Evening star., 1953-08-15

d. G. GOVERNMENT EXECUTIYE
OFFICES. August ., l953:-OR-
pERED; That Regulations pertaining
authority Of TITLE Xvi, I1N Article
of the District of Columbia Revenue
Act of 1947 public Law 195--S0th
Congress, approved July 16, 1947,
SstsG ss Mstcb BY c9mmissionsrs oFd:r
are hereby amended as follows: Sect.
7-2. The tax imposed upon corpora.
tions is levied for the PRIVILEGE of
- carrying on or engaging in any
ira trade ST 6gsinesf BY within the PstrGt
come as is derived from sources
within the District The word 'coT-
poration" is defined in Title Of
the, Act as including. any trust, as
sociation, Joint stock company. or
shoulc be ella ssed as a corporation
alton. Sect. lO-l. 1t is the purpose
Ct the Act; Acts as amended 1,6sd to Impose
net income of every resident as de-
fined in Title I, and every resident
estate and trust. and t2) for fran
chise tax upon every corporation and
uninleorporated business for the
in any trade or business within the
District as defined in Title and OF
receiving such other income as is de.
rived from sources within the Dis
trict, except those corporations and
ly excluded. AS defined in Title u
the words trade or business" in.
clude the engaging in or carrying on
OF any trade: business, profession,
vocation or calling or commercial ac-,
hereinafter provided The Act pro.
vides that the words trade or busi-
ness" shall not include for the pur.
poses of the .Act-D Sales of tan.
sible personal property whereby title
without the District. by = corpora.
tion or unincorporated business
which does not physically have or
maintain an off1ce, warehouse, or
9fhsr rcf place anG OF %nob Spsiress Ss in the Dis
agent, or representative having en
ONCE or other place of business in
the District, during the taxable year:
or (2) Sales of tangible personal
corporated business which does not
maintain an office or other place of
business in the District and which
has no office, agent, or representative
in the District. except for the sole
United States, but such corporations
end unincorporated businesses shall
be subject to the licensing provisions
in Title IA. The words agent or
representative" as used in SUBJ
p,argagraph a. above shall not in
gagged Independently in regularly So
liciting orders in the District for
sellers and who holds. himself out
as as such such While While It is not the purpose
conceivable kinds Of employment or
activity which come within the stat
utory. definition of trade or busi-
ness" two general definitions are
business" is that which occupies
the time, attention and labor of men
Tor the purpose of livelihood or
pront. Engaging in business involves
both on the future outcome Of the
or unsuccessful. b. Commerce"
consists of intercourse and trafhc
and includes the transportation OF
persons persons and a., property ss well as the
modities. There is excluded from
taxation under said Act income
derived. from sales within the Dis
trict OF TANGIBLE personal property
businesses when such concerns do
not maintain places of business or
representatives in the District. or
have their principal places of bust.
neno uubsIoe sus DlStrlcb ana MAIN
tain places Of business or represen-
tatives in the District for the sole
purpose of doing business with the
United States in respect to sales of
tangible personal property which Is
delivered from places outside the
Sec. 1912. The measure of the fran.
chise tax shall be that portion Of the
net income of the corporation and
unincorporated business as Is fairly
carried on or engaged in within the
District: as defined in the Act, and
such other net income as is derived
from sources within the District.
The portion Of such net income
which is fairly attributable. to any
income as is derived from sources
within the District shall be deter
mined by ALLEGATION and apportion-
ment thereof as prescribed in Secs.
1"-3(a5. 5 A ASafS2 eolporation a1-os' q u-,rs SEQ
porated business may derive income
from the sale OF real property To-
Gated in the District. from services
PERFORMED IN the Districts. from
located in the District. or from in
vestments made or other capital en-
ployed in. the District, and in other
ways, and thus be liable for the tax
upon which income, even though Il
business in the District; and income
from sales or tangible personal prop
erty is taxable except as set forth
in Sec. 10-1, II the taxpayer has or
maintains an ONCE. warehouse, or
other place of business in the Dis
trict, or has an ofiicer, agent, or rep
resentative having an once or other
place Of business In the District, dur
ing the taxable year. Sec. 10-2(bl.
The word 'allocated" as hereinafter
used in reference to income and de-
ductions therefrom means determi-
nation based upon actual figures Spe-
cifically applicable thereto; and the
word "apportioned'' as heinafter
used in reference to net income
means a ratable portion determined
on a percentage basis. II the entire
net income is derived from engaging
in q trade or business within the
District or from sources within the
District, all of such income shah be
sllocated to the District, II the net,
income is derived from engaging In
a trade or business partly within
and party without the District or
from sources both within and with
out the District. such income shall
be allocated and apporttoned In ac-
cordance with the specific provisions
Or f0rnntIiAe pYascrihad IN fhAsA reg.