Decatur Daily Democrat, Volume 23, Number 26, Decatur, Adams County, 30 January 1925 — Page 6

IBMUS;''-.- nmi —— INTOM E TA X DEPAR T M E N T -By- I M. L. SFIUMAN.C P. A. The federal income lax blanks for 1924 returns have Just been released and a Word might be in order at this time to explain their use. Individuals must make their returns on one of three forms, depending upon the particular status of the individual, in the first place, salaried Individuals and wage earners, whose etirned net incomes do not exceed $5.mid, should malto their returns on I'orm 1040 A. That form Is a single ■white sheet of letterhead size. It is to be noted that it is to be used only by individuals deriving their incomes t chiefly from salaries and wages, and whose earned net incomes are less than $5,000. Individuals wltos6 net incomes are more than $5,000. or whose net incomes, reaariiless of amount, are chiefly derived from sources other than salaries and wages, such as from a business or a profession, must make their returns on Form 1040. This form comes with a perforated duplicate sheet of instructions attached, and is printed on the white paper almost twice the size of Form 1040-A. The third form is known as Form 1040-FY. This is a new form and is to be used by all individuals who report on a fiscal year basis, or whose income is derived from a partnership, or trust that reports on a fiscal year basis. The form is somewhat similar in appearance to Form 1040, being of the same size, color and general arrangement. It does not, however, come in duplicate or with a sheet of instructions, as does the latter form. Partnerships must make their returns on Form 1065. This is a yellow form of the same size as form 1040. It has attached to it by perforations, a sheet of Instructions. It does not, however, provide for a duplicate sheet. Corporations should file their returns on Form 1120. This form is printed on blue paper. The return covers four pages'and the form comes with two pages of instructions as well The size of the individual whose net income is over $5,000. Fiduciaries, that is, executors, trustees, etc., should use Form 1041. This form is of the same size and general appearance as the partnership form, except that it is printed on a salmon colored sheet, it comes with a duplicate attached by perforations, as well as two pages of instructions. I Before a taxpayer attempts to fill in any of the blanks, he ought to' make sure to carefully read and stuuy the instructions accompanying them, as they will help considerably in prop-; erly preparing the returns. The next ; few articles of the series will supplement these instructions. Questions And Answers Q.—Some time ago the Department of Income Tax gave out a ruling concerning losses not sustained in the regular line of business. The exact wording I am unable to locate at this moment, but it was to the effect that any loss sustained by the taxpayer outside of his regular line of business | was not deductible. Would it apply I in the following case? A is a banker. I At different times thruout the year I he has sold some stocks or bonds and I purchased other stocks or bonds. In I some transactions he sold at a profit, I in others he lost. According to the I above ruling, he cannot deduct these I losses from his income tax? Grant- I ed above is correct then the logical I sequence is that he does not have to I add the profits. Please advise me on I the question. K. E. P. I A. —I am afraid that you have prob- I ably misconstrued the ruling you re- I furred to about only losses sustained I in the conduct of business being de- I ductible. There are three kinds of I losses that may be deducted: first, I those arising in the oonduct of bus- I Iness; second, those arising from a I transaction entered into for profit; I and third, those arising from penal- I alty or *theft. Obviously, losbes from I the sale of stocks and bonds come under the second class, that is, transactions entered into for profit, and for that reason may be deducted. Vour conclusion about the profits not being taxable because the losses are not deductible would not follow in any event, because under the law the government has the right to tax income from whatever source derived, even the losses from the same source are not permitted to be deducted. Q. —My business cleared above all expenses last year $5,800 and I would like you to give some information as to the amount of income tax I must pay. I am a married man with one child. Is there any allowance for depreciation on frame building and machinery? B. W. A. —Yourtax will be $47.50, computed as follows: Your exemption is $2,900, which leaves $2,900 to be taxed at 2%, or $58.00. Your earned income credit based on an earned income of $5,000 is $10.50, making the '

