The Leavenworth echo. [volume] (Leavenworth, Wash.) 1904-current, 1919-02-28

the authority of any of its possessions,
or by the authoritay of any state or
territory, or any county, school dis
trict, municipality or other taxing
subdivision of any state or territory,
not including, however, those taxes
assessed against local benefits of a
| kind tending to increase the value of
the property assessed.
Losses Not Compensated For
A. Losses incurred during the tax
able year and not compensated for by
insurance or otherwise, if incurred in
trade or business.
5. Losses sustained during the tax
able year and not compensated for by
insurance or otherwise, if incurred in
any transaction entered into for profit
though not connected with the trade
or business.
6. Losses sustained during the tax
able year of property not connected
with the trade or business or arising
from fires, storms, shipwreck, or
other casualty, or from theft, and if
not compensated for by insurance or
otherwise.
7. Debt ascertained to be worth
less and charged off during the tax
able year.
s. A reasonable allowance for ex-
haustion, wear and tear of property,
used in a trade or business, including
reasonable allowance for obsoles
cence.
9. In the case of buildings, ma
chinery, equipment or other facilities,
constructed, erected or acquired on or
after April 6, 1917, for the production
OF articles contributing to the prose-
cution of the war, and in the case of
vessels constructed or acquired on or
after that date for the transportation
of articles or men contributing to the
prosecution of the war, there shall be
allowed a reasonable deduction for the
amortization of such part of the cost
of such facilities as has been borne
by the taxpayer, but not again includ-
ing any amount otherwise allowed I'M
der this tax or previous acts of con-
gress as a deduction in computing net
income.
TO- In the case of mines. oil and
gas wells, other natural deposits of
timber, a reasonable allowance for
depletion and depreciation of improve
ments.
Contributions to Charities
IL. Contribution or gifts made
within the taxable. year to corpora
lions organized and operated exclu
sively for religious, charitable, scien-
tific or educational purposes, or for
the prevention of cruelty to children
or animals, no part of the net earn
ings of which inures to the benefit of
any private stakeholder or individual,
to an amount not in excess of Is per
cent of the taxpayers net income as
computed without the benefit of this
paragraph.
IL. At the time of filing return for
the taxable year the taxpayer may
file a claim for abatement based on
the fact that he has sustained a sub
stantial loss of the value of the in
ventory for such taxable year, or
from the actual payment after the
close of such taxable year of rebates
in pursuance of contracts entered into
during such year upon sales made
during such year.
The following items are set down
in the bill as not deductible:
l. Personal, living or family eX
penses.
2. ANY amount paid out for new
buildings or for permanent improve
ments or betterments made to increase
the value of any property or estate.
s. Any amount expended in restor-
ing property or in making good the
exhaustion thereof, for which an al
lowance is or has been made.
4. Premiums paid on any life in
surance policy covering the life of any
officer or employe, or any person fl
nancially interested in any trade or
business carried on by the taxpayer,
when the taxpayer is directly or in
directly a beneficiary under such pol
icy.
Credits Legally Allowable
The following credits are allowed
for the purpose of computing the nor