The Ottawa free trader. [volume] (Ottawa, Ill.) 1843-1916, 1863-06-13

two mOAtnS. Do you know what the laws
are? will read some of them.
He then read from a Law of the late
Congress sosbidding correspondence with
the rebels and affordingss them aid and
comfort. single voice on the stand
That's just what Wilbur F. Storey does
every day."l Then go, he said and
make complaint to the Grand Jury your
self. 1t il your duty.
Decision Relative to the Assessment Of the
Income Tax.
The income tax must be assessed and
paid in the district in which the assessed
person resides. The place where person
votes, 10 deemed his residence When
not a voter, the place where tax on per-
sonal property is paid is held to be the
place Of residence
In cases of limited partnersh ips, formed
with the condition that no dividend or
division of profits shall be made until the
expiration OF the partnership, each mem-
Der OF such firm will be required TO return
his share OF profits arising from such
business, for the year 1862, as, had they so
desired, q division Of the profits could
have been made.
Gains or profits realized from, the sale
Of property during the year 1862, which
property was purchased before the Excise
Law went into effect should be returned
as income for the year 1862
The executors or administrators OF the
estates of persons, who died in the year
1862, should make return of the income
thereof tor the year 1862
A merchants return of income should
cover the business Of the year 1862, exclud-
ing previous years Uncollectel accounts
must be estimated
Physicians and lawyers should include
actual receipts for services rendered in
1862, together with AN estimate Of unreal
lied or contingent income due for that
year.
Dividends and interests payable in 1850
should be returned as income for that
year, no matter when declared.
Dividends derived from gas stock are
taxable as income
Income derived from coal mines must
be returned although a ia. has been pre-
Tiously paid OIL the coal produced No
deduction can be made because of the
diminished value, actual or supposed, OF
the coal vein or bed, by the process of
mining Rent derived from coal mines is
income .-- 81 -s.
Premiums paid fo- life insurance shall
ment of income.
Pensions received from the United
States Government must be returned with
other income subject to taxation.
Old debts. formerly considered hopeless
lv lost, but paid within the time covered
hy the return OF income, should be iucil!d-
ed in this statement
Debts considered hopelessly lost on the
3lst Of December, lS62, and due 10 the
business of the year 1862, may be deduct
ed from the profits of business if sub-s-
quen;ly paid, they mus, be included in
She return for the year in which paid
In order 10 give full effect 10 the provi-
so to the 9lst section Of the act of July lst,
1862, respecting the tax IN that portion OF
income derived from United States secur,
ties, it is directed that when income is de-
rived partly from these and partly from
other sources, the $500 and other allow
ances made by law shall be deducted, as
far IS possible, from that portion Of in
come derived from other sources, and
subject to thsee per cent tax.
No deduction can be allowed from the
taxable income Of a merchant for com
pen-ation paid for tie services Of q minor
son.
A farmer, whom making return Of the
total amount of his farm produce, shall
be allowed 10 deduct therelrom the snb-
sistence Of horses, mules, oxen, and cattle
used exclusively in the carrying on of said
farm The term farm produce is con-
strued to include all productions of
farm, of what nature or kind soever
The account Of stock sold by farmer
since December 3lst, 1862, should not be
included in the present assessment but
~ &C. ha
counted for in his next years return
Where he has included IN his return pro
duce raised 10y him, and fed in whole or
in part to stock subsequently sold, he
must account for the gain realized by the
feeding and selling OF said stock. Where
he has not included the produce so fed,
he must return, as profits, the difference
between the value of said stock on the
3lst Of December, 1861, and the amount
realized for them.
FartiIizer. Purchased by farmers. to
maintain their land in present productive
condition, will be considered as repairs
in estimating income.
Interest should be considered as income
only when paid, unless it is collectable
and remains unpaid by the consent or
agreement of the creator.
Losses incurred in the prosecution OF
business are fair Offset to gains derived
from business, but not from those portions
of income derived from fixed investments,
such as bonds, mortgages, rents, and the
like. ., - "a
Property used in business, and firnis!,>
ing profits, when destroyed by fire, may
be restored, at the expense of those prof>
its, to the condition when DESTROYED: If
insured, the difference between insur~-
ance received and amount expended In
restoration will be allowed
The increased value. given q new build
ing by permanent improvements will be
charged to capital-not income.
The contingent fund Of manufacturing
corporations, made up during the year
1862, and not distributed. should not be
returned rs part of the income OF the
ockholders.
The undistributed earnings Of a corpor>
alton, made to September Ist, 1867.
whether the corporation is required to
pay tax on dividends or not, should not
be considered as the income of the stock.
holders, nor should the corporation he re- |
auired to make return of said reserved |
earnings of trustees, under section SO of
the Excise Law.
The income of literary, scientific, or
other charitable Institutions in the hands
of Trustees or others, is not subject to IN
come tax. ga
When person boards, ard rents a |
room or rooms, the rent thereof, in lieu Of |
rent Of house. should. be deducted from /