
aries and wages. However, the information
need not be submitted for any employee for
whom the combined amount is less than $10,000,
or for yourself if your expense account allow-
ance plus line 27, page 1, is less than $10,000.
See separate instructions for Schedule C, for
definition of "expense account."
Did you claim a deduction for expenses connected with: (If answer to any question is "YES," check applicable
boxes within that question.)
Name
Expense account
salaries and Wages
Owner
xxxxxxxxxxxxxx
1
2
3
5
G.
A hunting lodge D, working ranch or farm Q. fish-
ing camp D- resort property D, pleasure boat or
yacht D- or other similar facility D? (Other than
where the operation of the facility was your princi-
pal business.) D YES D NO
Vacations for you or members of your family, or
employees or members of their families? (Other
than vacation pay reported on Form W-2.)
DYES QNO
The leasing, renting, or ownership of a hotel room
or suite Q. apartment D. or other dwelling □,
which was used by you, your customers, employees,
or members of their families? (Other than use by
yourself or employees while in business travel
status.) n YES □ NO
The attendance of members of your family or your
employees' families at conventions or business
meetings? D YES Q NO ,6-783C4-.
172
FACSIMILES OF TAX RETURNS, 1964
SCHEDULE C-3
(Form 1040)
U.S. Trea.'iury Dcparliiicl
COMPUTATION OF SOCIAL SECURITY SELF-EMPLOYMENT TAX
Attach this schedule to your income tax return, Form 1040.
See instructions on page 2.
1964
P- If you had wages of $4,800 or more which were subject to social security taxes, do not fill in this page.
^ Complete only one Schedule C-3; if you had more than one business, combine profits (or losses) from all of your
businesses on this Schedule.
^ Each self-employed person must file a separate schedule.
NAME AND ADDRESS (as shown on page 1
NAME OF SELF-EMPLOYED PERSON (as shown i
Social Security
I. Net proiit (or loss) shown on line 27 Schedule C (Form 1040) (Enter combined
amount if more than one business)
2. Add to net profit (or subtract from net loss) losses of business property shown on line
23, Schedule C
3. Total (or difference)
4. Net income (or loss) from excluded services or sources included on line 3
Specify excluded services or sources -- -- - ---
5. Net earnings (or loss) from self-employment —
(a) From business (line 3 less any amount on line 4)
(b) From partnerships, joint ventures, etc. (other than farming)
(c) From service as a minister, member of a religious order, or a Christian Science practitioner. Enter only
if you have filed or are filing Forrrt 203 1
(d) From farming reported on line 2 (or line 3 if option used), separate Schedule F-1 (Form 1040)
(e) From service with a foreign government or international organization
6. Total net earnings (or loss) from self-employment reported on line 5. Enter here and in item F below
(If line 6 is under $400, you are not subject to self-employment tax. Do not fill in rest of page.)
7. The largest amount of combined wages and self-employment earnings subject to social
security tax is
8. Total wages, covered by social security, paid to you during the taxable year. (For
"Covered" wages see "F.l.C.A. Wages" box on Form W-2.) Enter here and in
item G, below
9. Balance (line 7 less li:ie 8)
10. Self -employment income— line 6 or 9, whichever is smaller. Enter here and in item H, below
11. Self-employment tax— If line 10 is $4,800, enter $259.20; if less, multiply the amount on line 10 by 5.4%.
Enter this amount here and on line 1 5, page 1 , Form 1040
Do not detach
Important.— The amounts reported on the form below are for your social security account. This account is used in
figuring any benefits, based on your earnings, payable to you, your dependents, and your survivors. Fill in each
item accurately and completely.
SCHEDULE SE (Form 1040)
U.S. Treasuiy Department
Internal Revenue Service
U.S. REPORT OF SELF-EMPLOYMENT INCOME
For crediting to your social security account
1964
Indicate year covered by this return (even though income was received only in pari ol year) ;
a Calendar year 1964 D: or other taxable year beginning 1964, ending
■ 11 less than 12 months, was short year due to (a) D Death, or (b) Q Change in accounting period,
or (o) D Other.
PLEASE DO NOT WRITE IN THIS SPACE
BUSINESS ACTIVITIES SUBIECT TO SELF-EMPLOYMENT TAX (Grocery store, restaurant, etc.)
B.
BUSINESS ADDRESS (number and street, city or post ollice. State, Postal ZIP code)
c.
„ SOCIAL SECURITY ACCOUNT NUMBER ^^
"• OF PERSON NAMED IN ITEM E BELOW ^^
r.fR^5^M\1^E°r
$
E.
PRINT OR TYPE NAME OF SELF-EMPLOYED PERSON AS SHOWN ON SOCIAL SECURITY CARD
R
PRINT OR TYPE HOME ADDRESS (number and street or rural route)
ENTER AMOUNT
G. FROM LINE 8, IF ANY
i
(City or post oHice. Stale, and postal ZIP code)
ENTER AMOUNT
H.1 FROM LINE 10 ^
u
16-78364-
GF
o
FACSIMILES OF TAX RETURNS, 1964
173
INSTRUCTIONS FOR SOCIAL SECURITY SELF-EMPLOYMENT TAX
Page 2
In general, every individual deriving self-employment income
during the taxable year from a trade or business carried on by him
or from a partnership of which he is a member is subject to the self-
employment tax. This computation is made on lines 1 through 1 1 .
This tax must be paid regardless of age and even though the
individual is receiving social security benefits.
Ministers, members of religious orders, and Christian
Science practitioners. — Duly ordained, commissioned, or licensed
ministers of churches, members of religious orders (who have not
taken a vow of poverty), and Christian Science practitioners are
not automatically covered by the Social Security Act, but may
elect to be covered by filing Form 2031. Copies are available in
the office of any district director of Internal Revenue. The instruc-
tions on the form set out the provisions of the law which permit
these forms under certain conditions to be filed to cover ministers,
and others mentioned above. Do not delay filing your income tax
return beyond the due date even though you have not obtained a
Form 2031. In such case, complete this Schedule, file it with
Form 1040, and then hie Form 2031 as promptly as possible to
make your election.
Ministers and members of religious orders who desire coverage
shall in addition to their other items of income include for the pur-
pose of determining net earnings from self-employment (but not for
income tax purposes) the rental value of a parsonage or allowance
for the rental value of the parsonage, and the value of meals and
lodging furnished them for the convenience of their employers.
U.S. citizens employed by foreign governments or inter-
national organizations. — A U.S. citizen employed in the United
States, Puerto Rico, Guam, .'\merican Samoa, or the Virgin Islands
by a foreign government, an ins'rumentality wholly owned by a
foreign government, or an international organization which is
organized under the International Organizations Immunities Act,
is subject to the social security self-employment tax. These em-
ployees should report their income from such employment on line
5(e), of this Schedule, compute their self-employment tax, and file
the schedule with their Form 1040. In item B of Schedule SE, enter
"Employee of foreign government, etc."
Farm income. — Farmers report farm income and net earnings
from farm self-employment on separate Schedules F and F-1
(Form 1040).
EXCLUSIONS
Income (or loss) from the following sources and deductions attrib-
utable thereto are not taken into account in figuring net earnings
from self-employment. Use line 4 to exclude any such amounts
reported on separate Schedule C (Form 1040) that should not be
taken into account in figuring your self-employment income.
Doctors of medicine. — Income from the performance of service
as a doctor of medicine or income from the performance of such
service by a partnership.
Christian Science practitioners. — Income from the performance
of service as a Christian Science practitioner, unless such Chris-
tian Science practitioner elects by filing Form 2031 to be covered
by the Social Security Act, as explained above.
Religious services. — Income from the performance of service
by a duly ordained, commissioned, or licensed minister of a church
in the exercise of his ministry or by a member of a religious order
in the exercise of duties required by such order, unless such minister
or member of a religious order elects by hling Form 2031 to be
covered by the Social Security Act, as explained above.
Employees and public officials. — Income (fees, salaries, etc.)
from the performance of service as:
(a) a public official, including a notary public;
(b) an employee or employee representative under the railroad
retirement system; or
(c) an employee (except as indicated above).
Note. — The income of an employee over the age of 18 from
the sale of newspapers or magazines to an ultimate consumer
is subject to the self-employment tax if the income consists of
retained profits from such sales.
Real estate rentals. — Rentals from real estate, except rentals
received in the course of a trade or business as a real estate dealer.
This includes cash and crop shares received from a tenant or
sharefarmer. These amounts should be reported in Part- II, Sched-
ule B (Form 1040). However, rental income from a farm is not ex-
cluded if the rental arrangement provides for material participation
by the landlord and he does participate materially in the production
or in the management of the production of one or more farm products
on his land. Such income represents farm earnings and should
be reported on separate Schedules F and F-1.
Payments for the use or occupancy of rooms or other space where
services are also rendered to the occupant, such as rooms in hotels,
boarding houses, apartment houses furnishing hotel services, tourist
camps, or homes, or space in parking lots, warehouses, or storage
garages do not constitute rentals from real estate and are included
in determining net earnings from self-employment on this Schedule.
Interest and dividends. — Dividends on shares of stock, and
interest on bonds, debentures, notes, certificates, or other evidences
of indebtedness, issued with interest coupons or in registered form
by a corporation, or by a government or political subdivision thereof,
unless received in the course of a trade or business as a dealer in
stocks or securities. These amounts should be reported in Part II,
page 2, Form 1040.
Property gains and losses. — Gain or loss: (a) from the sale or
exchange of a capital asset; (b) to which sections 631 and 1231
are applicable; or (c) from the sale, exchange, involuntary con-
version, or other disposition of property if such property is neither
(1) stock in trade or other property of a kind which would properly
be includable in inventory if on hand at the close of the taxable
year, nor (2) property held primarily for sale to customers in the
ordinary course of the trade or business. These amounts should be
reported on separate Schedule D (Form 1040).
Net operating losses. — No deduction for net operating losses of
other years shall be allowed in determining the net earnings from
self-employment. Such deduction should be entered on line 8,
Part II, page 2, Form 1 040.
No deductions for personal exemptions. — The deductions for
personal exemptions are not allowable in determining net earnings
from self-employment.
MORE THAN ONE TRADE OR BUSINESS
If an individual is engaged in more than one trade or business,
his net earnings from self -employment are the combined net earn-
ings from self-employment of all his trades or businesses. Thus, the
loss sustained in one trade or business will operate to reduce the
income derived from another trade or business. An individual shall
fill in and file only one Schedule C-3, including Schedule SE, for
any one year.
JOINT RETURNS
Where husband and wife file a joint income tax return, Schedule
C-3 (Form 1040) should show the name of the one with self-
employment income. Where husband and wife each have self-
employment income, separate Schedules C and C-3 must be
attached for each. In such cases the total of amounts shown on
line 27 of each separate Schedule C should be entered on line 5,
Part II, page 2, Form 1040, and the aggregate self-employment tax
(line 1 1) Schedule C-3 should be entered on line 15, page I, Form
1040.
COMMUNITY INCOME
For the purpose of computing net earnings from self-employment,
if any of the income from a trade or business is community income,
all the income from such trade or business is considered the income
of the husband unless the wife exercises substantially all the man-
agement and control of the trade or business, in which case all of
such income is considered the income of the wife. (Also see instruc-
tions on partnerships below.)
If separate income tax returns are filed by husband and wife,
Schedules C and C-3 should be attached to the return of the one
with self-employment income. Community income included on
Schedule C must be allocated between the two returns (on line 5,
Part II. page 2, Form 1040) on the basis of the community property laws.
PARTNERSHIPS
In computing his combined net earnings from self-employment, a
partner should include his entire share of such earnings from a
partnership including any guaranteed payments. No part of that
share may be allocated to the partner's wife (or husband) even
though the income may, under State law, be community income. In
the case of a husband and wife partnership, like other partnerships,
the distributive share of each should be entered in Part III, Sched-
ule B (Form 1040), for income tax purposes. For self-employment
tax purposes the distributive share of each partner should be entered
on line 5(b), of this Schedule (except that farm partnership earnings
are to be reported on line 1(b), Schedule F-1 (Form 1040) rather
than on line 5(b) of this schedule).