net tax $17.50. You are entitled to i an allowance for depreciation on the frame building and machinery, assum- ' Ing that the building Is not used for residence purposes. Q. —Please advise what items of expense can bo deducted from it commission salesman’s income tax. Can his meals that, tire taken while on the road ba deducted? R. .1. 3. A. —A commission salesman can deduct all expenses such as traveling, entertaining, etc. incurred during the course of and on account of his business, and that are not refunded to him by his principal. Tim cost of meals i included in the cost of traveling und can be deducted. Q. —I contribute S2OO to a Joint fund for the support of my grandparents. Can 1 claim exemption from fax payment on this amount? J.11.P. A. —If the amount you contribute Is more than one-half the stint necessary for the support of your grandparents, you are entitled to claim the exemption for them; otherwise, you cannot make any claim. Rye Middlings, s4l per ton; Wheat Middlings, $47 per ton; (■round Wheat Screenings and Flax Screenings, $32 per ton. Peter C. Miller. 2'/i miles south of Decatur on mud pike. F-S-W o Bicknell. — William Gray, here, reported a hen of his laid an egg with a likeness of the sun on the shell during the eclipse. He said the rays on the egg extended in all directions except on one side, which is presumed to have been the eclipse side. NOTHI.M. LIKE IT 0.8 F.ABTII The new treatment for tom flesh, cuts, wounds, sores or lacerations that is doing such wonderful work in flesh healing is the Borozone liquid and powder combination treatment. The liquid Borozone is a powerful antiseptic that purities the wound of all poisons and infectious germs, while the Borozone powder is the great healer. There is nothing like it on earth for rpecd, safety and efficiency. Brice (liquid) COc, 69c and *1.20. Powder 30e and COc. .Sold by Holthouse Drag Co.

— ! I Sam Hite’s I I Big South End Grocery i? I Our Delivery system passes your door twice daily. Order from fa I Phone 204—and be sure of the best quality and service and the A ! lowest prices. SUGAR Fin % G o r Lb' ated 64c I RAISINS Seedless, per lb. . 10c I H ■MBHBMWimiIWMI Hl, I II W I K O Good No. 1 O gS | BFOOmS Brooms J&O | PRUNES 25c i; Quart cans of Perfect nr I Fancy No. 1 Sliced Pineapple in OF r II Mustard I Svrup, per can B ■■■■■■■■B«»MHBniHn«MaaKsr3K’wr.r«2^^cr«j® | V 10 cakes Van Camps White OA n I Large Bags McKenzie Self Rising O’ fe Naptha Soap Ot/C I Biickwheat Flour, per bag Ls mi J..IHIIUI ■ihii—_ljiw £ s 100 lb. bags QQ I Large cans Table Peaches or & Medium Salt «/OC lin syrup ( ” — !.■■» Illi g 50 lb. block of Salt 45C I FanCJ ue P^ ums IOC Mi ■■■IMMHMMMMMMaMBaBnMMkMHDnBHMP'VSMMMBIMKMMIBMMnaKMnMM Tri l«l W lira £■ Cocoa—Full pound glass jars b3ff ° VSter Shells 9SC MS ■—— i moi JMiir iiiimie TOwmiiißiiwimwiw'iiiw jmithml imh imu B i Fresh Edgemont Crackers, nr „ Fancy Hand Picked Beans 0E„ 0 Per pkg 43C 10 lbs Ot>C Large Pkg. Post Toasties 1r” I Fancy Bulk Coffee, n* I Per pkg 10 C I Per lb J3C || H WH——llli I IIIIBIBIiiIM I Illi ||| WMII Bill mil III»lIlin n l«l l.u Fancy Salmon, f* I "Hogg’s Bran Flakes -f Per can ~ lOC It r nb ( r 1()C I~— —Mil I ■ I—WMIW 11 1' IO! Ul—lf l SPECIAL 100 pound bags Pure Cane Sugar $6.89 Phone 204. Opposite Erie Depot g

DFCATVR DM! V DEMOCRXT FRIDAY, JANI’ \RY 30 1935

|i Portland, — More delicious refresh-1 .incuts. The West Side Church of ( 4‘l.rli"' ’wiif’glVi a*" Jiifol,rant aX.I r groundhog banqiHt” here the ev.-nlng ■of February 2 I

— -r- - - - ■ i| ■ 5 - - rA ■ ... ; ~ . i [P HOLSUM Quality Awarded First Prize. I hi securing the first prizo—the Harry M. Freer | silver tropin -in an international bread quality ( coni st conducted by the W. E, Long Company, famous testing laboratories in Chicago—NEW HOI/SCM has proven its undeniable leadership In quality in -texture, in flavor! j Its extra long size gives you many more slices ! —that are just the right size for your toaster, lunches, sandwiches and general table use. That’s why New HOLSUM has become “The Ideal Family Loaf.” | Fresh Daily— At Your Grocer.

