The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1909-08-25

May twenty-eighth, nineteen hundred
and eight, as relates to yachts built
outside the United States and own
ed by citizens of the United States is
hereby repealed.
This section shall not apply to a
foreign-built vessel admitted to Am
erican registry.
Section 3S.-That every corporation,
joint stock company or association,
organized for profit and having a cap
ital stock represented by shares, and
every insurance company, now or here
after organized under the laws Of the
United States or of any State or Ter
ritory of the United States or under
the Acts of Congress applicable 10
Alaska G >the District of Columbia, or
now or hereafter organized under the
laws of any foreign country and en-
Gagged in business in any State or Ter
ritory of the United States or in Alas
ka or in the District of Columbia, shall
| be subject to pay annually a special eX-
else tax with respect to the carrying
on or doing business by such corpora
| ton, joint stock company, or assOcia-
| ton, or insurance company, equivalent
to one per centum upon the entire net
| income over and above five thousand
! dollars received by it as dividends
! upon stock of other corporations, joint
stock companies or associations, or
| insurance companies, subject to the
! tax hereby imposed or if organized
under the laws of any foreign country,
upon the amount Of net income over
and above five thousand dollars re-
ceived by it from business transacted
and capital invested within the United
! States and its Territories, Alaska and
! the District of Columbia during such
year, exclusive of amounts so received
! by it as dividends upon stock of other
! corporations, joint stock companies or
| associations, or insurance companies,
subject to the tax hereby imposed: Pro-
| vided, however, That nothing in this
section contained shall apply to labor,
! agricultural or horticultural organiza-
| lions, or to fraternal beneficiary So
cieties, orders, or associations operat-
! ing under the lodge system, and provid-
! ing for the payment of life, sick, ac-
cideut. and other benefits to the mem
| bers. nor to domestic building and loan
associations, organized and operated
exclusively for the mutual benefit of
their members, nor to any corporation
or association organized and operated
exclusively for religious, charitable, or
educational purposes, no part of the
net income of which inures to the bene-
fit of any private stakeholder of indi-
vidual.
Second. Such net income shall be
asecrtained by deducting from the
gross amount of the income OF such
corporation, joint stock company or
association, or insurance company, re-
ceived within the year from all sources,
(frsD all the ordinary and necessary
expenses actually paid within the year
out of income in the maintenance and
operation of its business and proper
ties. including all charges such as rem
tails or franchise payments, required
tinued use or possession OF property;
(secondD all losses actually sustained
within the year and not compensated
by insurance or otherwise, including
a reasonable allowance for depreciation
of property, if any, and in the case OF
insurance companies the sums other
than dividends, paid within the year On
policy and annuity contracts and the
net addition, if any, required by law
to be made within the year to reserve
funds: Ohird) interest actually paid
within the year on its bonded or other
indebtedness to an amount Of such
bonded and other Indebtedness not
exceeding the paid-up capital stock OF
such corporation, joint stock company
or association, or insurance company
outstanding at the close of the year,
and in the case of bank, banking as
soclation or trust company, all interest
actually paid by it within the year on
deposits; (fourth) all sums paid by II
within the year for taxes imposed I'M
der the authority of the United States
or of any States or Territory thereof,
or imposed by the government of any
foreign country as a condition to car
rying on business therein; (ffth) all
amounts received by it within the year
as dividends upon stock of other cor
porations, joint stock companies or
associations, or insurance companies,
subject to the tax hereby imposed:
Provided, That in the case of a corpOr-
alton, joint stock company or asso-
citation, or insurance company, organ
lied under the laws of a foreign cOun-
try, such net income shall be ascer-
tanned. by deducting from the gross
amount of its income received within
the year from business transacted and
capital invested within the United
States and any of its Territories, Alas