No'e. — If a member of a continuing partnership dies, a portion of
the deceased partner's distributive share of the partnership's ordi-
nary income (or loss) for the taxable year of the partnership in
which he died must be included in the partner's net earnings from
self-employment. In such cases consult your nearest Internal Rev-
enue Service office as to how to report.
SCHEDULE SE (Form 1040)
Schedule SE, which is the lower portion of this Schedule, pro-
vides the Social Security Administration with the information on
self employment income necessary for computing benefits.
■To assure proper credit to your account, be sure to enter your
name and social security account number on Schedule SE (Form
1040) exactly as they are shown on your social security card. If
you do not have a social security account number, you must get
one. These account numbers are obtainable from any social secu-
rity district office. Your local post office will give you the address.
Do not delay filing your return beyond the due date.
Regardless of whether joint or separate returns are filed by
husband and wife, Schedule SE (Form 1040) must show only
the name of the one with the self-employment income.
However, if both had self-employment income, a separate
Schedule SE must be filed by each.
174
FACSIMILES OF TAX RETURNS, 1964
SCHEDULE D
(Form 1040)
U.S. Treasury Department— Internal Revenue Cervice
GAINS AND LOSSES FROM SALES OR EXCHANGES OF PROPERTY
Attach this schedule to your income tax return, Form 1040
1964
Name and address as shown on page 1 of Form 1040
Part I— CAPITAL ASSETS
Short-term capital gains and losses — assets held not more than 6 months
a. Kind of properly and how acquired
(i( necessary, attach statement of descriptive
details not shown below)
b. Date acquired
(mo., day, yr.)
c. Date sold
(mo., day, yr.)
d. Gross sales price
e. Depreciation
allowed (or
allowable) since
acquisition
(attach schedule)
f. Cost or other basis,
cost of subseouent
improvements (if not
purchased, attach
explanation) and
expense of sale
g. Gain or loss
(d plus e less f)
1. _ _
2. Enter your share of net short-term gain (or loss) from partnership
4. Net short-term gain (or loss) from line
si, 2, and 3
Long-temn capital gains and losses — assets held more than 6 montlis
S. Enter gain from line 3, Part II
Total
long-term gross
sales price. .
6. Enter tha full amount of your shore of net long-term gain (or loss)
from nnrtnershlna
and fiduciaries
8. Net long-term gain (or loss) from lines 5, 6, and 7 •
9. Combine the amounts shown on lines 4 and 8, and enter the net gain (or loss) he
10a. I£ line 9 shows a GAIN— Enter 50% of line 8 or 50% of line 9, whichever is
smaller. (Enter zero if there is a
tax)
IV
11. I£ line 9 shows a LOSS— Enter here and on line 1, Part IV the smallest of the following: (a) the amount on line 9;
(b) the amount on line 11 b, page 1 of Form 1 040 computed without regard to capital gains and losses; or (c) $ 1 ,000 . •
Port II— GAIN FROM DISPOSITION OF DEPRECIABLE PROPERTY UNDER
SECTIONS 1245 AND 1250— assets held more than 6 months
Where double headings appear, use the first heading for section 1245 and the second heading for section 1250.
a. Kind of property and how acquired (if necessary, attach
statement of descriptive details not shown below)
b. Dale acquired
(mo., day. yr.)
c. Date sold
(mo., day, yr.)
d. Gross sales price
e. Cost or other basis, cost of
subsequent improvements (if
not purchased, attach expla-
nation) and expense of sale
1.
1
f. Depreciation allowed (or allowable) since acquisition
(attach schedule)
(e,efss^urfV..^rn'd%.2)
h. Total gain
(d less g)
1. Ordinary gain
(lesseroff-2oth)
OR
(see instructions)
j. Other gain
f-1. Prior to January 1, 1962
Prior to January 1, 1964
f-2. After December 31, 1961
After December 31, 1953
2, Part IV «
3. Total other gain. E
is combined with oth
nter here and on line 5,
er gains and losses from
Part I; however, if the gains do not exceed the
section 1231 property enter the total of colun
n
sses when this amount
J on line 1, Part III..
FACSIMILES OF TAX RETURNS, 1964
175
Schedule D (Form 1040) 1964
Page 2
Part III— PROPERTY OTHER THAN CAPITAL ASSETS
a. Kind ol properly and how acquired
(i( necessary, aitach statement of descriptive
details not stiown below)
b. Date acquired
(mo., day, yr.)
c. Date sold
(mo., day, yr.)
d. Gross sales price
e. Depreciation
allowed (or
allowable) since
acquisition
(attach schedule)
f. Cost or other basis,
cost of subsequent
improvements (if not
purchased, attach
explanation) and
expense of sale
t- Gain or loss
(d plus e less ()
1. Enter gain from line 3, Part II
3. Net gain for loss) from lines 1 and 2.
Enter here a
ad on line 3, Part IV
Part IV— TOTAL GAINS OR LOSSES FROM SALE OR EXCHANGE OF PROPERTY
1. Net gain (or loss) from either line 10b or 11, Part I.
2. Total ordinary gain from line 2, Part II
3. Net gain (or loss) from line 3, Part III
4. Total net gain (or loss), combine lines 1, 2, and 3.
Enter here and on line 6, page 2, Part II, Form 1040
COMPUTATION OF ALTERNATIVE TAX
It will usually be to your advantage to use the alternative tax if the net long-term capital gain exceeds the net short-term capital loss, or ii there
is a net long-term capital gain only, and you are hUng (a) a separate return with taxable income exceeding $20,000, or (b) a joint return, or as
a surviving husband or wife, with taxable income exceeding $40,000, or (c) as a head of household with taxable income exceeding $32,000.
1. Enter the amount from line 1 1 d, page 1 , Form 1 040 ,
2. Enter amount from line 10a, Part I on reverse side
3> Subtract line 2 from line 1 ,
4. Enter tax on amount on line 3 (use applicable tax rate schedule on page 10 of Form 1040 instructions)
5. Enter 50% of line 2
6. Alternative tax (add lines 4 and 5). It smaller than the tax figured on the amount on line lid, page 1 of Form
1040, enter this alternative tax on line 12, page 1, Form 1040 and write "Alterna'ive" to left of entry
INSTRUCTIONS— (References
GAINS AND LOSSES FROM SALES OR EXCHANGES OF
PROPERTY. — Report details in appropriate part or parts.
In column (a) of Parts I, II, and III, use the following symbols to
indicate how the property was acquired: "A" for purchase on the
open market; "B" for exercise of stock option or through employee
stock purchase plan; "C" for inheritance or gift; "D" for exchange
involving carryover of prior asset basis; and "E" for other.
"Capital assets" defined. — The term "capital assets" means
property held by the taxpayer (whether or not connected with his
trade or business) but does NOT include —
(a) stock in trade or other property of a kind properly includible in
his inventory if on hand at the close of the taxable year;
(b) property held by the taxpayer primarily for sale to customers
in the ordinary course of his txado or business;
(c) property used in the trade or business of a character which is
subject to the allov/ance for depreciation provided in section 1 67;
(d) real property used in the trade or business of the taxpayer;
(e) certain government obligations issued on or after March 1 , 1 94 1 ,
at a discount, payable without interest and maturing at a fixed
date not exceeding one year from date of issue;
(f) certain copyrights, literary, musical, or artistic compositions, etc.;
or
(g) accounts and notes receivable acquired in the ordinary course
ot trade or business for services rendered or from the sale of
property referred to in (a) or (b) above.
Special rules apply to dealers in securities for determining capital
gain or ordinary loss on the sale or exchange of securities. Certain
real property subdivided for sale may be treated as capital assets.
Sections 1236 and 1237.
If the total distributions to which an employee is entitled under
an employees' pension, bonus, or profit-sharing trust plan, which is
exempt from tax under section 501(a), are paid to the employee in
one taxable year, on account of the employee's separation from
service, the aggregate amount of such distribution, to the extent it
exceeds the amounts contributed by the employee, shall be treated
as a long-term capital gain. (See section 402(a).)
Gain on sale of depreciable property between husband and wife
or between a shareholder and a "controlled corporation" shall be
treated as ordinary gain.
Gains and losses from transactions described in section 1231
(seo below) shall be treated as gains and losses from the sale or
exchange of capital assets held for more than 6 months if the total
070—16—78366-1 U.S. OOVEBNMEia PBINTINO OFFICE
to the Internal Revenue Code)
of these gains exceeds the total ot these losses. U the total of these
gains doe£ net exceed the total of these losses, such gains and losses
shall not be treated as gains and losses from the sale or exchange
of capital assets. Thus, in the event of a net gain, all these trans-
actions should be entered in Part I of Schedule D. In the event o'
a net loss, all these transactions should be entered in Part III oi
Schedule D, or in other applicable schedules on Form 1040.
Section 1231 deals with gains and losses arising from —
(a) sale, exchange, or involuntary conversion, of land (including
in certain cases unharvested crops sold with the land) and de-
preciable property if they are used in the trade or business and
held for more than 6 months,
(b) sale, e:-:change, or involuntary conversion of livestock held fo:
draft, breeding, or dairy purposes (but not including poultry)
and held for 1 year or more.
(c) the cutting of timber or the disposal of timber, coal, or domestic
iron ore, to which section 631 applies, and
(d) the involuntary conversion of capital assets held more tlian 6
months.
See sections 1231 and 631 for specific conditions applicable.
Gains from section 1245 or 12S0 property held more than 6
nionths (Part II). — (Report .iny gain from such property
held for 6 months or less in Part III.) Except as provided
below section 1 245 property means depreciable (a) personal property
(other than livestock) including intangible personal property;
(b) tangible real property (except for buildings and their structural
components) if used as an integral part of manufacturing, produc-
tion, or extraction, or of furnishing transportation, communications,
electrical energy, gas, v/ater, or sewage disposal services, or used
as a research or storage facility in connection with these activities;
and (c) elevators or escalators.
Except as provided below section 1 250 property means depreciable
real property (otlier than section 1245 property).
See sections 1245(b) and 12S0(d) for exceptions and limita-
tions involving; (a) disposition by gift; (b) transfers at death
(c) certain tax-free transactions; (d) like kind exchanges, invo:
untary conversior.s; (e) sales or exchanges to effectuate FCC pol
icies and exchanges to comply with S.E.C. orders; (f) property dis-
tributed by a partnership to a partner; and (g) disposition oi
principal residence (section 1250 only).
Column f of Part II. — In computing depreciation allowed or
allowable for elevators or escalators, enter in column f-1 deprecia
(Instructions continued on reverse side of duplicotej
176
Schedule D (Form 1040) 1964
FACSIMILES OF TAX RETURNS, 1964
Part III— PROPERTY OTHER THAN CAPITAL ASSETS
a. Kind of properly and how acquired
(if necessary, attacli statement of descriptive
details not stiown below)
b. Date acquired
(mo., day. yr.)
c. Date sold
(mo..day.yr.)
d. Gross sales price
e. Depreciation
allowed (or
allowable) since
acquisition
(attach schedule)
f. Cost or other basis,
cost ot subsequent
improvements (if not
purchased, attach
explanation) and
expense of sale
g. Gam or loss
(d plus e less 1)
3. Net gain (or loss) from lines 1 and 2
. Enter here and on line 3,
Part IV
Part IV— TOTAL GAINS OR LOSSES FROM SALE OR EXCHANGE OF PROPERTY
1. Net gain (or loss) from either line 10b or 1 1, Part I.
2. Total ordinary gain from line 2, Part 11
3. Net gam (or loss) from line 3. Part 111
4. Total net gain (or loss), combine lines 1, 2, and 3.
Enter here and on line 6, page 2, Part II, Form 1040.
