The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1924-02-02

|
ticles covering provisions Of the state
income tax law prepared by the state
tax department.
No. 5
Taxable Income Of individuals
l. Every individual who was a res
Idcnt of the state on January /, 1924,
IS subject to tax on his entire net. in
come tfrom whatever source) re-
ce'ved during the calendar year 1923,
except such income as the law spc-
| Critically cxempts from taxation. The
following income is exempt from tax
alton:
! (a) Interest on obligations of thu
| United States or its possessions. In
tcrcst upon obligations of North Da-
| sons. d
CD Salaries, gains or Other com
pcnsation received from the United
State by officials or employees there-
of including persons in the military
or naval forces of the United States.
The term gross income includes
gains, profits and income derived
from salaries, wages or compensation
or personal services or from pro-
LESSONS, vocations, trades, business,
commerce or sales or dealings in
property whether real or personal;
also interest. rent. dividends or in
come from the transaction of any
business carried on for gain or profit
or gains or profits from any source
whatever
The amount of all such items is
required to be included in the gross
income of the individual taxpayer.
in computing net income the taxpay- |
er is allowed to deduct:
]. Ali the ordinary and necessary |
expenses paid during the income
year in the carrying on of any trade |
or business.
2. Interest paid within the year on
taxpayers Indebtedness.
j.. Taxes paid within the income
year upon property or business but
not including those assessed against
local benefits of Il kind tending to
increase the value of the property as
seSsed.
4. All losses sustained during the
income year and not compensated
for by insurance or otherwise.
D. Debts ascertained to be worth
less and charged off during the tax
year, If the taxpayers accounts have
been kept on an accrual basis.
6. A reasonable allowance for nee
cssary repairs and a reasonable al
lowance for depreciation, wear and
tear of property used in business or
trade.
I. Dividends or income received ,
by any person from stock or interest .
in any corporation, the income of {
which shall have been assessed underI
this act. If only part of the in-1 ,
come OF any corporation has been ,
assessed under this act only corres-J ,
pending part of the dividends or in
come received therefrom can be- de-
lucted. If a corporation is engaged '
IN business both within and without !,
me state and percent of such cor
Doration's net income is subject to !.
AK by the state, then the individual
;tockholdcr of such corporation can ;
icduct percent dividend received
,herefrom in arriving at his net tax
.ble income.
The individual taxpayer, in com
outing his net income, is not allowed +
o deduct h
l. Personal living or family ex- s
)enses. G
=. Any amount paid out for new
buildings, or for permanent imMovc-
nents or bcttermcnts made to in
'rcase the value of any property or n
state. "
3. ANY amount expended in re- s.
torng property or in making good
he exhaustion thereof for which am is
allowance is or has been made. n
q. Premiums paid on life insur- n
nee policies.
Every state, county, township and b
municipal official or employee, in q
luding teachers and school officials,ltl
subject to tax on his net income &
rom such source. "A h
Income from obligations of the
Jnited States, State of North Da- b
ota and subdivisions thereof is not {"
ubjcct to tax. :"
Income from tax certificates is n
ubJect to tax as tax certificates are -
ot an obligation of the state or y.
ounty or any subdivision of Che W
tate, but are an obligation against .
he individual tract of land or lot y
overed by the tax certificate. In II
crest received from North Dakota
cal estate loans is taxable income
nd must be included in the taxpav-
rs return. Interest received on, de- ::
OSltS in North Dakota HANKS &c ,1 IL