! I For ( olds. Grip or Influenza jnnl as ti Preventive, take laxative I [BROMO QUININE Tablets. A Safe J mil Proven Konedy. The box Inara j l|li« -.jgnature ol E W. Giove 3«t«~. I j

I Fisher & Harris Cash Grocery r ALSO DEALERS IN Graniteware, Tinware, Aluminum Ware and Galvanized Ware FREE CITY DELIV ERY 1 Quality, Service and Low Prices 1 hones 3,4,5 Large assortments to select from. 4 PTTf’in Fine Granulated Sugar, T pn I bUGAK 25 lb. bag for 1.00 15 Pounds for lOA A n Elake White, R. N. M. or P. &G. White qq Naptha Laundry Soap. 8 bars tor 3uC | CLEANSER h;'X 11 ""’-’"' ~~K A Large cans Cal. Apricots in syrup, wp* I Arßllulb Per can 20c, 4 cans for /3C | Dozen cans for $2.21 , O'PAOm Bulk Lump Laundry Starch, n/\ Sul AKvll 3 lbs. for 25c; 5 lbs. for J?C sewed Polished Handle Brooms, yj j I BKUUMdj Regular 60c value for 0NLY......... 44c I ■MMasrasßnn I" Yellow Danver ») („ Select Bulk Seedless Large cans Snow White Onions. 10 Bis. Raisins. Hominy Quality Bulk 1 r ' '’J ,>1 IvC Soap Chips. R>. IOC Medium Size Santa (.la- 3 cans 28c Fould’s Macaroni, Spa- 1:1 Brunes, JOP Large cans Pet. CarnaBghetli or Egg ll ’ > * XVV t j on or B on | cn z. Noodles, 3 pkgs. ZdOC Uirge California Evap- Milk IvC U gallon Pure Sugar orated Peaches, 4 0 Small cans 5c Cane lable OQp **>ll Large cans Pumpkin or Syrup “ ihs ii>c Kr ., ut Buy Saturday; forced to Large pkgs. Post Toast- 2 for’. .. . ZOC ' advance price on Gooch i’ s °r Kelloggs 1 X , '’' Wonder Flour Monday. Cor " l l:,kes ••• I J ar f e cans Xan Oiir price much under Large pkgs. Quaker Pork and Beans in iotodav’s market, 24 ths., Regular or " lil, ° Saucc ’ 40 Instant Oats 3 cans New Dried 1 Oz» Dozen cans 98c H ,s $2.80 Cooking Peas, Ih AVC Large cans Cut Green , Barrd . N 11 (: - Buttcr Crack - Beans. Large pkgb Pdlsburys ers, always 1 r t .., ns 4()C Prepared Pancake or best, lb lot „ Buckwheat QQ Quality Ginger 1 r ‘ IH >c Flour OT/C Snaps.’ Ib. .....IOC Quart Jars Fancy rQ Pride of Decatur, the Bulk Shredded QA Queen Olives... V»7 v Ibest in Winter Wheat Cocoanut, It). ..OvC 25c pkg. Drome-Ql „ oT’ Kunkels Best darv Dales .... ZIC 1- lbs vuv Bulk Cocoa, 211). ZdC 24 tt)s $1.30 Jello, all m Pearl Tapioca, Ar r lB lbs. ; $2.60 navors IOC 2 IT,S 32C Bound can Her-OQ Large cans California Mavtime, the Nut Oleo " dlC >’ Cocoa Peaches m O* ■ Os quality, Boo<l Brade 11 z» heavy syrup . Yellow or White Gran- Country Gentlemen Sliced Yellow ■ ulated Corn Style Corn, l eaches ....... I t/V Meal. IT) £)C Can Lt)C Smuckers Home Made Goochs Whole Wheat Good Grade ar Apple Butter; you wit Flour, QJ „ Peas, 3 cans... . ZDC like it, QJSP 5 Ids Can 10c B alk)n Quaker Bulk Select June rx'i- No ’ 3 cans 3 C Rolled Oats. SIT). ZuC p eas ’> cans 25c Complete Assort tin nt Fruits and Vegetables Galvanized Foot Tubs ■■■■■■■• 4-Sp p antl Gop Aluminum Percolator Coffee Pots MW VW Tin Pie Pans ‘ 90c! tip “ n<l 7p Special Value Wash Boards V Granite Tea Kettles 48c II Extra Heavy Tin Dairy Pails with straine’’ attached ’ ’ qq Flour Sifters H Milk Strainers 15C I Gallon Galvanized Oil Cans 28 C 2 gallon Galvanized Oil Cans 38C Granite Dish Pans r 50c II Tin Cups 40c " 50c ■ Each 4p Aluminum Roasters l arge Cold Blast Lanterns 89c | 1 Handy Lunch KH, with Best Va cnum on j v ; f | ~51.75