Evening star. [volume] (Washington, D.C.) 1854-1972, 1919-02-08

constructed. erected or acquired on or
ifler April 8, 1917, for the production OF
articles contributing to the prosecution
of the war. and In the case of vessels
constructed or acquired on or after that
late for the transportation of articles or
men contributing to the prosecution of
the war, there shall be allowed rea-
'onabie deduction for the amortization
Of such part of the cost of such facilities
S has been borne by the taxpayer. but
= again including any amount other
wise allowed under this tax OF previous
acts of Congress as a deduction in COM
putting net income
10. In the case of mines, oil and gas
wells, other natural deposits OF timber.
a reasonable allowance for depletion and
depreciation OF improvements.
Contributions to Charities.
IL. Contribution or gifts made
within the taxable year to corpora
tons 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 benent 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:
/. Personal, living or family ex-
penses.
g Any amount paid out for new
buildings or for permanent improve
menS or betteFments made to in
crease the value of any property OF
estate.
3. Any amount expended in restor-
ing property or in making good the ex-
haustion thereof. for which an allowance
Is or has been made.
4. Premiums paid on any life in
officer or employe, or any person
finaLcially interested in any trade or
business carried on by the taxpayer,
when the taxpayer is directly or in
directly g. beneficiary under such pol
icy,
Credits Legally Allowable.
The following credits are allowed
for the purpose of computing the nor
NAL tax only:
l. The amount received as dividends
from a corporation which is taxable
under this title upon its net income
and the amount received as dividend
from q personal service corporation
out of earning or profits upon which
income tax has been imposed by act
of Congress.
q The amount received as interest
upon obligations of the United States
and bonds issued b. the war finance
corporation, which is included in gross
incomes.
g. In the case of single person
personal exemption of 81 300, or in the
case of head OF a family or married
person living with husband or wife
personal exemption of S2.eea- A hus-
band and wife living together shall re-
1900 against their net aggregate in
come, and in case they make separate
returns the personal exemption of 81. 900
may be taken by either OF divided be-
tween them.
4. Two hundred dollars for each per-
son (other than husband or wife) de-
pendent upon and receiving his chief
support from the taxpayer. if such de-
pendent person is under eighteen years
of age or is incapable Of self-support
because mentally or. physically defect
i've.
When Returns Are Expected.
The proposed law provides that re-
turns must be made on or before
March Is if the return is made on the
basis of the previous calendar year
The commissioner of internal revenue
may grant reasonable extension OF
time when in his judgment good cause
exists for such an extension No ex-
however. If the return is
made on the basis Of a fiscal year the
return must be made on or before the
fifteenth day Of the third month fol-
lowing the close of the fiscal year.
Payment OF the tax shall be made in
four installments. each consisting OF
one-fourth of the total amount Of the
tax The first instaiiment shall be paid
at the time fixed by law for filing the
return, and the second installment
shall be paid on the fifteenth day of
the third month: the third INSTALLING nt
shall be paid on the fifteenth day of
the sixth month, and the fourth in
stallment on the fifteenth day of the
ninth month after the time fixed by
law for filing the return. If any in
stallment is not paid when due the
whole amount of the tax unpaid shall
become due and payable upon notice
ans demand by the collector.
The tax may, at the option OF the
taxpayer, be paid In single payment
instead of in installments, in which |
oaSa tho total vnnunf shall he maid on I