COMPUTATION OF ALTERNATIVE TAX
It will usually be to your advantage to use the alternative tax if the net long-term capital gain exceeds the net short-term capital loss, or if there
is a net long-term capital gain only, and you are faling (a) a separate return with taxable income exceeding $20,000, or (b) a joint return, or as a
surviving husband or vnie, with taxable income exceeding $40,000, or (c) as a head of household virith taxable income exceeding $32,000.
1. Enter the amount from line lid, page 1, Form 1040
2. Enter amount from line 10a, Part I on reverse side. .
3. Subtract line 2 from line 1
4. Enter tax on amount on line 3 (use applicable tax rate schedule on page 10 of Form 1040 instructions)
5. Enter 50% of line 2
6. Alternative tax (add lines 4 and 5). If smaller than the tax figured on the amount on line lid, page 1 of Form
1040, enter this alternative tax on line 12, page 1, Form 1040 and write "Alternative" to left of entry
INSTRUCTIONS (Continued
tion prior to luly 1, 1963, and in column f-2 depreciation after
June 30, 1963.
Column i o£ Part 11, section 1250 property only. — If held for
more than 6 months, but not more than 1 year, enter the smaller of
(1) column h, or
(2) column f-2.
If held for more than 1 year, enter the result of multiplying the
smaller of
(1) column h, or
(2) column f-2 less the amount of depreciation computed for
the same period using the straight line method,
by the percentage obtained by subtracting from 100%, one per-
centage point for each full month the property was held in excess
of 20 months. Where substantial improvements have been made
within the preceding 10 years, see section 1250(f).
Basis. — In determining gain or loss use cost, except as specially
provided. The basis of property acquired by gift after December
31, 1920, is the cost or other basis to the donor in the event of gain,
but, in the event of loss, it is the lower ot either such donor's basis
or the fair market value on date of gift. If a gift tax was paid
with respect to property received by gift, see section 1015(d). Gen-
erally, the basis of property acquired by inheritance is the fair
market value at the date of death. For special cases involving prop-
erty acquired from a decedent, see section 1014.
Installment sales. — ^If you sold personal property for more than
$1,000 or real property regardless of amount, you may be eligible
to report any gain under the installment plan if (1) there is no pay-
ment in the year of sale, or (2) the payments in the year of sale do
not exceed 30 percent of the selling price. The election must be
made in the year of sale even though no payment was received in
that year. Contact any Internal Revenue Service office for more
complete information. See section 453.
For treatment of a portion of payments as "unstated interest"
on deferred payment sales, see section 483.
Sale of personal residence. — Tax on a portion or all of the gain
from the sale ot your principal residence may be deferred if:
(a) within 1 year after (or before) the sale, you purchase an-
other residence and use it as your principal residence; or
(b) within 1 year after (or before) the sale, you begin con-
struction of a new residence and use it as your principal
residence not later than 18 months after the sale.
from reverse side of original)
If you sold property for $20,000 or less on or after your 65ih
birthday which was owned and used by you as your principal res-
idence for at least 5 of the last 8 years any gain on the sale need
not be included in income. If the property was sold for more than
$20,000 part of the gain must be taken into income.
Contact your nearest Internal Revenue Service office for full de-
tails or to obtain Form 2119 which may be used to report the sale
or exchange or to figure your new basis.
Nonbusiness debts. — If a debt, such as a personal loan, becomes
totally worthless within the taxable year, the loss resuUing therefrom
shall be considered a loss from the sale or exchange, during the
taxable year, of a capital asset held for not more than 6 months.
Enter such loss in column (g) and describe in column (a). Part I. This
does not apply to: (a) a debt evidenced by a corporate security with
interest coupons or in registered form and (b) a debt acquired in
your trade or business.
Limitation on allowable capital losses. — If line 9, Part I,
shows a net loss, the loss shall be allowed as a deduction, only to the
extent of the smaller of (1) line 1 lb (or line 9 if tax table is used),
page 1, Form 1040 computed without capital gains (losses), or (2)
$1,000. The excess of such allowable loss over the lesser of items
(1) and (2) above is called "capital loss carryover." Any such
carryover loss may be carried forward indefinitely. Short-term
losses and long-term losses are to be carried over by category. In
computing the carryover, short-term losses must be considered first.
Losses in transactions between certain persons. — No deduc-
tion is allowable for losses from sales or exchanges of property
directly or indirectly between (a) members of a family, (b) a cor-
poration and an individual (or a fiduciary) owning more than 50
percent of the corporation's stock (liquidations excepted), (c) a
grantor and fiduciary of any trust, (d) a fiduciary and a benehciary
of the same trust, (e) a fiduciary and a fiduciary or beneficiary of
another trust created by the same grantor, or (f) an individual and
a tax-exempt organization controlled by the individual or his
family. Partners and partnerships see section 707(b).
Long-term capital gains from regulated investment com-
panies. — Include in income as a long-term capital gain the amount
you are notified on Form 2439 which constitutes your share of the
undistributed capital gains of a regulated investment company.
You are entitled to a credit of 25 percent of this amount which should
be included with the amount claimed on line 1 7a, page 1 , Form 1 040.
The remaining 75 percent should be added to the basis of your stock.
FACSIMILBS OF TAX RETURNS. 1964
177
SCHEDULE F
(Form 1040)
SCHEDULE OF FARM INCOME AND EXPENSES
(Compute social security self-employment tat on Schedule F-1 (Form 1040))
Attach this schedule to your income tax return. Fonn 1040
1964
Name and address as shown on Fo
Business name and address
Location oi farm(s) and number of acres in each farm .
FARM INCO ME F OR TAXABLE YEAR-CAS H REC EIPTS AKD PISBPRSEMEMTS METHOD
PARTI. Repoit receipts liom sale o( livestock held piimonly for snie in II ' '^
purposes; repLi
SALES OF MARKET LIVESTOCK AND PRODUCE RAISED AND HEiD PRIMARILY FOR SALE
OTHER FARM INCOME
Kind
Quantity
1. Amount
Kind
Quantity
2. Amount
Items
3. Amount
Cattle
$
Eggs
s
Mdse. rec'd for produce
$ — - - -
Sheep
Poultry, dressed. .
Breeding fees
Wool
Wood and lumber
Poultry
Honey. .. .
Bees
Sirup and sugar.
Other (specify):
Patronage dividends, rebates
Hay
Agricultural program pay-
Cotton
Tobacco
Other (specify):
Vegetables
Fruits and nuts .
Dairy products.
Total of c
olumns 1
2, and 3. Ent
sr here and on line
1 of Part IV below
$
SALES OF PURCHASED LIVESTOCK AND OTHER ITEMS PURCHASED FOR RESALE
a. Descnption
b. Date acquired
c. Amount received
d. Cost or ollrer basis
e. Profit (or loss)
$
$
Totals (enter amount from column e, on line 2 of Part IV below) . . .
|ilil|i$
$
$
PART m. FARM EXPENSES FOR TAXABLE YEAIt (tee i i^tractZotu)
(Do not include personal or living expenses or exoenses nol iilributable lo production oi farm income, sucN as Uxes, insur.inre, rep.iiis. etc.. on your
....... D
Items
1. Amount
Items
2. Amount
Items
?.. ,» mount
Labor hired
$
Veterinary, medicine. . .
Gasoline, fuel, oil
5— -..-
Retirement plans, etc.
(other than your share-
See instructions)
$
Taxes
Seed, plants purchased .
Fertilizers, lime
Utilifies
Machine hire
Supplies purchased
7 r::::;:::::::::::::::;;;;
Conservation expenses,
lere and on line 4 of Par
"""'^i!
Total of columns I, 2, and 3. Enter \
(accrual method)
IV below (cash method) or line 6, Part VII
$
PARfnT SOMMARY OF INCOME AND DEDDCTIONS-CASH RECEIPTS AND DISBORSEMENTS METHOD
1. Sale of livestock and produce raised
$ -
4. rarm expenses (from Part III)
$
2. Profit (or loss) on sale of purchased live-
stock and other purchased items
3. Gross profits*
S. Other farm deductions (specify):
$
7. Total deductions
$
8. Net farm profit (or loss) (subtract line 7 from line 3). Enter here and on line 7, Part II, page 2, Form 1040.
Make your computation of self-employment income and the self-employment tax on Schedule F-1
$
!thod of computing r
1 self-employment. (See line 3. Schedule F-1 (Fonn 1040))
178
FACSIMILES OF TAX RETURNS, 1964
Page 2
Schedule F (Form 1040) J 964 _
PART V. DEPRECIATION <see iiutractions) (Do not include property you and your family occupy as a dwelling, its furnishings, and other items used for personal purposes)
This schedule is designed for taxpayers using the alternative guidelines and adrninistrotive procedures described in Revenue Procedure
62-21 as weU as for those taxpayers who wish to continue using procedures authorized prior to the revenue procedure. Where double
headings appear use the first heading for the new procedure and the second heading for the older procedure.
1. Group and guideline class
2. Cost or other basis
at beginning ol year
3. Asset additions
in year (amount)
4. Asset retirements
in year (aniounl)
(applicable only to
Re». Proc. 62-21)
5. Deprecation
allowed or allowable
ir. prior years
6. Method
Compulins
Depreciation
7. Class
- OR -
Rate ^%)
or lite
8. Depreciation lor
Description of property
Cost or other basis
Date acquired
, , , ■ ,■ /I ^ ■ 1 1 • -t 1 '
Total cost or other basis..
2. Total depreciation (enter
3. Cost or other basis of full
on line 5 of Part
f depreciated ass
V (cash method) or line 7, Part VII (accrual method)) . .
■I
1 1
PART VI. FARM INCOME FOR TAXABIE YEAR-ACCRUAL METHOD
(Do not include sales of livestock held for draft, breeding, or dairy purposes: report such sales on Schedule D (Form 1040), and omit t
cm from 'On harid at beginning
of year" column)
Description
(Kind ot livestock, crops,
or other products)
On hind at beginning ol year
Purchased during year
Raised
during year
Consumed or
lost duiing
year
Sjld durinj year
On hand at end of year
Quantity
Inventory value
Quantity
Amount paid
Quantity
Quantity
Quantity
Amount leceived
Quantity
Inventory value
$
$
$...
$
Totals (enter her
Part VII belov
e and in
$
(Enter on line 3)
$ _,
$ .--
(Enteron line 1(b))
$
(Enter online 4)
(Enter on line 1(a))
SUMMARY OF INCOME AND DEDUCTIONS— ACCRUAL METHOD
1(a). Inventory of livestock, crops, and products at end of year.
(b). Sales of livestock, crops, end products during year
(c). Other farm income (specify):
Total of line 1 (c)
2. Total
3. Inventory of livestock, crops, and prod-
ucts at beginning of year
4. Cost of livestock and products purchased
during year
5. Gross profits (subtract the sum of lines 3 and 4 from line 2)*
6. Farm expenses(fromPart ill) $,
7 . DepreciaUon (from Part V) . . I . ^ .
8. Other farm deductions |
(specify):
Total cf line 8
9. Total deductions $
10. Net farm profit (or loss) (subtract line 9 from line 5). Enter here and on hne 7, Part II, page 2, Form 1040.
Make your computation of self-employment income ond the self-employment tax on Schedule F-1 . . . . ... $
- optional method oi computir
1 self-employment. (See line 3, Schedule F-1 (Form 1040))
FACSIMILES OF TAX RETURNS, 1964
SCHEDULE F-1
(Form 1040)
COMPUTATION OF SOCIAL SECURITY SELF-EMPLOYMENT TAX
ON FARM EARNINGS (For social security)
Attach this schedule to your income tax return, Form 1040
(See instructions — page 2)
1964
► If you had wages of $4,800 or more which were subject to social security taxes, do not fill in this page.
► Each self-employed person must file a separate schedule. See instructions, page 2, for joint returns and partnerships.
