Evening star., 1951-09-13
S9 Billion Tax Benefits
Granted 10 ITO Firms
DESPITE Moratorium
Rx the A,,oeinfsd Pres.

In 110 cases it claSSed as ex-
ceptional, the Defense Production
Administration today approved
tax benefits to assist the expansion
Of plants for defense production.
The total of Governments aided
plant expansion thus moved above
SO billion despite an order by
Mobilization Director Charles E.
Wilson imposing a moratorium
until october 18 on the tax GER
tificates.
Mr.. Wilson's order made pro-
vision for several types of excep-
tionS, including plants urgently
needed to produce military weap-
ons or critical war materials.
Many of today's certificates
were in the field of aircraft,
aluminium and chemicals.
Mr.. Wilson also allowed excep-
tionS for companies whose eligibil-
ity for the help would expire on
September %. A number of the
applications approved today were
approaching the deadline.
Tax Act Grants Aid.
The 1850 Tax Act, signed on
September % last year, provided
that any company which had ex-
panded for defense within the
previous nine months must quail
1fy for the tax assistance within
one year from the date of the act
or not at all.
The DPA certificates entitle a
company to write off in deprecia-
tion, for tax purposes, a specific
percentage of the cost of expan-
sion within five years. Normally.
depreciation must be spread over
20 to Is years. The act thus rec
ognizeS, in effect, that many de-
tense plants may have limited
earning power after the mobiliza-
tion period.
The list Of certificates granted,
the amount Of outlay approved for
tax aid, and the percentage of the
cost which may be written off rap
idly include the following:
Lion Oil Co.. Charlotte, N. c.,
$30,452,000 for anhydrous am
monia production, so per cent.
Phillips Chemical Co., $38, $780,
900 for chemical producing facili-
ties on the Texas Gulf Coast, so
per cent.
National Store Front Co., Inc.
Nashua, N. H, $2,134,9 900 for
aluminium extrusions, rs per cent.
Philadelphia Refinery.
Atlantic Refining Co., $3.4 mil
lion, ammonia facilities at Point
Breeze philadelphia Refinery, so
per cent.
Kaiser Metal Products, Inc,
Bristol, Pa. $3.919,O0O for aircraft
facilities, IS per cent.
Food Machinery and Chemical
Co., South Charleston, w. Va,
$2,503,000 for ammonia, so per
cent.
Woodward Iron Co., Woodward.
Ala, $6 million for ammonia, so
per cent.
Wisco, Inc, Dearborn, Mich,
$1,578,650 for aluminium extru-
sionS, rs per cent.
Dana Corp. Fort Wayne, Ind,
$5,460,000 for aircraft, rs Der
cent.
Standard Oil Co. of Indiana.
81, 100000 for sulphur production
at Whiting, Ind, 80 per cent.
Giddings & Lewis Machine
Tool Co., Fond Du Lac, Wis,
$1,590,772 for milling machines,
IS per cent.
Mcdonald Aircraft Corp, st.
Louis, two certificates: One of So
589,222 at 10 per cent and an
other Of $3,500,000 at 70 per cent.
both for aircraft. In addition
DPA approved certificates for an
other $1,000.000 expansion in st.
Louis at 80 per cent, and several
certificates for aircraft expansion
at Robertson, Mo-, totaling more
than $3,500,000 at percentages
ranging from rs to IS per cent.
Texas Gas Products Corp, $4,-
O52,OOO for aviation gasoline op-
erationS in Upton, Midland, Rea-
gan and Glasscock Counties, Texas,
TO per cent.
Phillips Chemical Co., $1,741,-
600 for sulphur production in
Ector County, Texas, 80 per cent.
Fort Worth and Denver City
Railway Co., Fort Worth, Tex,
$1,937, 900, IS per cent.
Colorado and Southern Railway
Co., Denver, $2,037, ,558 for rail ia
ctlities, IS per cent.
Consolidated Vultee, San Diego.
Calf, $2,658,000 for aircraft en-
gineering services, rs per cent.