The Washington herald., 1913-10-15
STOCKS ACTIVE;
PRICESLOWE
Partial Recoveries Save List
from Severe Recessions.
Sentiment Bearish.
CANADIAN PACIFIC SLUMP
Local Securities Slow, but Values
Held Very Steady-Income Tax
Matters-Wall Street Gossip.
CANADIAN PACIFIC SLUMP
BY i. A. FLEMING,

long time thereafter, with the bears hay
ing matters their own way. There wer,
no evidences Of support in any direction
and traders who considered a rally pas
due and were anxious to participate hopet
in vain for any signs of effort on tn,
part Of banking interests to check tht
slump.
With the weakness there was liberia
trading. The large short interest tool
advantage of the recessions to take In
profits, and having accomplished this, put
out the stocks again.
Conditions in foreign markets are any
thing but satisfactory, while evident un-
easiness regarding the Mexican sore was
, plainly evident in financial circles.
Two stocks were especially noticeable
as the weaklings of the session, namely,
q Southern Pacific and Canadian Pacific.
The former was weak on the dissolution
suit to separate its control Of Central
Pacific and the latter on very heavy for
eign selling
During the first hour $4,000 shares
changed hands, and the movement was
so speedy that it looked as If there might
be an $4,000 share day. But there was a
decided let-up later in the volume of
trading and a turn from weakness.
The buying movement at the lower
taking profits, although il was possible
that there was some replacing of stocks
liquidated at much higher prices.
Traders are ready 10 follow the lead of
anything that looks ike strong buying
while recognizing the probabilities that
the short side of the market, while still
popular. and probably more profitable, has
been played until it is oversold and ripe
for a covering movement
Nl1T -aft ha Ion rNnfE, N,a a
cline, and the pressure in spots always
trends toward increasing the pressure.
Bull factors are lacking, but the market
might quickly respond TO any good news.
Rally Late in Session.
There was a good rally late in the ses-
sion, but it did not extend sufficiently
far to cover the losses, save in the case
of Copper and Steel of the important
stocks and Reading, which came back
with sufficient force to give II a net
betterment of an eighth of point for
the day.
The big shortage in Steel, unwieldy,
sales having represented 30 per cent Of
the daily business for some time past
'was responsible. tor the advance from The
low at 5SX, the low to date this year,
to a recovery at 544s, or within Il of Sat
urday's closings. Copper came back all
but Il. Canadian Pacific was low at
22SSS, a loss OF SIS, and closed at 2s7Is
a net of II loss for the session. South
srn Pacific lost IA points, recovering a
ooint for the full decline.
Can common was very soft, D. G.
Reid being charged with selling, and the
stock dropped TO 30Ss, a S=point decline,
With 12i recovery. Point losses were sus-
tanned in many stocks with but partial
recovery. New York Central, Interboro.
'hesapeake & Ohio, Northern Pacific and
any in this group held better than more
Important stocks.
Tobacco weak at points loss
Local Stocks Slow.
There wasn't enough doing on the local
stock market to make the session Of more
Railway common remains the same as
last week, IS bid, none offered under 100
In the preferred odd shares sold at GOA
9052, not enough TO make a market. Capt.
tai Traction was firm at lis bid, none
offered.
Traction IS, IO6a1O6 IA; Railway As 50 IA.
number of nominal quotations were
omitted from the sheet there being
neither bids nor offers.
The membership of the Exchange was
increased by the admittance of w. W.
u
the ablest and brightest Of washingtons
young men.
Mr.. Spaid was but recently admitted to
the firm of W. B. Hibbs & Co.. but has
long enjoyed the utmost confidence cf his
partner and former employer. He was
chairman of the educational committee
of the Washington Chapter. American In
stitute Of Banking, last year, and has a
large and valuable acquaintance amonS
business and financial interests.
Income Tax.
Returns on income tax law Will not be |
made until March l, 1914 yet there is so |
much nee essary information TO be alb
sOrbed by every person with an income |
over $500, said income including interest |
on gifts, on income from wages, salary, |
from il vestments, &C., that the tax pay |
ers sholld commence the task of under |
standing the law in all details at once.
Investors and owners of securities hav-
ing less than 5000 income will find their |
income cut of by the amount Of the tax |
at the source, and will be compelled to |
square themselves before the Internal /
Revenue Collector before being repaid |
unjustly collected taxes.
Corporations are obliged to pay income |
tax on dividends paid to their sharehold- |
ers, whether tax is lawfully due or not. |
must deduct from the sal
aries of employees drawing over 5000 a |
year. ....
Holding securities in foreign companies |
Will not permit evasion, for all dividend |
and interest checks from corporations
made outside of the nation are to be de-
iucted by the banker cashing the check.
Holders of United States bonds are ex-
empt from taxation on interest payments;
interest on State and municipal bonds do
not pay taxes.
Interest on bonds of public service cor
Dorations containing a clause for pay
nent of coupons without deduction of tax,
ire subject to tax payment by the holder.
he corporation not acting as a collector
1f this tax
Bonds not containing any free clause,
AK is paid by the corporation.
In partnerships, expenses, losses, and
iebt and depreciation are charged on,
and the partner pays taxes on his pro-
portion or net profits.
Real Estate Mortgages.
On real estate mortgages, where the
interest is more than 5000 annually, tie
pays the government Under
SEQ returns the individual makes the
'eturn.
Corporations are not permitted 10 ae-
big surpluses in order to de-
'rease the income OF an individual that
ie may escape the surtax.
Proceeds Of insurance policies. paid y