^ If you had net earnings from self-employment from both farm and nonfarm sources, fill in only lines 1 and 2 (line 3, if applicable), and
use separate Schedule C-3 to compute your self-employment tax. Net farm earnings from self-employment should be entered on
line 5(d) of separate Schedule C-3 (Form 1040). _^___
NAME AND ADDRESS (as shov.'n on page 1, Form 1040)
NAME or SELF-EMPLOYED PERSON (as shown on Social security card)
Social Security Number
CHOICE OF METHODS.— A farmer must report his net farm earnings for self-employment tax purposes. Net earnings may be com-
puted under the optional method (line 3, below) by a farmer (1) v.-hose GROSS profits are $1,800 or less, or (2) whose GROSS profits
are more than $1,800 and NET prohts are less than $1,200. If your GROSS profits from farming are not more than $1,800 and
you elect to use the optional method, you need not complete lines 1 and 2.
Computation Under Regular Method
1. Net farm profit (or loss) from:
(a) Line 8, page 1, Schedule F (cash method), or line 10, page 2 (accrual method)
(b) Farm partnerships
2. Net earnings from self-employment from farming. Add lines 1 (a) and (b)
Computation Under Optional Method
3. If gross profits from farming are;* (a) Not more than $1,800, enter tvv'o-thirds of the gross profits.
(b) More than $1,800 and the net farm profit is less than $1,200, enter $1,200
If line 2 (or line 3, if you choose the optional method) is under $400, do not fill in rest of page.
Computation of Social Security Self-Employment Tax
4. The largest amount of combined wages and self-employment earnings subject to
social security tax is
5. Total wages, covered by social security, paid to you during the taxable year. (For
"Covered" wages see "F.I.C.A. Wages" box on Form W-2.) Enter here and in
item G of Schedule SE below
6. Balance (line 4 less line 5)
7. Self-employment income. Enter here and in item H of Schedule SE below your choice of EITHER:
(a) REGULAR METHOD.— The smaller of line 2 or 6
(b) OPTIONAL METHOD.— The smaller of line 3 or 6 [i^-
8. Self-employment tax— if line 7 is $4,800, enter $259.20; if less, multiply the amount on line 7 by 5.4?J. j
Enter this amount here and on line 15, page 1, Form 1040 j $
Do not detach
Importont. — The amounts reported on the form belov/ are tor your social security account. This accou.nt is used in figuring
any benefits, based on your earnings, payable to you, your dependents, and your survivors. Fill in each item
accurately and completely.
SCHEDULE SE (Form 1040)
U.S. Treasury Depaitment
Internal Revenoe Service
U.S. REPORT OF SELF-EMPLOYMENT INCOME
For crediting to your social security account
1964
Indicate year covered by this return (even Iho
_ Calender year 1964 □ or other taxable year
"■ H less than 12 months, was short year dueto (a
(c) D Other.
Death, or (b) D Change in accour
FARM ACTIVITIES SUBIECT TO SELF-EMPLOYMENT TAX (Ea
FARM ADDRESS (n
nd Postal ZIP code)
SOCIAL SECURITY ACCOUNT
D. NUMBER OF PERSON NAMED
IN ITEM E BELOW
PLEASE DO NOT WRITE IM THIS SPACE
.D
PRINT OR TYPE NAME OF SELF-EMPLOYED PERSON AS SHOWN ON SOCIAL SECURITY CARD
ENTER AMOUNT FROM
P. LINE 2 (LINE 3
IF OPTION USED) ... $
PRINT OR TYPE HOME ADDRESS (number and street, or rural route)
ENTER AMOUNT
G. FROM LINE 5,
IF ANY
(City or town. Slate and postal ZIP code)
ENTER AMOUNT
H.FROM
LINE 7 $
180
f'ACSIMILES OF TAX RETURNS, 1964
Page, 2
SOCIAL SECURITY SELF-EMPLOYMENT TAX INSTRUCTIONS
Individuals deriving income from farming operations are
subject to self-employment tax. See page 1 of this form for ccni-
putation of earnings from self-employment and self-employment
tax. This tax must be paid regardless of age and even though
the individual is receiving social security benefits.
Optional method for computing net earnings from self-
employment from farming. — If a farmer's gross profits for
theyear from farming are not more than $1,800, he may report
two-thirds of his gross farm income instead of his actual net
earnings from farming. If his gross profits from farm self-employ-
ment are more than $1,800 and his actual net earnings from
farming are less than $1,200, he may report $1,200. For the
purpose of the optional method, a partner should compute his
share of gross profits from a farm partnership in accordance
with the partnership agreement. In the case of guaranteed
payments, his share of the partnership's gross profits is his guar-
anteed payments plus his share of the gross profits after such
gross profits are reduced by all guaranteed payments of the
partnership.
SHARE-FARMING ARRANGEMENTS
An individual who undertakes to produce a crop or livestock
on land belonging to another for a proportionate share of the
crop or livestock produced, or the proceeds thereof, is con-
sidered to be an independent contractor and a self-employed
person rather than an employee. His net earnings should be
reported on Schedules F and F-1 (Form 1040) for income tax and
self-emploiTnent tax purposes.
Farm rentals. — Rental income from a farm counts for social
security purposes if the arrangement provides for material
participation by the landlord and he does participate materially
in the production of the crop or livestock or in the management
of the production of one or more farm products. Such rental
income is farm earnings and should be reported on page 1 or 2
of Schedule F. "Material participation" means the taking of
an important part in the actual production or in the making of
management decisions. If there was no material participation,
report such rental income in Part 11 of Schedule B (Form 1040).
MORE THAN ONE TRADE OR BUSINESS
If on individual is engaged in farming and in one or more
other trades or businesses, his net earnings from self -employment
are the combined net earnings from self-employment of all his
trades or businesses. Thus, the loss sustained in one trade or
business will operate to reduce the income derived from another
trade or business. In such cases, use both Schedule F (Form
1040) and Schedule C (Form 1040) to determine net profit from
the farm and nonfarm activities, respectively. Make the com-
bined computation of self-employment tax on page 1 of Sched-
ule C-3 (Form 1040). Fill in Schedule F-1 (Form 1040) through
line 3.
JOINT RETURNS
Where husband and wife file a joint income tax return,
page 1 of this Schedule should show the name of the one with
self-employment income from farming. Where husband and
wife each had self -employment income, a separate Schedule F-1,
or a separate Schedule C-3, whichever is appropriate, must be
filed by each. However, the total of the amounts shown as
profit (or loss) from all businesses should, for income tax pur-
poses, be reported on line 5 or 7, Part II, page 2, Form 1 040,
and the combined self-employment tax should be entered on line
15, page 1, Form 1040.
COMMUNITY INCOME
For the purpose of computing net earnings from self-employ-
ment (but not for income tax), if any of the income from farming
is community income, all the income from such farm operations
is considered the income of the husband unless the wife exercises
substantially all the management and control of the operation,
in which case all of such income is considered the income of
the wife. (Also see instructions on partnerships v/hich follow.)
If separate income tax returns are filed by husband and
wife. Schedules F and F-1 or Schedules C and C-3, whichever
are appropriate, must be attached to the return of the one with
self-employment income. Community income included on such a
schedule must, however, be allocated, for income tax purposes
between the two returns (on line 5 or line 7, Part II, page 2, Form
1040) on the basis of the community property laws.
PARTNERSHIPS
In computing his combined net earnings from self -employment,
a partner should include his entire share of such earnings from
a partnership including any guaranteed payments. No part of
that share may be allocated to the partner's wife (or husband)
even though the income may, under State law, be comm.unity
income. However, in the case of a husband and wife farm
partnership, like other partnerships, the distributive share of
each must be entered as partnership income in Part III of Sched-
ule B for income tax purposes, and on line 1(b), page 1, of
separate Schedule F-I for self-employment tax purposes. (Use
separate Schedule C-3, to report nonfarm incom.e for social
security purposes.)
Note: If a member of a continuing partnership dies, a por-
tion of the deceased partner's distributive share of the partner-
ship's ordinary income (or loss) for the taxable year of the
partnership in which he died must be included in the partner's
net earnings from self-employment. In such cases consult your
nearest Internal Revenue Service office as to how to report.
EXCLUSIONS FROM SELF-EMPLOYMENT
In determining the amount of net farm earnings from self-
employment the following items should be excluded:
Real estate rentals. — Rentals from real estate, including any
personal property that is leased with the land. This includes rent-
als received in cash or crop shares. These amounts should be re-
ported in Part II of Schedule B. See, however, "Farm Rentals"
under "Share-Farming Arrangements" on this page.
Property gains and losses. — Gains and losses from the sale,
exchange, or involuntary conversion of capital assets and
other property which is not held primarily for sale to customers.
These amounts should be reported on separate Schedule D
(Form 1040).
Net operating losses. — In determining the net earnings
from self-employment, no deduction for net operating losses of
other years shall be allowed. Such deduction should be entered
on line 8, Part II, page 2, Form 1040.
Other items.— Any other item of income or expense which
was included in line 2 and v/hich does not enter into the com-
putation of net farm earnings from self-employment should be
eliminated from line 2 and an explanation attached.
SCHEDULE SE (FORM 1040)
Schedule SE, which is the lower portion of page 1 of Sched-
ule F-1, provides the Social Security Adm.inistration with the in-
formation on self-employment income necessary for com.puting
benefits under the social security program.
To assure proper credit to your account, enter your name
and social security account number on Schedule SE (Form 1040)
exactly as they are shown on your social security card. If you
do not have a social security account number, you must get one.
These account numbers are obtainable from any Social Security
district office. Your local post office will give you the address.
Do not delay filing your return beyond its due date.
Regardless of whether joint or separate returns are filed
by husband and wife, Schedule SE (Form 1040) must
show only the name of the one with self-employment
income. However, if both had self-employment income,
a separate Schedule SE must be filed by each.
•ftliU.S.GOUERNMENT PHIMI.NG OFFICE: I9«-0-725-517
FACSIMILES OF TAX RETURNS, 1964
181
U.S. Treasury Department— Internal Revenue Service
INSTRUCTIONS FOR SCHEDULE F (FORM 1040)
1964
The term "farm" does not include the cultivating or operating of a form tor recreation or pleasure,
the result of which is a continual loss from year to year.
CASH RECEIPTS AND DISBURSEMENTS METHOD
A farmer using the cash receipts and disbursements method shall
include in his income for the taxable year (1) the amount of cash and
the value of merchandise or other property received from the sale of
livestock and produce v/hich were raised during the taxable year or
prior years, (2) the profits received from the sale of any livestock and
other items which were purchased, and (3) income received from all
other sources. Farm expenses will be the actual amounts paid out
during the taxable year plus deductions such as depreciation, etc.
ACCRUAL METHOD
For a farmer using an accrual method, the gross profits are obtained
as indicated in summary of income and deductions on page 2 of
Schedule F. Farm expenses will be the actual expenses incurred
during the year, whether paid or not.
Farmers who compute income on an accrual method and use inven-
tories may value their inventories according to the "farm-price
method," in addition to other methods, which provides for the valua-
tion of inventories at market price less direct cost of disposition.
Farmers raising livestock may value their inventories of animals
according to either the "farm-price method" or the "unit-livestock-
price method."
INCOME
All farm income from whatever source must be reported in Schedule
F or in Schedule D (Form 1040). Anything of value received instead
of cash, such as groceries received in exchange for produce, must
be treated as income to the extent of its market value. The value of
farm produce consumed by the farmer and his family need not be
reported as income, but expenses incurred in raising such produce
must not be claimed as deductions. Recoveries from insurance on
growing crops should be included. If you rent all or a part of your
crop land on a crop share basis, report the crop shares received as
rental income only for the year in which they are reduced to money,
or its equivalent. If you received rental income from the operation
of a farm and did not materially participate in its operation, report
the income in Port II of Schedule B (Form 1040).
