The Washington herald., 1913-10-30
COUPONS TAKEN
FOR COLLECTION
Washington Bankers VIII Fol-
low the Lead and Not Pay
Coupons Immediately.
FISCAL AGENTS TO PAY
festares of the Income Tax Law.
Wall Street Tone Improved.
Local Stocks
FISCAL AGENTS TO PAY
ny 1. A. FLEMING.


for interest on registered bonds. for col
lection only. This decision was arrives
at after thorough discussion of the in
come measure, rules and regulations, &c
Fiscal agents viii accept coupons whel
accompanied with tie proper formula O.
ownership and exemption, and will pa,
the coupon or order in full, while or
coupons or orders, presented without tht
exemption formula, the. agents will de-
duct per cent income tax.
II is probable that this method Of doing
business may be changed in q few days
when the workings of the measure have
become smooth and banks see their way
more clearly through the labyrinth OF
, the law and its ramihcations.
The first bond interest is payable on
Saturday, interest on the Gas IS Of the
/ Washington Gas Light Company. The
American Security and Trust Company is
the fiscal agent and will pay the coupons
or orders
Much of the interest payments Of the
subsidiary companies bonds of the WASH
ington Railway and Electric Company
are payable in New York The United
States Mortgage and Trust Company, of
New York, Is trustee and paying agent
on the per cents; Anacostia and Poto-
mac IS are payable by the Baltimore
Trust and Guarantee Company, also City
and Suburban interest
The American Security Company, of this
city, is the trustee and paying agent of
the Metropolitan IS and the Potomac IS,
and Consolidated are payable by the
Commercial Trust Company, Of New Jer-
sey, at Jersey City.
IRternaI Revenue Bureau.
The Internal Revenue Bureau is giving
out the forms and regulations approved
by the Secretary OF the Treasury, and
banks and trust companies are doing all
they can to educate their clerks in the
mysteries Of the law. The American
Security and Trust Company, which will
nave the bulk of the work to do in Wash
ngton, holds school after the days work
is over, and the clerks are RAPIDLY
tamiliarizing themselves with the law and
the forms and regulations.
The Union Trust Company pays on
traction 5s; the National Savings and
Trust Company on Riggs Realty S.
Even when corporations plan paying in
come tax for their bondhoIders they
urgently desire exemptions filed, as that
J will ieseR payment -- -=sa-
Investors should understand that they
will not be called upon to pay the nor
NAL tax On dividend che.ks, and that IL
they are fortunate enough to cut in on
the snrtax they will always have the
deduction of / per cent, this because the
corporation (every corporation conducted
Tor proriO pays l per cent on its net
earnings and thereby protects the divi-
dend check
Moreover, municipal and State bonds
are free OF taxation, and government
bonds also. This paragraph suggested
the possibility OF general changing OF
corporate bonds for municipal and State
issues. But there are comparatively a
small number Of State and municipal
bonds and billions Of corporate issues
The exact figures are s75eOO0.O 200 munich
pals and State issues and SIS, 900, 600 900
corporate bonds.
The income tax will not be assessed
against the nonresident foreign owner OF
securities
Dividends accruing TO an American cit
zen from foreign investments are tax
able; also interest, &c.
VIII Get More Than Deserts.
The most complicated sections of the
law relate to the duties of trustees, and
the greatest part OF the trouble will de-
vclop therein.
That the Treasury will be enriched by |
many dollar upon which no tax could |
legally be collected is admitted. The
TAX is not at all heavy, and many will |
accept the deduction at the source with
out question-not worth the bother to |
them. |
There is a world OF study in the meas
ure and regulations. but when the ma
chInery has found ITSELF" when the
bearings are working well and the ques-
uonable points have been solved in ac-
tual practice instead OF theory, and ap-
proved by the government, the law will
be easily understood
New York FIrmer.
Wall Street enjoyed variety Of moods
yesterday, with just a fair trading
RADIUS many OF the minor stocks failing
TO show on the records entirely.
The opening was firm. The feeling on
the street was that conditions were
slated for Improvement; that the deIay
in the consideration Of the currency
measure was wise and just and this in
contradistinction to the manner in which
the House caucused 1t through, party
fealty and whip and spurs used by
leaders and urging from the White House
gave response in speed rather than earn
est consideration and the best produced
something that financial men would
have US believe would be a calamity.
The business world feels better at the
prolonged consideration and elimination
process in the Senate. Unless in the end
the selection Of conferees from the Sen ?
ate shall undo the work done there.
No one looks for a boom in the market,
no one looks for wild rush OF trade,
but the sentiment for fairly good sea-
son is satisfactory.
Most Important News.
The reaction which followed from the
high OF the day and wiped out all the !
earlier gain was due to the deferment
Of the gold shipment engaged from the
other side for some days. The chances
are considered Questionable. as the Bank
Of England may be forced to raise its {
rate OF discount today and thus check {
the export movement on the eve Of its
This was the dominant influence that !
turned stocks from the high to about i
the low of the session.
Then covering by shorts turned the J
tide and the list came back again TO J
near the closings Of Tuesday or better.
Special Strength.
Steel and Union Pacific held their own. ]
o did Reading. Copper, and number of I
lfPcks. Pennsylvania was prominently TO !
he fore in strength, with "a gain well : :
held Chesapeake and Ohio showed a !
'trong hand and 1 IA gain. Louisville and ! '