EXEMPTIONS FOR DEPENDENTS
Editor’s Note: There are many
rules relating to exemptions for
dependents in filing your fed
eral income tax return. This
article tells whom you can and
cannot claim as a dependent.
By James Marlow
WASHINGTON W* — Exemp
tions are money saved in filing
your 1962 income tax return. Each
one you can claim means $600 sub
tracted from your income before
what’s left is taxable.
Besides the $600 exemption al
lowed each person filing a return,
you get‘a $600 exemption for each
dependent.
A wife is not a dependent. Who
is? There are a lot of rules on that.
They differ for different kinds
of dependents.
You would not, for instance, get
an extra $600 exemption for a de
pendent because he was 65 or
blind as you would for yourself
or wife if you or she were 65 or
blind.
You can claim your child as a
dependent if he was born or died
in 1962 (but not a stillborn child)
if you contributed to more than
half his support in that part of
1962 in which he was alive.
One of the key points — in
claiming your child, stepchild or
adopted child as a dependent—is
age 19.
If he was under 19, and you
paid more than half his support,
you can claim him as a depend
ent no matter how much income
he had.
If he was 19, and had $600 or
more income, you couldn’t claim
him as a dependent, even though
you contributed to more than half
his support, unless he was full
time student.
tie s not considered a iuiiume
student if he had a regular or
parttime job or went to night
school or took a correspondence
course.
But suppose your dependent
under-19 child or your over-19
child who qualified as a student
dependent had $600 or more in
come. Then what?
He’d file his own return, tak
ing his own $600 exemption and
paying any tax owed. But on your
return you could claim a $600 ex
emption for him and you wouldn’t
have to report or include his in
come.
Suppose your dependent child
won a school scholarship. That
doesn’t count in deciding whether
you contributed to more than half
his support.
You can’t claim exemption for
a married child who filed a joint
return with his (or her) spouse,
even if you paid more than half
the child’s support.
You can—in addition to your
child, stepchild or adopted child—
claim the following relatives as
dependents of they fit the rules
given later:
Your grandchild, great-grand
child, and so on; your brother, sis
ter, half-brother, half-sister; your
parent, grandparent or great-grand
parent, or other direct ancestor but
not a foster parent; your step
mother or stepfather; your aunt or
uncle, meaning a brother or sister
of your mother or father; your
niece or nephew, meaning a son
or a daughter of your brother or
sister; your father-in-law, mother
in-law, son-in-law, daughter-in
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law, or sistcr-in-law.
None of these relationships ends
through death or divorce. You
can, for example, continue to claim
your father-in-law as a depend
ent if he got more than half his
support from you, even though
your wife died or divorced you.
None of the relatives listed above
has to live with you to qualify
as your dependent. For instance:
You may have been paying more
than half the support of your
mother who was living with your
sister.
You can claim any of them as
a dependent if he got more than
half his support from you and did
not have $600 or more of his own
taxable income.
Say your sister—although she
got more than half her support
from you—earned $600 or more
in odd jobs. You couldn’t claim
her as a dependent. She’d have to
file her own return, taking her own
$600 exemption.
Or say your father received non
taxable income—perhaps $800 in
Social Security benefits—on which
no income tax return is required.
Could he be considered as a de
pendent?
Yes, if he got more than half
his support from you while he
saved the $800, not using it to live
on.
If he used the non-taxable $800
to live on, you couldn’t claim him
as a dependent unless you contri
buted a paid servant in your home.
But you can claim as a depend
ent a friend who lived in your
house a full year if he got more
than half his support from you
and no income of his own amounted
to $600.
If he had $600 or more income,
of course, he’d have to file his own
return, taking his own $600 ex
emption, and you couldn’t claim
him as a dependent.
House Will Take Close
Look at $200,000 for
Rural Development
JUNEAU UP) — House majority
leader Wm. Boardman promised
close scrutiny for a Senate-passed
bill appropriating $200,000 for the
state’s Rural Development program
during the balance of fiscal 1963.
“The House Finance Committee
is going to give the bill a very
close look and I’m sure the pro
priety of the present method of
handling Rural Development funds
will be examined thoroughly,”
Boardman said.
“These funds need to be pro
grammed on an impartial basis.”
Boardman said the proposed ap
propriation will be studied in con
nection with a bill by Rep. Harold
Strandberg, chairman of the House
Finance Committee, to place the
Rural Development program under
the Public Works Department.
It is now under the Office of the
Governor.
Since mental hospitals in 12
states unlocked their doors, only
half as many patients have tried
to escape as when they were re
strained by lock and key.
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Measure Would Provide
Mandatory Incorporation
Of Nine Election Districts
As First Class Boroughs
JUNEAU UP) — Legislation pro
viding for mandatory incorpora
tion of nine election districts as
first class boroughs on Jan. 1,
1964, was introduced in the House
Thursday by Rep. John Rader.