If a farmer pledges commodities as security for a loan from the
Commodity Credit Corporation, income is not considered received
until the pledged commodities are sold. However, a farmer may elect
to include in income amounts received during the year as loans from
the Corporation. If he does so elect he should file with his return a
statement showing details of such loans, and he must continue to
report similar loans as income until he receives permission from the
Commissioner to change his method of accounting.
Patronage dividends received from cooperatives in cash, qualified
written notices of allocation, or other property (to the extent of fair
market value), are to be included in farm income.
Patronage dividends received in the form of nonqualified written
notices of allocation are not to be included in income at the time of
receipt. However, amounts received at the time of redemption, sale,
or other disposition must be reported as income.
Dividends received on purchases of capital assets or depreciable
property used in farming are not included in income, but the pur-
chase price of such items must be reduced accordingly. Dividends
you receive on nonbusiness purchases are not included in income.
Report sales, exchanges, or involuntary conversions of capital
assets and other property in separate Schedule D (Form 1040).
EXPENSES AND OTHER DEDUCTIONS
In general, a farmer is entitled to deduct from gross income as
necessary expenses all amounts actually expended in carrying on
the business of farming, except those which represent capital invest-
ment. Some of these expenses are:
Labor hired. — Amounts paid for regular farm labor, piecework,
contract labor, and other forms of hired labor. Do not deduct the
value of your own labor or that of your wife or family. Only that
part of the board which is purchased for hired labor should be de-
ducted. The value of products furnished by the farm and used in
the board of hired labor is not deductible. However, the cost of
rations purchased for laborers or sharecroppers is deductible. Do
not deduct amounts paid to persons engaged in household work
except to the extent that the services of such persons are used in
boarding and otherwise caring for farm laborers.
Repairs and maintenance. — Amounts expended for repairs
and maintenance of farm buildings (except your dwelling), fences,
drains, and other farm improvements, and for repairs and main-
tenance of farm machinery and equipment; cost of ordinary tools of
short life or small cost such as shovels, rakes, etc. Amounts paid for
replacements of, or additions to, farm machinery, farm buildings, or
other farm equipment of a permanent nature are not deductible.
Utilities. — The farm share of the expenditures for water rent,
electricity, telephone, etc. Do not deduct personal expenses.
us, GOVERNMENT PRINTING (
Fertilizers and lime. — These and similar materials may be either
capitalized or deducted as an expense.
Supplies purchased. — Cost of twine, spray materials, poisons,
disinfectants, cans, barrels, baskets, egg cases, bags, etc.
Taxes. — State and local taxes. Do not deduct Federal income
taxes; estate, inheritance, legacy, succession, and gift taxes; nor
taxes assessed for any improvement or betterment. Do not deduct
taxes on your dwelling or household property and other taxes not
related to the business of farming.
Insurance. — Cost of all insurance on farm buildings (except your
dwelling) and on improvements, equipment, crops, and livestock.
Rent of farm, part of farm, or pasture. — Rent paid in cash.
A tenant farmer paying rent to his landlord in the form of crops raised
on the farm (under a crop share agreement) may not deduct as rent
the value of the crop given to the landlord, but the tenant may deduct
all amounts paid by him in raising the crop.
Conservation expenses. — ^You may deduct certain expenditures
made by you (including any amount paid on any assessment levied
by a soil or water conservation or drainage district to defray expendi-
tures made by such district) for soil or water conservation and the
prevention of erosion if such expenditures are in respect of land used
by you in your business of farming.
The allowable deduction for any one year may not exceed 25 per-
cent of your gross income from farming, but any excess may be carried
over to succeeding years with the same Umit applying to those years.
To claim a deduction for these expenditures you must (a) elect to
do so for the first taxable year for which such expenditures are paid
by claiming such deduction on your return; or, (b) secure consent
from the District Director of Internal Revenue for any other year.
Once you have elected to do so, you must continue to treat such
expenditures as deductions in all future taxable years unless you
secure consent from the District Director to change.
Retirement plans, etc. (other than your share). — Enter deduc-
tion for contributions to or under a pension, profit sharing, annuity,
or bond purchase plan, and compensation under a deferred pay-
ment plan for your employees on the line provided in column 3, Port
III. If the plan includes you as a self-employed individual, enter
your share on line 4, Part III, page 2, Form 1040 and attach Form
2950SE. For other plans attach Form 2950 (optional in the first
year — see instructions for that form).
Automobile Expenses, Special Rule. — See page 7 of the Form
1040 Instructions for optional method of computing deductible auto-
mobile expenses.
Other farm expenses. — Include such items as advertising, station-
ery, stamps, account books, other office supplies, travel, and similar
farm expenses.
You may deduct expenditures in clearing land to make it suitable for
farming. This deduction is limited to 25% of taxable income from
farming, or $5,000 whichever is lesser.
Depreciation. — Allowance for depreciation of buildings, improve-
ments, machinery, or other farm equipment of a permanent nature.
Similar assets may be grouped together as one item for reporting
purposes in the depreciation schedule on Schedule F. In computing
depreciation do not include the value of farm land or land on which
farm buildings are located. Do not claim depreciation on livestock
or any other property included in your inventory. Depreciation,
however, may be claimed on livestock acquired for work, breeding,
or dairy purposes which are not included in your inventory of livestock
purchased or raised for sale. See instructions for Form 1040 for
methods of computing depreciation. The depreciation instructions
also discuss the alternative standards and procedures for use in de-
termining depreciation under Revenue Procedure 62-2 1 . While not
mandatory, the adoption of these procedures will, in most cases, prove
to be to the taxpayer's advantage.
Losses. — Losses of farm buildings, machinery, and other farm
property not included in your inventory, to the extent not compensated
by insurance or otherwise. Losses of property included in your
inventory are taken care of by the reduced amount of the inventory
at the end of the year. The total loss of a prospective crop by frost,
storm, flood, or fire is not deductible. When using the cash method,
the value of animals raised by you and lost by death is not deductible;
for animals purchased and lost by death, the cost less depreciation
allowed or allowable is deductible to the extent the loss is not com-
pensated by insurance or otherwise. Do not deduct personal losses.
Net operating loss deduction. — Any net operating loss deduction
should be entered on line 8, Part II, page 2, Form 1040. See instruc-
tions for Form 1040.
Additional information available. — More information and illus-
trative examples are contained in I.R.S. Publication No. 225, Farmer's
Tax Guide. This booklet may be obtained free of charge from your
county agricultural agent or any Internal Revenue Service Office.
; 1964— 0-725-548 c59— 16 — 78373-1
FACSIMILES OF TAX RETURNS, 1964
SCHEDULE G
(Form 1040)
INCOME AVERAGING
Attach this schedule to your
1964
Name (as shown on page 1 of your tax return)
PART I.— TAXABLE INCOME AND ADJUSTMENTS
(a) Computation
1964
' (b) 1st preceding base ] (c) 2d preceding base | (d) 3d preceding base (e) '
period year i period year period year
i 1963 I 1962
1. Taxable income (see instruction 1)..^^....
2. Income earned outside of tlie United States
or within U.S. possessions and excluded
under Sections 91 1 ond 931
3. Capital gain net income (from line 10a,
Schedule D, Form 1040, except 1960
which is line 9, Schedule D)
4. Net income from gifts, etc., received this
year or any base period year. (If S3,000
or less in 1964 do not enter in any year.). .
5. Net income from wagering and other
items described in instruction 5
6. Line 1 plus line 2, less lines 3, 4, and 5.
7. Adjusted taxable income or base period
income. Enter amount from line 6, or
"Zero" if line 6 is less than zero
PART II.— COMPUTATION OF AVERAGABLE INCOME
1 . Adjusted taxable income (line 7, column (a), Part I)
2. 33'/3% of the sum of line 7, columns (b), (c), (d), and (e). Part I
3. (a) 25';;, of the sum of line 3, columns (b), (c), (d), and (e). Part I. NOTE: If an .
zero appears in Iin3 6, Part I, see instruction 3(a) under Part II
(b) Amount from line 3, column (a), Part I
(c) If line 3(a) is more than line 3(b), enter difference — if not, make no entry
4 Averagable income (line 1 less lines 2 and 3(c))
COMPLETE THE REMAINING PARTS OF THIS FORM ONLY IF LINE 4 IS MORE THAN $3,000. IF $3,000 OR UNDER, YOU
DO NOT QUALIFY
PART III.— SEGMENTS OF INCOME UNDER AVERAGING
1. Amount from line 2, Part II....
2. Amount from line 3(a), Pait II.
3. 20',o of line 4, Part II
4. Sum of lines 4 and 5, column (a). Part I, less any income subject to a penalty under ;
line 5, Part I
ion 72(m)(5) which was included in |
5. Excess of line 3(b) over 3(a), Part II .
6. Total (sum of lines 1 through 5)
PART IV COMPUTATION OF TAX
1 . Tax on the amount on line 6, Part III
2. Sum of lines 1 , 2, and 3, Part 111 I...
3. Tax on amount on line 2 --
4. Sum of lines 1 and 2, Part III L
5. Tax on amount on line 4 I
6. Difference (line 3 less line 5) I
7. The amount on line 6 multiplied by 4
8. Total (add lines 1 and 7)
9. Tax on income subject to the penalty under section 72(m)(5) which was included in line 5, Part I
10. Tax (add lines 8 and 9). Enter here and, if you are not using the allernalive tax compulation in Part V,
page 1 , Form 1040 and write "From Schedule G" to left of entry
FACSIMILES OF TAX RETURNS, 1964
Pages
PART v.— COMPUTATION OF ALTERNATIVE TAX
2. Amount from line 5, Part IV
3. (a) Amount from line 2, Part II
(c) Sum of lines 3(a) and 3(b)
4. Tax on amount on line 3(c)
5. Difference (line 2 less line 4)
6. Amount from line 1 , Part IV
7. Sum of lines 1 , 2, 3, and 4, Part III
8. Tax on amount on line 7
9. Difference (line 6 less line 8)
10. Sum of lines 5 and 9
1 1 . Amount from line 3, column (a), Part 1
12. 50% of line 11
13. If line 10 is more than line 12, enter difference— otherwise alternative tax does not apply
14. Alternative tax (line 1 less line 13). Enter here and on line 12, page 1 , Form 1040 and write "From Schedule G" to left
Use this space for additional information, such as reconstruction of income computation, itemization of item 5, Part I, etc.
-78467-1
184
Page 3
FACSIMILES OF TAX RETURNS, 1964
General Instructions
This schedule must be attached to your Form 1040 to choose the benefits of income averaging. Only
individuals who are citizens or residents throughout 1964 are eligible for averaging. Corporations, estates
and trusts do not qualify.
The income averaging method of computing tax may be to your advantage if your income has increased
substantially this year. Under this method your 1964 income which exceeds by one-third the income of
your four prior years (1960-1963) is taxed, in effect, by averaging that excess over the five-year period
(1960-1964). Basically the taxable income for each year is the figure utilized. However, since capital
gains, wagering income, certain income from gifts, etc., are not subject to averaging, adjustments to the
taxable income, as it appears on Form 1040 for each year, are necessary.
WHO MAY FILE. — Generally, you may choose the provisions
of income averaging for 1964, by filing Schedule G with your
Form 1040 if you meet the requirements of (1) citizenship or
residence, and (2) support. On a joint return both husband
and wife must meet the requirements.
(1) Citizenship or residence requirement. — You must have
been a citizen or resident of the United States throughout
1964. A nonresident alien at any time during the five
taxable year period ending with 1964 is not eligible.
(2) Support requirement. — You must have furnished at least
50 percent of your own support from 1960 through 1963. In
a year in v/hich you were married it is only necessary that you
together with your wife provided at least 50 percent of the
support of both of you. For definition of support see line 5,
page 4, Form 1040 Instructions.
