The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-02-20
Net Income-ReaI Estate ProAts end
Losses.

with
~ coupons payable March /. iSa for
ca Coupons payable March 1914. Tor four
mon,hs IN isis and Two months lsii. In.
aered and paid In May. 1874 II the pay.
ten.twcli'hs Of this amount among 1919
In IN, possession and only worth one half
eo.,, Divide the one-halt los. among the
proportional snares OF the loss.
90 Land purchased Ave years ago and
solo In i,l. a, ptoh,, Is thi. pron, any
espital7 II the latter. then to show loss
In question No. , Is Incorrect
hv-. formed hvc years ago. Is apparently
f 1sial. to gsee soj %pd may be Sompls,.
worth over onc-hai original value. II
distribute this loss over Ave years will II
one hail when IT is found in later ter years
surely To be also lost?
premium can be claimed as an expense. but
nos NE Insurance.. Why the difference OF
go No interes, has been paid on demand
note that mas been running for nve years.
shosid thls Interest be charged each year
as RECEIPT or wait until It is paid, Of
ike paying taxes In advance to treat this
interest as receipt before IL has been
paid,
90 As 1 understand It. dividends received
from corporations need not be shown In any
par OF form 1910. even q the income from
correct?
Answer--D According to the latss,
rulings coupons payable March !, 1919
ana subsequently during the year 1919
Ia Connon. Jns ana $500, $500. '. ~, a.,
should he included in the 1914 return.
go Ten-tWclfths of the faA,s du.. And
payable in 1918 NAV be deducted
90 The Treasury nsnsr,,rar, M.
ruItd that II the taxpayer VIII keep books
showing his financial transactions and in
-. ,,', ' ,n' Seai!E a"lustneh'
or inventory OF MS properties gain OF
be reflected In his ircom. Abatement
Otherwis. the loss should no, hs ngnr.d
until the prop.rty il sold
90 Tn, prott should Ia con.,a.r.,, n.
income and the Iortion charre.bIe to Isii
and 1914 may be- figured In the ,ame way
that you specify the loss should ba A..
ured in ID
90 See answer to ,a,. I'nl.s. hou,k.
are kept and a YEARLY adiustmen, n,na.
the loss from .ecuriti.s .hruIa 30, D., a..
ur,d until the secur,ti.. a,a sola or 81
Judged 10 be worthless
~ Ne. ther IRE nor ~. ,nsur,,,. r,o.
miums are allowable d,dmc,Iora "a,
insurance howsysr nv honsos s, rre
rented may he considered A necessary ax.
'"s go Nan ptop,'iy U" nehucteu'
''''s' "h'cH ~ uue ana payable
within the taxable year should he in
cuded as income II later Il ts found IN
be uncollectihIe Z, will la ouou.a, -. !.
deduction M worthless debt.
go This Is correct
Net Iucom.
i':-F, II am uncertain r.s.raln,
did not tase .,ook Ies, y.or re" in"h nh,.,r
on It now, but cannot compls,s, ,,,,s
any wav. hay. USE o. ',,,f =. INN, ,,'r
$4,000 Tor living EXPENSE. but may haD.
,Hhde more In Accumulated merchandise
shall 49, He,tSHd the i9!ernment;
Am married and wife has no income
Answer-You should ,s,imn,a as ac.,,-
ratelv as possihle the vain, of vo,,r ,,.-.
chandise a. OF March I. 1919 and Jsn,,.
AIRY |. 1914 in order TO Obtain YOUR ma,
income FOR 1918 and hereafter VOL, .bo,id
arrange to take an inventory every yaar
at the proper time md keen your hoors
in such n manner that YOU viii have mo
difficulty In determining your prn.s and
The above OF course assumes thu, ro,,-
business +" NOT incorporated 1T your net
income exec ded s.,5oO for tho ten
months OF 1919 you should make n re-
turn TO-
Trustees' Returns.