Evening star., 1923-08-05
THOMPSON NAMED FOR OFFICE
IN ASSOCIATION OF BANKERS
Local Exc hange Head Nominated for Vice
President-Plans for Two Coming
Notes.

ing out his own income tax, but
oftentimes he does not realize how
much income from a given security is
bs1g paid ID away In taxes For the
bond issued under the provisions of
the federal farm loan act. Income
from joint stock land bank bonds is
free from all taxation. both federal
and district At present prices those
bonds. which are typical example
of a high-grade tax exempt security,
yield approximately 40 per cent.
In other words, $1,000 invested in
them will give an actual net return
of $4,000 per year.
Now consider railroad or in
dustrial bond paying 6 per cent and
selling at par, or a first trust note
whose income is between $4,000 and
$4,000 would be required to pay the
District $500 from the income re-
ceived from such bond or first
government $2.40, giving him a net
return of $3.50. Due to the fact
that the federal income tax gradually
increases as incomes grow larger,
$4,000 and $4,000 would receive
only $500 net return from such a
security. A man whose income is
from 100000 to $4,000 would receive
s45.40 net, while the man whose in
come was $4,000 a year would re-
ceive only $37.00.
1T can be seen from the above
that the purchasers of tax-free bonds
come largely from individuals whose
incomes are $4,000 or more per year.
OF course, the individual securities
compared would vary these figures
somewhat. but in a general way. it is
more profitable for persons with IN
comes above that figure to buy tax
free securities than to buy taxable
ones and pay the several classes of
required taxes"
Bankers' Atlantic City Program.
The general plan for the sessions
of the American Bankers Association.
to be held at Atlantic City September
"a to q inclusive, is announced as
follows:
Monday. September "a. morning:
General meeting of the clearing
house section. Afternoon: General
meeting of the trust company divis-
ion.
throughout the day there will be con-
ferences OF the committees and com
missions of the association, including
the executive council, administrative
committee, finance committee, agrlcul-
tural commission, commerce ana ma
rine commission, economic policy COM
mission bank and currency commission
of the economic policy committee, pub
lie relations commission, committee OF
Ave, committee on membership. COM
mittee on public education. committee
taxation fiftieth anniversary committee
insurance committee, protective COM
mittee, committee on federal leg1sla-
ton, federal legislation council, com
mittee on state legislation and state
legislative council. There will also be
meetings of committees of the various
divisions and sections.
Tuesday. September %. morning:
General convention session of the whole
association: afternoon, general meeting
of the savings bank division.
Wednesday, September 26, morning:
General convention session; afternoon,
general meeting OF the state bank dI-
vision.
Thursday: Morning, general conven-
tion session; afternoon, general meeting
of the national bank division.
The headquarters of the association
during the convention will be the Hotel
Traymore. and the general convention
sessions will be held on Youngs Million
Dollar Pier. The meetings of the com
mittees, divisions and sections will be
scheduled in various hotels at Atlantic
City. The entertainment program is
being arranged by local committee of
Atlantic City.
Mortgage Firms New Officers.
The Washington Mortgage and Fl
nance Corporation announces the decla
ration of o dividend on its preferred
shares at The srate of per cent per
annum.
w. r. Morrow, president of the East
Coast Mortgage and Finance Corpora
tion of New York, has been elected