Exceptions. The support requirement is waived if —
(1) You were age 25 or more before the end of 1964 and you
were not a full-time student during at least any four of your
taxable years beginning after you have attained the age of
21. Thus, generally, if you are age 25 or over and have
been out of school for 4 years since age 21, you are eligible
for averaging. You are a student for a taxable year if during
5 calendar months of that year you were a full-time student
at an educational institution or were pursuing a full-time
course of institutional on-farm training under the supervision
of an accredited agent of an educational institution or of a
State or political subdivision of a State.
(2) More than 50 percent of your adjusted taxable income (line
7, column (a), Part 1) is attributable to work performed by you
in substantial part during two or more of the four taxable
years preceding 1964, or
(3) You file a joint return for 1964 and not more than 25 per-
cent of the aggregate adjusted gross income (line 9, page 1 ,
Form 1040) is attributable to you. Your husband (wife),
however, must meet the support requirement,
PROVISIONS INAPPLICABLE.— If you file Schedule G you
may not —
(1) Exclude from income any part of your earned income from
sources without the United States (see section 91 1 and Form
2555) and from sources within possessions of the United States
(see sections 931-934 and Form 1040E).
(2) Use the tax tables on pages 1 1 through 15 of the Form 1040
instructions. You may, however, use the standard deduction.
(3) Avail yourself of the limitation on tax under section 72(n)(2)
for income resulting from certain distributions from an em-
ployees' trust.
RECONSTRUCTION OF INCOME.— If ^ou (1) were single for
both 1 964 and the base period year in question, or (2) were married
to the same person for both 1964 and the base period year in
queshon and filed a joint return, no reconstruction for that year
is necessary.
Salary
Dividends
Adjusted Gross Income
Total of itemized deductions and personal exemptions.
Taxable Income (Separate Income and Deductions) . . .
If you (1) were not married to and did not file a joint return with
the same wife (husband) for every year after 1959, or (2) were not
single for all those years, you must reconstruct your income by
determining your separate income and deductions for any taxable
year. Your part of the allowable deductions (exemptions and
itemized deductions) not taken into account in arriving at ad-
justed gross income from a joint return, is the amount resulting
from multiplying the amount of such deductions on the joint return
by a fraction whose numerator is your separate adjusted gross
income and whose denominator is the aggregate adjusted gross
income on the joint return. See specific instruction 1, under Part
I, on adjusted gross income. However, if 85 percent or more of
the aggregate adjusted gross income of a husband and wife is at-
tributable to either one, all of the deductions are allowable to the
one to whom such income is attributable.
It may be necessary to make as many as three computations
in determining your separate base period income for any year.
If you had a different wife (husband) for 1964 than for the base
period year in question it is necessary to compute your base period
income under all three methods. However, whether more than
one computation is necessary in a particular case depends upon
the facts. In any event, your separate base period income for
any base period year is the largest of the amount computed
under the following three methods:
(1) The amount determined by adjusting your own income and
deductions for the base period year.
(2) One-half the amount determined by adjusting the combined in-
come and deductions for the base period year of your husband
(wife) and the person who is your wife (husband) in 1964.
(3) One-half the amount determined by adjusting the combined in-
come and deductions for the base period year of your husband
(wife) and your wife (husband) for that base period year.
In computing your separate base period income when com-
munity property laws are applicable there must be taken into
account all of the earned income attributable to the person who
earned it, without regard to the community property laws, or your
share of the community earned income under the community
property laws, whichever is greater.
If you must reconstruct your income for any of the base period
years, show the computation and give names under which the
returns were filed in the space provided on page 2. If additional
space is needed show your computation on an attachment. An
example illustrating the reconstruction of income follows:
H and W are calendar year taxpayers who were married and
otherwise eligible to choose the benefits of income averaging for
the taxable year 1964 for which they made a joint return. W,
however, was married to and made a joint return with A for the
taxable year 1960. H was unmarried for 1960. H and W
compute their base period income for 1960 in the following
manner:
& W (Joint Return)
A
W
H
$16,000
2,000
$11,500
500
$4,500
1,500
$3,000
1,000
$18,000
3,600
$12,000
2,400
$6,000
1,200 (1)
$4,000
1,600
$14,400
$9,600
$4,800
$2,400
1200
(1) 6000 (W's separate adjusted gross income) ^g^Q (Total of itemized deductions and personal
18000 (A & W's adjusted gross income from exemptions on A & W's joint return)
joint return)
Method No. 1 — W's separate income and deductions $4,800
Method No. 2 — W and H's combined income and deductions ($4,800 plus $2,400) X 50 percent $3,600
Method No. 3 — W and A's combined income and deductions from joint return, $14,400X50 percent $7,200
W's separate income and deductions is $7,200, the largest of the three methods. The combined separate income and deductions (or base
period income since there are no adjustments) of H and W for 1960 is $9,600 (H's base period income of $2,400 (unmarried in 1960)
plus W's base period income of $7,200).
FACSIMILES OF TAX RETURNS, 1964
185
Page 4
SPECIFIC INSTRUCTIONS
The following instructions
ore num
bered to correspond with the line numbers in each part of the form.
Parti
1. Except as noted below, enter
than zero) from —
(a) Form 1040 (1961-64) -
Form 1040 (1960)
(b) Form 1040W (1960) -
(c) Form 1040A (1964)
Form 1040 A (1960-63) -
on this line the amount (never less
line 1 Id, page 1
line 5, page 2
line 10, page 1
1- „ c „„„„ A f Tax Computation
me 5, page 4 Schedule Form
hne5,page3[ jo4o;^;^3t^^^ji„„3
For any year for which you use the tax tables with Form 1040,
Form 1040W, or Form 1040A, you may arrive at the amount to be
entered in line 1, by subtracting from your adjusted gross income
(see below) the standard deduction and $600 multiplied by the
number of exemptions. Adjusted gross income is —
(a) Form 1040 (1961-64)
Form 1040 (1960)
line 9, page 1
line 1 1 , page 1
(b) Form 1040W (1960) - line 6, page 1
(c) Form 1040A (1963-64) -
Form 1040A (1960-62)-
line 7, page 1
line 9, page 1
NOTE: If you were not married to and did not file a joint return
with the same wife (husband) for every year after 1959, or were
not single for all those years, it will bs necessary to reconstruct
the amount to be entered in columns (b), (c), (d), and (e) in
accordance with General Instruction C.
2. Enter on this line for each base period year the net amount of
income previously excluded from income because it was earned
income derived from sources without the United States or from
within its possessions (Sections 91 1 and 931-934). For 1964 you
may not exclude such amounts from gross income and they will
therefore be reflected in taxable :
3. If any amount entered in line 1, columns (b), (c), (d), and (e) is
a reconstructed amount then the capital gain net income for the
same year must be reconstructed using the same method that was
used for that year in line 1.
4. You must enter for all years certain amounts of income attributable
to interests in property which v/ere received, during 1964 or any
base period year (1960 through 1963), as a gift, bequest, devise,
or inheritance, but only if the amount of such net income for 1964
exceeds $3,000. (If the property was received prior to 1960 no
entry is required.) If you have an interest in more than one
piece of property, the income to be taken into account is the sum
of the incomes (losses) for the year from each piece of property.
If the adjustment is required for 1964 (because it exceeds $3,000),
then an entry for this item must be made for all the base period
years for income (disregard any net loss(es)) in those years attrib-
utable to gifts, etc., received during the base period even though
such income for any of these years does not exceed $3,000. Unless
you establish otherwise, the amount of net income attributable to
an interest in property is deemed to be 6 percent of the fair market
value of such interest on the date of its receipt.
The above rules do not, however, apply to income attributable
to gifts, bequests, devises, or inheritances between husband and
wife if they file a joint return for 1964 (including a joint return
filed by a survivor with his deceased wife (husband) for 1964), or
if one of them files a return as a surviving widow(er) for 1964.
5. Include income attributable to the following sources in the total
to be entered on this line (show itemization in space provided on
page 2):
(a) Wagering income. The amount which is attributable to the
excess of gains over losses from wagering transactions.
(b) Income from oil and gas properties. The amount received
from the sale of any oil or gas property to which section 632
applies.
(o) Claims against the United States. The amount received
from the United States to which section 1347 applies.
(d) Excess Community Income. If you are married, a resident of
a community property state, and file a separate return for
1964, you must include in this line the excess of the community
earned income reportable by you over the amount of such
income attributable to your services. No adjustment need
be made where the community earned income attributable to
your services exceeds 50 percent of the aggregate community
earned income. The following example illustrates this. —
Attributable to Service of
H W Total
Community Earned Income... $40,000 $20,000 $60,000
(1) H filing a separate return has no adjustment since the
amount of earned income attributable to his services
($40,000) exceeds 50 percent of the aggregate community
earned income ($30,000).
(2) W filing a separate return must include in the total for
this line $10,000, the excess of the community earned
income reportable by her ($30,000) over the amount of
community earned income attributable to her services
($20,000).
(e) Certain amounts received by owner-employees. The amount
of income resulting from a premature or excessive distribution
from a qualified employees' pension plan or trust to an
employee who is (or was) also an owner of the business. The
amount of such income is the amount subject to a penalty
under section 72 (m) (5).
Part II
3(a). Generally, the entry on this line is one-fourth of the sum of the
capital gain net income in line 3, columns (b), (c), (d), and (e).
Part I. However, capital gain net income for any base period
year may not exceed the base period income (line 7, columns
(b), (c), (d), and (e), Part I) for such year computed without re-
duction by the capital gain net income for such year. Line 6,
Part I, indicates whether the adjustment for any year is neces-
sary. If any of the amounts on line 6 in columns (b), (c), (d),
and (e) are less than zero, then for that year add lines 3 and 6.
If the resulting sum is less than zero your capital gain net in-
come for such year is zero. The following examples will illus-
trate this. —
Example (1)— Column (b), Pari I
Line 3 $100
Line 6 (670)
Capital gain net income for this year for purposes of com-
puting entry for line 3(a), Part II zero
Example (2)—
Line 3 $2000
Line 6 (1300)
Capital gain net income for this year for purposes of com-
puting entry for line 3(a), Port II $700
Parts IV and V
To figure your tax use the tax rale schedules on page 10 of the in-
struction booklet for Form 1040.
245-158 O ■ 67 -
FACSIMILES OF TAX RETURNS, 1964
2948
U.S. Treoaury Department — Internal Revenue Service
MEDICAL AND DENTAL EXPENSE STATEMENT
(Attach this statement to youi income tax return or use if as a guide to
prepare your own statement. See example on reverse side)
1964
This statement is for the use of taxpayers who are entitled to a larger deduction for medical and dental
expenses paid for the persons listed in Group I and who also have expenses for persons described in Group
II below. Taxpayers who have expenses for persons in Group I only or Group II only need not use this form
but should see the instructions for Form 1040. The medical and dental expenses of persons in Group I do not
have to be reduced by the 1 and 3 percent limitations of the taxpayer's total income (line 9, page 1, Form
1040) as is required for persons in Group II below.
GROUP I GROUP II
a. Taxpayer and wife if EITHER is 65 years of a. Taxpayer and wife if BOTH are under 65
age or older, years of age,
b. Each 65-year-old (or over) dependent parent b. Dependent parents, who are under 65 years
of the taxpayer or his wife. of age, of taxpayer or wife,
c. All other dependents regardless of age.
Note : Do not deduct any expenses for which you received reimbursement from insurance or other sources.
