If such designation (September 30, 1913) had been made and notice given, as herein before indicated, as to the closing of the fiscal year 1913, the corporation would be authorized to make its return and have the tax payable by it computed upon the basis of the net income arising or accruing to it during the period from January 1 to September 30, 1913, both dates inclusive.

Collectors Must Make a Record of the Designation of the "Fiscal Year."

ART. 167. Collectors of internal revenue receiving notices of the selection and designation of the "fiscal years," as above indicated, will make record of the same, recording (a) the name of the corporation or like organization, (b) the date when notice was given, (c) the day designated for the closing of the fiscal year, and (d) the date when the return under such designation must be filed, which must be, as above stated, not later than the last day of the sixty-day period next following the day designated as the close of the fiscal year. Unless Notice Was Given Within Prescribed Time, Calendar Year Will Govern.

ART. 168. If it shall appear that for the year 1913 the notice was given within the prescribed time-that is, within thirty days of the last day of the sixty-day period—the 1913 return may be made as of the fiscal year so established; otherwise it will be made on the basis of the calendar year until such time as the designation shall be duly made and notice thereof properly given.

Designation and Notice Cannot be Retroactive.

ART. 169. The designation and notice cannot be retroactive; that is to say, if a corporation now designates April 30, 1914, as the date of the closing of its fiscal year and gives notice of such designation, it would not be authorized to make a return for the four months ended April 30, 1913, and then for the fiscal year ended April 30, 1914, nor would it be authorized to make one return covering the entire sixteen

months ended April 30, 1914. In the case of such corporation the return for the year must be made for the calendar year ended December 31, 1913, and then, assuming that designation and notice had been properly made and given, it may make a return for the four months ended April 30, 1914, and thereafter the return will be made on the basis of the fiscal year so established.

Where Fiscal Year is Not Properly Established, Returns Must be Made for Calendar Year.

ART. 170. In all cases where a fiscal year is not established as above prescribed returns must be made on the basis of the calendar year, in which case such returns must be filed on or before the 1st day of March next succeeding such calendar year. Such returns in either case provided must be verified under oath or affirmation of its president or other principal officer, and its treasurer or assistant treasurer; that is to say, by two different persons acting in the official capacity indicated.

Returns Made on Basis of Fiscal Year Not so Designated Cannot be Accepted.

ART. 171. If it shall appear in any case that returns have been made to the Collector on the basis of a fiscal year not designated as above indicated, the corporations making such returns will be advised that such returns cannot be accepted, but must be made to cover the business of the calendar year.

Returns for 1913 Must be Made on New Forms.

ART. 172. Returns made under this act and pursuant to these instructions must be made on the new forms prescribed by this Department.

The forms heretofore in use, under the special excise tax law, cannot be used for making returns for either the fiscal or calendar year 1913.

Extension Not to Exceed Thirty Days.

ART. 173. An extension of time within which a return may be filed can in no case exceed thirty days from the date on which the return is due and can be granted only upon written application to the Collector, and in case of sickness or absence of an officer whose signature to the return is required, such application to be made prior to the expiration of the period for which the extension is desired.

Returns Properly Mailed in Time to Reach Collector Not Subject to Penalty Under Certain Conditions.

ART. 174. If a return is made and placed in the United States mails, properly addressed, and postage paid, in ample time, in due course of mails, to reach the office of the Collector or deputy collector on or before the last due date, no penalty will be held to attach should the return not be actually received by such officer until subsequent to that date.

Last Due Date Defined.

ART. 175. "Last due date," as hereinbefore used, is construed to mean the last day upon which a return is required to be filed in accordance with the provisions of the law, or the last day of the period not exceeding thirty days covered by an extension of time granted by the Collector.

When Due Date Falls on Sunday or Legal Holiday.

ART. 176. When the due date as above defined falls on Sunday or on a legal holiday, the last due date will be held to be the day next following such Sunday or legal holiday, and the return should be made to the Collector not later than such following day, or, if placed in the mails, it should be posted in ample time to reach the Collector's office, under ordinary handling of the mails, on or before the date on which the return is thus made due in the office of the Collector.

Assessment and Payment of Taxes. Notice of Assessment.

ART. 177. All assessments against corporations, etc., making returns for the calendar year are required to be made and the several corporations, joint-stock companies, etc., notified of the amount for which they are liable on or before the 1st of June of each successive year, and said assessments shall be paid on or before the 30th day of June of such year. In the case of corporations making returns for the fiscal year, the assessments shall be made and notice given on or before the expiration of ninety days from the date when the returns were required to be filed, and the taxes assessed against such corporations, etc., shall be paid within one hundred and twenty days after the date upon which the returns were required to be filed. In case of refusal or neglect by a corporation, etc., to make a return, and in case of false or fraudulent return, the Commissioner, upon the discovery thereof within three years after such returns are due, shall make a return upon information obtained in the manner provided in the act, and the assessment made on the basis of such return shall be paid immediately upon notice and demand given by the Collector.

Failure to Pay Tax When Due.

Upon failure to pay the tax when due and for ten days after notice and demand, a penalty of 5 per cent of the amount of the tax unpaid and interest at the rate of 1 per cent per month until paid shall be added to the amount of such tax.

Returns Are Public Records, Subject to Inspection Upon Order of the President.

ART. 178. When the assessments shall have been made, the returns shall be filed in the office of the Commissioner and shall constitute public records, subject to inspection upon the order of the President, under rules and regulations prescribed by the Secretary of the Treasury and approved by the President. Copies of returns on file in the Commissioner's

office are not permitted to be sent to any person, except to the corporation itself or to its duly authorized attorney.

Information to States Which Impose Income Taxes.

ART. 179. Upon request of the Governor of a State which imposes a general income tax, the proper officers of such State may have access to the returns filed by corporations doing business in such States, or to an abstract thereof showing the name and income of such corporations, etc., at such times and in such manner as the Secretary may prescribe. In no case are the original returns to be removed from the office of the Commissioner, except upon order and by direction of the Secretary of the Treasury or the President.

Certified Copies of Returns.

ART. 180. At the request of the Attorney General, or by direction of the Secretary of the Treasury, certified copies of returns may be made and delivered to the United States district attorneys for their use as evidence in the prosecution or defense of suits in which the collection or legality of the tax assessed on the basis of such returns is involved, or in any suit to which the United States Government and the corpora tion, etc., making the return are parties and in which suit such certified copies would constitute material evidence.

Penalty for Giving Information in Regard to Returns.

ART. 181. The disclosure by any collector, deputy collector, agent, clerk, or other officer or employee of the United States to any person of any information whatever contained in or set forth by any return of annual net income made pursuant to this act is, by the act, made a misdemeanor, and is punishable by a fine not exceeding $1,000 or by imprisonment not exceeding one year, or both, at the discretion of the court, and if the offender is an officer or employee of the United States he shall be dismissed and be incapable thereafter of holding any office under the United States Govern

ment.