The nine districts are the An
chorage District, Lynn Canal-Icy
Straits District, Ketchikan-Prince
of Wales District, Kodiak District,
Palmer-Wasilla-Talkeetna District,
Sitka District, Fairbanks-Fort Yu
kon District, Juneau District and
the Kenai-Cook Inlet District.
Under the bill the Secretary of
State would be required to hold
elections on Oct. 1, 1964, for all
borough officers in the nine dis
tricts unless a borough was incor
porated in the general area by local
option.
The measure provides for an or
ganizational grant of $10 for each
voter who cast a ballot in the pre
ceding general election, to be paid
to any first class borough incor
porated as of Jan. 2, 1964.
The mandatory requirement
would not apply to districts the
major portion of which have been
incorporated at local option prior
to the Jan. 1, 1964 deadline.
$898,744 In Unemployment
Benefits Paid Out In January
JUNEAU UP) — A total of $898,
744 in unemployment insurance
benefits were paid out to Alaskans
during the month of January,
Labor Commisisoner Gil Johnson
said yesterday.
Of the total amount, $799,044
was disbursed under the state job
less program and the remainder
was paid out under two federal
programs.
• NOTICE *
A
BAPTIST
BIBLE
SCHOOL
FOR ADULTS
Will Begin
Monday Evening
MARCH 4
Classes WiU Be Held In
The Bible Baptist Church
Building
Every Monday and Tuesday
Evening
From
7:00 ’til 9:00
★
The Bible School Will
Continue for 3 Months
SUBJECTS:
• Bible Doctrine
• The Life of Christ
• Personal Evangelism
• Old Testament Character
Study
★
These Classes Are Free
Of Charge and Open To
All People
★
• Please Note:
All interested persons please
contact Rev. Bob Leight at
The Bible Baptist Church
or Phone 2451
| Friday, February 22, 1963
House Approves $152,31
For State Courts, Down
From Si84,000 Requested
JUNEAU — The House ap
proved a bill providing a supple
mental appropriation of $152,311
for the state court system.
When the measure was origin
ally introduced by the Rules Com
mittee at Gov. Wm. Egan’s re
quest, it called for an appropria
tion of $184,067, of which $106,615
was earmarked for equipping the
new court buildings at Anchor
age and Fairbanks.
Since that time, however, bids
have been received on the equip
ment which would require only
$81,000 for the furnishings.
Rep. Bob Blodgett, a member of
the House Finance Committee, said
that since the court buildings will
not be ready for another month,
the committee also was able to
cut $2,865 in personal services
from the original request.
KRANKS LEAGUE
High team single game: Whirly
Birds 674, Frazzled Fraus 654.
High team series: Frazzled Fraus
1886, Whirly Birds 1870, Laggards
1743.
High individual game: Jimi
Knight 183, Pauline Eberle 169,
Fay Lienard and Lou Oliver 168.
High individual series: Pauline
Eberle 438, Lou Oliver 428, Fay
Lienard 426.
Laggards
Whirly Birds
Madcaps
Frazzled Fraus
W L
45 27
36 35Vfc
34 38
28 Ms 43V£
THE NOME NUGGET
5
7 GERMANS PENALIZE
U.S. HOCKEY TEAM
ON ROUGH PLAY
MUNICH, Germany UP — The
old European charges of rough play
and North American counter-claims
of poor officiating swirled around
the touring United States amateur
hockey team yesterday.
"In my 30 years of hockey, I
have never seen a worse job of
! refereeing,” U.S. coach Harry
Cleaverly complained after his
squad dropped a 6-4 decision to
a German team Wednesday. Both
officials were German.
A crowd of about 4,000 which
braved a cold, drizzling rain in
the outdoor stadium booed the
I U.S. team throughout the game.
United States and Canadian
teams traditionally play a freer,
rougher game with more and
body checking than the European
teams do.
Magistrate's Pay
JUNEAU </P» — Legislation which
would leave the amount of salary
to be paid to District Magistrates
entirely in the hands of the Su
preme Court was introduced in the
House by the Judiciary Commit
1 tee yesterday.
Present law sets a $12,750 ceil
ing on the salaries of District
Magistrates.
Would Permit Sale of Liquor
JUNEAU UP — A bill which
would permit the owners of club
liquor licenses to sell intoxicating
beverages to registrants at con
ventions of fraternal, patriotic and
professional groups was introduced
in the Senate by Sen. W. O. Smith.
Guaranteed
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and Appliances
Office: Dial 2561
DEAL WITH
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and
QUAKER
STOVE PARTS
AND REPAIRS
OIL HEATERS
Res: Dial 2417
CONFIDENCE AT
Green’s City Fuel and Transfer
ACCIDENTS DO HAPPEN
... Are You Covered ?
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tinues to rise! A well-planned insurance
policy can set your mind at ease, if an
accident should occur. See us for full
protection!
INSURANCE OF EVERY KIND
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