Name of taxpayer claiming the deduction
Name(s) of dependent parent(s) 65 years of age or over, if any
MEDICAL AND DENTAL EXPENSES FOR PERSONS IN GROUP I
1. Medicine and drugs $
2. Medical and dental expenses (other than medicine and drugs) .
3. Line 1 plus line 2 $
MEDICAL AND DENTAL EXPENSES FOR PERSONS IN GROUP II
4. Medicine and drugs $
5. 1% of line 9, page 1, Form 1040
6. Excess, if any, of line 4 over line 5
7. Medical and dental expenses (other than medicine and drugs) .
8. Line 6 plus line 7
9. 3% of line 9, page 1, Form 1040
10. Excess, if any, of line 8 over line 9
TOTAL INDUCTION FOR MEDICAL AND DENTAL EXPENSES
11. Line 3 plus line 10. Enter here and on line 5, Part IV, page 2 of Form 1040 (See
"Maximum Limitations" below) $
MAXIMUM LIMITATIONS
The amount on line 1 1 may not exceed $5,000 multiplied by the number of persons claimed as exemptions
on the individual income tax return. (If taxpayer or wife is 65 or over and in addition is disabled, see
"B.") The deduction is further limited by the following amounts:
(1) $10,000 if the taxpayer is single and not a head of household or a widow or widower entitled to
the special tax rates,
(2) $10,000 if the taxpayer is married but files a separate return,
(3) $20,000 if the taxpayer files a joint return, is a head of household, or is a widow or widower
entitled to the special tax rates.
If the taxpayer (or his wife) is 65 years of age or over and in addition is disabled, he may qualify for an
increased maximum limitation. For this purpose disabled means that any individual is unable to engage
in any substantial gainful activity by reason of any medically determinable physical or mental impair-
ment which can be expected to result in death or to be of long-continued and indefinite duration. For
further information, consult your nearest Internal Revenue Service office.
FACSIMILES OF TAX RETURNS, 1964
EXAMPLE FOR COMPLETING STATEMENT ON REVERSE SIDE.
A taxpayer with $10,000 total income (line 9, page 1, Form 1040) files a joint return with his wife. The tax-
payer is 67 years old, his wife is 64, and they have a dependent 20 years old. Taxpayer and his wife paid
$250 for medicine and drugs and $1,500 for medical and dental expenses for themselves. In addition, they
paid for the dependent $140 for medicine and drugs, and $100 for medical and dental expenses. The
taxpayer and his wife would both be in Group I. The statement should be completed as follows:
MEDICAL AND DENTAL EXPENSES FOR PERSONS IN GROUP I
1. Medicine and drugs $250.00
2. Medical and dental expenses (other than medicine and drugs) 1,500.00
3. Line 1 plus line 2 $1,750.00
MEDICAL AND DENTAL EXPENSES FOR PERSONS IN GROUP II
4. Medicine and drugs $140.00
5. 1% of line 9, page 1, Form 1040 100.00
6. Excess, if any, of line 4 over line 5 40.00
7. Medical and dental expenses (other than medicine and drugs) 100.00
8. Line 6 plus Una 7 140.00
9. 3% of line 9, page 1, Form 1040 300.00
10. Excess, if any, of line 8 over line 9 -0-
TOTAL DEDUCTION FOR MEDICAL AND DENTAL EXPENSES
11. Line 3 plus line 10 $1,750.00
Itemize below amounts paid for medical and dental expenses in 1964; show amount and to whom paid.
187
•d U.S. GOVERNMENT PRINTING OFFICE ; 196»— 0-737-775
SECTION 11
Index
Adjusted gross deficit, 11, 12, 124
Adjusted gross income less deficit, 2,9,
13,
Age 65 or over, 88, 89
Itemized deductions returns, 93
Standard deduction returns, 92
Alternative tax computation
returns, 69
Comulated distribution, 8
Definition, 121, 122, 124
Form 1040A returns, 30
Income averaging returns, 5
Itemized deductions returns, 10, 50
Joint and surviving spouse
returns, 16
Marginal tax rates, 74
Marital statuses, 11, 28, 29
Itemized deductions returns, 12,
56, 57
No adjusted gross income
returns, 12
Standard deduction returns, 11,
54, 55
Normal tax and surtax returns, 68
Regions, 95
Separate and single persons
returns, 19
Standard deduction returns, 10, 47
States, 96, 99-111
Ten-year trend, 1
Adjustments, 2, 14
Age 65 or over, 88, 90
Income averaging returns, 5
Itemized deductions returns, 51
Joint and surviving spouse
returns, 17
Separate and single persons
returns, 20
Standard deduction returns, 48
Age 65 or over, 27, 87-93, 122
Exemptions, 37
Itemized deductions, 93
Standard deduction, 92
Alternative tax computation, 32, 65, 66,
122
Retirement income credit, 94
Average income tax (dollars) (see also
Historical data)
Alternative tax computation
returns, 69
Cumulated, 8
Normal tax and surtax returns, 68
indness exemptions, 37
Bonds only requested, 15
Definitions, 128
Form 1040A returns, 30
Itemized deductions returns, 53
Joint and surviving spouse
returns, 18
Separate and single persons
returns, 21
Standard deduction returns, 49
Business or profession, 2, 9, 13
Age 65 or over, 88, 89
Definition, 123
Income averaging returns, 5
Itemized deductions returns, 50
Joint and surviving spouse
returns, 16
Marginal tax rates, 74
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Regions, 95
Separate and single persons
returns, 19
Size of source, 24
Standard deduction returns, 47
States, 96
Capital gain and loss, 31, 123
Cash requested, 15
Definition, 128
Form 1040A returns, 30
Itemized deductions returns, 53
Joint and surviving spouse returns, 18
Separate and single persons
returns, 21
Standard deduction returns, 49
Classifications and terms, 121-130
Comparability of data (See Revenue Act
of 1964)
Contributions deducted, 38, 51
Age 65 or over, 93
Definition, 123
Marginal tax rates, 75
Percent of adjusted gross income, 63
Credit on 1965 tax, 15
Age 65 or over, 91
Definition, 124
Income averaging returns, 6
Itemized deductions returns, 53
Joint and surviving spouse returns, 18
Separate and single persons
returns, 21
Standard deduction returns, 49
Cumulated distribution.
Dependents exemptions, 37
Description of the sample and limitations
of the data, 132-135
Dividends in adjusted gross income, 2 6
10, 14, 33 ' '
Age 65 or over, 88, 90
Definition, 124
Income averaging returns, 5
Itemized deductions returns, 50
Joint and surviving spouse returns, 17
Marginal tax rates, 74
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Regions, 95
Separate and single persons
returns, 20
Size of source, 22
Standard deduction returns, 48
States, 96
Dividends received, 6, 33
States, 97
Employee business expense
deduction, 2-4, 124
Exemptions, 14, 27
Age 65 or over, 90
Itemized deductions returns, 93
Standard deduction returns, 92
Alternative tax computation
returns, 69
Definition, 124
Form 1040A returns, 30
Income averaging returns, 5
Itemized deductions returns, 52
Joint and surviving spouse
returns, 17
Marginal tax rates, 75
Marital statuses, 28, 29
Itemized deductions
returns, 56, 57
Standard deductions, 54, 55
Normal tax and surtax returns, 68
Separate and single persons
returns, 20
Standard deduction returns, 48
States, 99-111
Explanation of classifications and
terms, 121-130
189
190
Farm, 2, 9, 13
Age 65 or over, 88, 89
[Definition, 125
Income averaging returns, 5
Itemized deductions returns, 50
Joint and surviving spouse returns, 16
Marginal tax rates, 74
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Regions, 95
Separate and single persons
returns, 19
Size of source, 26
Standard deduction returns, 47
States, 96
Filing requirements, 132
Foreign taxes paid tax credit, 15
Age 65 or over, 91
Itemized deductions returns, 93
Standard deduction returns, 92
Alternative tax computation
returns, 69
Definition, 129
Income averaging returns, 6
Itemized deductions returns, 52
Joint and surviving spouse returns, 18
Normal tax and surtax returns, 68
Separate and single persons
returns, 21
Standard deduction returns, 49
Form 1040A, 30
Forms and instructions, 139
General sales taxes deducted, 39, 40
H
Heads of household, 11, 12, 28, 121
Income tax generated, 73
Itemized deductions, 56
Marginal tax rates, 83
Minimum standard deduction, 46
Standard deduction, 54
Historical data, 1955-64, 113-120
Home mortgage interest deducted, 41, 42
I
Income averaging returns, 4-6, 66
Income tax after credits, 2, 15
Age 65 or over, 91
Itemized deductions returns, 93
Standard deduction returns, 92
Alternative tax computation
returns, 69
Cumulated distribution, 8
Definition, 125
Income averaging returns, 6
Itemized deductions returns, 52
Joint and surviving spouse
returns, 18
Marginal tax rates, 75
Income tax after credits- -Continued
Marital statuses, 28, 29
Itemized deductions returns, 56,
57
Standard deduction returns, 54,
55
Normal tax and surtax returns, 68
Separate and single persons
returns, 21
Standard deduction returns, 49
States, 97, 99-111
Income tax before credits, 14
Age 65 or over, 90
Itemized deductions returns, 93
Standard deduction returns, 92
Alternative tax computation
returns, 69
Definition, 125
Form 1040A returns, 30
Income averaging returns, 5
Itemized deductions returns, 52
Joint and surviving spouse
returns, 17
Normal tax and surtax returns, 68
Separate and single persons
returns, 20
Standard deduction returns, 48
Income tax generated, 66, 70
Heads of household, 73
Joint and surviving spouse, 71
Separate and single persons, 72
Interest paid deducted, 38, 51
Age 65 or over, 93
Definition, 125
Marginal tax rates, 75
Percent of adjusted gross income, 62
Interest received, 2, 10, 14
Age 65 or over, 88, 90
Definition, 125
Income averaging returns, 5
Itemized deductions returns, 51
Joint and surviving spouse
returns, 17
Marginal tax rates, 74
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Separate and single persons
returns, 20
Size of source, 24
Standard deduction returns, 48
States, 97
Investment tax credit, 14
Age 65 or over, 87, 90
Itemized deductions returns, 93
Standard deduction returns, 92
Alternative tax computation
returns, 69
Definition, 129
Income averaging returns, 5
Itemized deductions returns, 52
Joint and surviving spouse
returns, 17
Normal tax and surtax returns, 68
Separate and single persons
returns, 20
Standard deduction returns, 48
Itemized deductions, 10, 38, 50, 51
Age 65 or over, 87, 93
Alternative tax computation
returns, 69
Definitions, 121
Itemized deductions returns, 50
Marginal tax rates, 75
Marital statuses, II, 12, 56
Normal tax and surtax returns, t
Percent distribution, 58
Joint and surviving spouse returns, 16
Income tax generated, 71
Marginal tax rates, 79
Minimum standard deduction, 44
Joint returns of husbands and wives, 11
12, 28, 121
Itemized deductions, 56
Standard deduction, 54
States, 99-111
Map--Internal Regenue Regions and
Districts, 98
Marginal tax rates, 66, 74
Heads of household returns, 83
Joint and surviving spouse
returns, 79
Separate and single persons
returns, 81
Marital status of taxpayer, 121
Itemized deductions returns, 56
Standard deduction returns, 54
Medical expense deduction, 38, 39, 51
Age 65 or over , 93
Definition, 125
Marginal tax rates, 75
Percent of adjusted gross income, 60
Minimum standard deduction, 38, 43
Heads of household returns, 46
Joint and surviving spouse
returns, 44
Separate and single persons
returns, 45
Moving expense deductions, 2, 3, 124
N
No adjusted gross income returns, 121
Marital statuses, 11, 12
No taxable income, 14
Age 65 or over, 90
Itemized deductions returns, 93
Standard deduction returns, 92
Itemized deductions returns, 52
Joint and surviving spouse returns
returns, 17
Separate and single persons
returns, 20
Standard deduction returns, 48
Noncalendar year returns, 68, 131
Normal tax and surtax, 31, 68, 126
Number of returns (see also specific type
of returns or classification), 132
INDEX
191
Ordinary gain from sales of depreciable
property, 7, 9, 13
Age 65 or over, 89
Definition, 126
Income averaging returns, 5
Itemized deductions returns, 50
Joint and surviving spouse returns, 16
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Separate and single persons
returns, 19
Standard deduction returns, 47
Other areas, 121
Other deductions, 126
