The Washington herald., 1913-10-19
STOCKS STRONG;
POINT Higher
No Special Reason Other
Than Evening Of Traders
and Less Liquidation.
BANKS AND INCOME TAX
Officials Anxious for Determination of
POints-Changes in Currency
Bill-Gossip.
BANKS AND INCOME TAX
BY L. A. FLEMING.

profits and evening up of traders GOSSIP
of the street is much more favorable &c
the bull side of the market, having been
made so by the establishment of a de-
cidedly low range of prices and the feel
ing that if anything can be good, stocks
at present prices, ought TO be considered.
Most of the bull talk was on the coppers,
and predictions of several points up be-
fore two down were freely made on the
street.
Money is gradually working easier and
the feeling is growing on the street that
the money bill, when II finally reaches
the stage of enaction, will have been
shorn Of many features that today meet
with the strongest opposition from the
largest financial interests and from small
bankers throughout the country, who are
fighting for collections.
Perhaps il might be better to accredit
the entire recovery of the last two days
to a natural profir-taking reaction, just
as the decline Of the past week was due
TO indifference of big iTtSTests and per
sistent selling on the theory that pres
sure would bring declines and there would
be no danger of punishment, because OF
the indifference of insiders and the bank
ing fraternity.
There is really nothing in sight to
cause any advance, save the low range
of prices, except in specialties, for con-
ditions are no better than last week
They are just the same.
The Interstate Commerce Commission
has as yet not engaged counsel for the
railroads, as it has for the shippers,
therein showing, as it has repeatedly, one
sidedness. Nor did the shippers ask for
counsel. nor yet the railroads. The whole
matter is an unprecedented action, just
as the approval of any advances in sched-
ules would be, without suspension Of
tariffs for more or less indefinite periods.
There was nothing in the gossip Of the
day, other than brokers' personal opin-
ions. nor were they other than mixed as
to the prospects. Perhaps the most po-
tent influence was the easier tone of the
money market; the excellent bank state
ment was discounted on the market, and
the feeling generally speaking is not
quite as unhappy over conditions as 1t
was a few days ago.
The Improvement.
The betterment to the list. on an
average, was about a point. and this
average extended practically through
out the list, with the exception of Can
shares. while in some issues 1al u
gains were made.
Steel gained a point; Union Pacific,
1as: Reading, IL; Southern Pacific. q {;
Norfolk and Western, I: Illinois Cen
tral and Great Northern, 1Aa1k;
Sugar and Car Foundry. 4; Nipper and
New York Central, 1a1 4 Canadian Pa
cific, Ia; Amalgamated Copper, IL;
Smelling, II; Can common lost z, and
the preferred, Is.
81. Paul made the average improve
ment. The Oil stocks and Tobacco
shares were firm, but not much higher.
Local Securities.
Sales on the local exchange included
$4,000 bonds, par value, all but $4,000;
Potomac consolidated IS, at a weaken
ing scale at the opening and a rising
in the closing, off to 99k from 99k,
the opening, and then back to 100 on
the last bond. They were bought for
investment. A fiuctuation of z of a
point on a high-grade bond in one
short session is rather remarkable.
Half of the Potomac consolidated sold
at 1885. Railway As steady at the new
low 81.
In the stock list there was very
little doing, thirty shares of Union
Trust at 1897 and thirty-five shares of
Railway preferred al 80 and one at 81
completing the trading.
Railway common was offered at 9S,
with sc bid.
Want Information.
Bankers generally are up a tree"
on the provisions of the income tax
law There are many points in the new
law that need application October
2S is the date when the Commissioner
of Internal Revenue hopes to have
digest of the law for bankers and cor
poratiOns.
1t might be well for the District
Bankers Association to take up this
matter at its meeting on Monday night
during the business session. There
should be uniformity of action in the
best interest of all concerned.
Chicago banks have chosen Attorney
HUtchins of the Illinois Trust Company
TO natAe a committee to consider the in
come tax law and to agree on rules to
follow.
1t is just possible that every large bank
will be compelled to inaugurate a new
administrative department for the col
lection of coupons and other matters for
which there will be no returns, nothing
but expense without remuneration.
Trust companies. in addition to the col
lection of coupons, assume a large num-
Der of duties. They handle estate mort
cages ana pay. as do other banks, large
annual interest on deposits; they act as
administrators of estates and agents for
the living; they are the advisers OF very
many people, as are national bankers as
we'll
They will be called upon to give spe-
cific information on this and that ques-
ton for the benefit of customers and 2
thorough understanding of the measure
is Just as necessary for the banker as
for the corporation. The government has
made all who collect income, in amounts
of over 5000 for any one person, its col
lection agency-there is a way by which
those who may claim additional exemp-
ton may prevent the taxing of their in
in writing notice on the
corporation thirty days before dividend
or interest period. There are Scores of
rules and regulations that your CUSTOM
FRS will want to know-that they will |
ask you to outline to them.
Our Chicago friends express the opin-
ion that they win find many and serious |
There is not the slightest effort on the |
part of the bankers to offer opposition |
10 the law-its too late-and the StatesI
but they want il trans |
lated in plain English. especially where |
yentences and paragraphs are involved. |
Currency Measure News.
1t is stated that the Secretary of Agri- |
culture >snd the Comptroller of the Cur
rency. the Office still being vacant. will |
nof ha members of the hoard of control