Other gain from sales of depreciable
property, 127
Other than age or blindness exemptions:
States, 99-111
Other sources of income and loss, 10, 14
Age 65 or over, 90
Definition, 127
Form 1040A returns, 30
Income averaging returns, 5
Itemized deductions returns, 51
Joint and surviving spouse returns, 17
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Separate and single persons
returns, 20
Standard deduction returns, 48
Other tax credits, 15
Age 65 or over, 91
Itemized deductions returns, 93
Standard deduction returns, 92
Alternative tax computation
returns, 69
Definition, 127
Income averaging returns, 6
Itemized deductions returns, 52
Joint and surviving spouse returns, 18
Normal tax and surtax returns, 68
Separate and single persons
returns, 21
Standard deduction returns, 49
Overpayment, 15, 34
Age 65 or over, 91
Definition, 127
Form 1040A returns, 30
Income averaging returns, 6
Itemized deductions returns, 53
Joint and surviving spouse returns, 18
Separate and single persons
returns, 21
Standard deduction returns, 49
Type of taxpayment, 34
Partnership, 2, 9, 13
Age 65 or over, 8
Definition, 127
Partnership- -Continued
Income averaging returns, 5
Itemized deductions returns, 50
Joint and surviving spouse returns, 16
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Regions, 95
Separate and single persons
returns, 19
Standard deduction returns, 47
States, 96
Payments on 1964 declaration, 15, 34
Age 65 or over, 91
Definition, 127
Income averaging returns, 6
Itemized deductions returns, 52
Joint and surviving spouse returns, 18
Separate and single persons
returns, 21
Standard deduction returns, 49
Pensions and annuities (taxable portion),
10, 14
Age 65 or over, 88, 90
Definition, 128
Income averaging returns, 5
Itemized deductions returns, 51
Joint and surviving spouse returns, 17
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Regions, 95
Separate and single persons
returns, 20
Standard deduction returns, 48
Percent distributions, 2
Age 65 or over, 88
Alternative tax computation, 69
Cumulated, 8
Itemized deductions, 38, 58-63
Taxes deducted, 39
Normal tax and surtax, 68
Regions, 95
Personal deductions (See Exemptions)
Personal property taxes deducted, 39-41
Real estate taxes deducted, 39, 40
Rents, 2, 10, 14
Age 65 or over, 88, 90
Definition, 126
Income averaging returns, 5
Itemized deductions returns, 51
Joint and surviving spouse returns, 17
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Separate and single persons
returns, 20
Standard deduction returns, 48
States, 97
Requirements for filing, 132, 137
Retirement income credit, 14, 94
Age 65 or over, 88, 90
Itemized deductions returns, 93
Standard deduction returns, 92
Alternative tax computation
returns, 69
Definition, 129
Income averaging returns, 5
Itemized deductions returns, 52
Joint and surviving spouse returns, 17
Normal tax and surtax returns, 68
Separate and single persons
returns, 20
Standard deduction returns, 48
Revenue Act of 1964
Dividends, 6
Medical expense deduction, 39
Minimum standard deduction, 37
Retirement income credit, 88
Sick pay exclusion, 3
Tax rates, 65
Taxes paid deduction, 39
Royalties, 2, 10, 14
Age 65 or over, 88, 90
Definition, 126
Income averaging returns, 5
Itemized deductions returns, 51
Joint and surviving spouse returns, 17
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Separate and single persons
returns, 20
Standard deduction returns, 48
States, 97
Salaries and wages (gross), 2, 9, 13
Age 65 or over, 88, 89
Definition, 128
Form 1040A returns, 30
Income averaging returns, 5
Itemized deductions returns, 50
Joint and surviving spouse returns, 1(
Marginal tax rates, 74
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Moving expense deduction returns, 2
Regions, 95
Separate and single persons
returns, 19
Size of source, 22
Standard deduction returns, 47
States, 96
Sales of capital assets, 2, 9, 13, 31
Age 65 or over, 88, 89
Income averaging returns, 5
Itemized deductions returns, 50
Joint and surviving spouse returns. If
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
192
Sales of capital assets--Continued
Regions, 95
Separate and single persons
returns, 19
Size of source, 26
Standard deduction returns, 47
States, 96
Sales of property other than capital
assets, 10, 13
Age 65 or over, 89
Definition, 126
Income averaging returns, 5
Itemized deductions returns, 50
Joint and surviving spouse returns, 16
Marital statuses, 11, 12
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
Separate and single persons
returns, 19
Standard deduction returns, 47
Self-employed pension deduction, 2,4, 128
Self-employed tax, 2, 15
Age 65 or over, 91
Itemized deductions returns, 93
Standard deduction returns, 92
Definition, 128
Income averaging returns, 6
Itemized deductions returns, 52
Joint and surviving spouse returns, 18
Separate and single persons
returns, 21
Standard deduction returns, 49
Separate returns and single persons
returns, 19
Income tax generated, 72
Marginal tax rates, 81
Minimum standard deduction, 45
Separate returns of husbands and
wives, 11, 12, 28, 121
Itemized deductions, 56
Standard deduction, 54
Sick pay exclusion, 2, 3, 128
Single persons not head of household
or surviving spouse returns, 11, 12,
29, 121
Itemized deductions, 57
Standard deduction, 55
Size of selected sources of income and
loss, 22-26, 121
Sources of data, 131
Sources of income and loss, 1, 9, 13
Age 65 or over, 89
Cumulated distribution, 8
Income averaging returns, 5, 6
Itemized deductions returns, 50
Joint and surviving spouse returns, 16
Marginal tax rates:
Joint and surviving spouse
returns, 16
Separate and single persons
returns, 19
Marital statuses, 11
Itemized deductions returns, 12
No adjusted gross income
returns, 12
Standard deduction returns, 11
INDEX
Sources of income and loss--Continued
Separate and single persons
returns, 19
Standard deduction returns, 47
Standard deduction returns, 10, 38, 47, 48
Age 65 or over, 87, 92
Alternative tax computation
returns, 69
Definition, 121, 129
Marginal tax rates, 75
Marital statuses, 11, 12, 54
Normal tax and surtax, 68
State and local gasoline taxes
deducted, 39-41
State data, 95-111, 121
Surviving spouse returns, 11, 12, 29, 121
Itemized deductions, 57
Standard deduction, 55
Synopsis of Laws, 137
State and local sales taxes deducted, 39,
40
Table contents, 1, 37, 65, 87, 95, 113,
131, 139
Tax base (See Taxable income)
Tax computation, 65
Tax credits, 14,15
Age 65 or over, 90
Itemized deductions returns, 93
Standard deduction returns, 92
Alternative tax computation
returns, 69
Income averaging returns, 5
Itemized deductions returns, 52
Joint and surviving spouse returns, 1
Normal tax and surtax returns, 68
Separate and single persons
returns, 20
Standard deduction returns, 48
Tax due at time of filing, 15, 34
Age 65 or over, 91
Definition, 129
Form 1040A returns, 30
Income averaging returns, 6
Itemized deductions returns, 53
Joint and surviving spouse returns, 1
Separate and single persons
returns, 21
Standard deduction returns, 49
Type of taxpayment, 34
Tax-exempt interest tax credit, 127
Tax from recomputed prior year invest-
ment credit, 15
Age 65 or over, 91
Definition, 130
Income averaging returns, 6
Itemized deductions, 52
Joint and surviving spouse returns, II
Separate and single persons
returns, 21
Standard deduction returns, 49
Tax paid at source tax credit, 127
Tax rates, 130
Illustration, 67
Tax rate classes, 122
Tax rate schedules, 122
Tax table returns, 132
Tax withheld, 15, 34
Age 65 or over, 91
Definition, 130
Form 1040A returns, 30
Income averaging returns, 6
Itemized deductions returns, 52
Joint and surviving spouse returns, 18
Separate and single persons
returns, 21
Standard deduction returns, 49
Taxable and nontaxable returns, 122
Taxable income, 2, 14, 65
Age 65 or over, 90
Itemized deductions returns, 93
Standard deduction returns, 92
Alternative tax computation
returns, 69
Definition, 129
Form 1040A returns, 30
Income averaging returns, 5
Itemized deductions returns, 52
Joint and surviving spouse returns, 17
Marginal tax rates, 66, 74-78
Heads of household returns, 83
Joint and surviving spouse
returns, 79
Separate and single persons
returns, 81
Marital statuses, 28, 29
Itemized deductions returns, 56,
57
Standard deduction ret:irns, 54,
55
Normal tax and surtax returns, 68
Separate and single persons
returns, 20
Standard deduction returns, 48
States, 97, 99-111
Taxes paid deduction, 38-40, 51
Age 65 or over, 93
Definition, 129
Itemized deductions returns, 51
Marginal tax rates, 75
Percent of adjusted gross income, 61
Taxpayer and spouse exemptions, 37
Taxpayers age 65 or over, 122
Taxpayer's exemptions, 37
Throwback tax credit, 127
Total deductions, 14, 38
Age 65 or over, 90
Income averaging returns, 5
Itemized deductions returns, 38
Joint and surviving spouse returns, 17
Separate and single persons
returns, 20
Type of taxpayment, 34, 122
U. S. GOVERN
i OFFICE : 1967
STATISTICS OF INCOME
Individual income tax returns
Annually contains data on sources of income, adjusted gross income, exemp-
tions, total deductions, taxable income, income tax, tax credits, self-employment
tax, tax withheld, and tax payments. Also shown are excludable sick pay, foreign
and domestic dividends, capital gains and losses, data reported on Forms 1040A,
and selected income and tax items for States. Classifications are by tax status,
size of adjusted gross income, marital status, form of deduction, and tax rates.
Ten year historical summary.
Topics featured in the reports for 1960-1965
1965 - (In preparation) New items include increase in maximum dividend exclu-
sion, and separation of short-term and long-term capital loss carryover.
Coverage of Revenue Act of 1964 changes, gross income adjustments, non-
taxable and capital gain distributions, gain from disposition of depreciable
property, income averaging, and retirement income credit.
1963 - Standard metropolitan statistical areas, gain from disposition of Section
1245 property, tax from recomputing prior year investment credit, self-
employment pension deduction, farm net profit and net loss.
1962 - Returns with at least one taxpayer age 65 or over, itemized deductions in-
cluding deduction for contributions classified by type of recipient. Itemized
deductions by type and by State.
1961 - Standard metropolitan statistical areas, gross rents and rent expense,
interest income classified by type of payer.
1960 - Returns with at least one taxpayer age 65 or over, pension and annuity re-
ceipts and cost, itemized deductions including depreciation on rental property,
depletion on account of royalties, taxes deducted by type of tax.
PUBLICATIONS IN PREPARATION
Individual Income Tax Returns for 1965, Preliminary
U. S. Business Tax Returns with accmtntiiig periods ended July 1963- June 1964
Corporation Income Tax Returns with accounting periods ended July 1963-June
1964
Foreign Tax Credit claimed on corporation income tax returns with accounting
periods ended July 1961 -June 1962
Fiduciary, Gift, and Estate Tax Returns filed during 1966
Estate Tax Wealth based on Estate Tax Returns filed during 1963
RECENT PUBLICATIONS
Sales of Capital Assets reported on Individual Income Tax Returns for 1962
(153 pp., $1.00)
U. S. Business Tax Returns with accounting periods ended July 1964- June 1965,
Preliminary
State and Metropolitan Area Data for Individual Income Tax Returns: 1959, 1960,
and 1961 (82 pp., 55p)
Corporation Income Tax Returns with accounting periods ended July 1963-June
1964, Preliminary (38 pp., 30f)
Fiduciary, Gift, and Estate Tax Returns filed during 1963 (108 pp., 65?)
Farmers' Cooperative Income Tax Returns for 1963 (58 pp., 40p)
Statistics of Income publications are for sale by the Superintendent of Documents,
U. S. Government Printing Office, Washinoton, D. C. 20402
"^
liiilii;
TVNews
OpenLibrary