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Show SOUTH CACHE COURIER, HYRUM, UTAH FARMER'S INCOME SUBJECT TO TAX r Gains for 1919 Must Be Figured Under U. S. Law Returns Due March 15. LAND SALE PROFITS TAXABLE. prlvo the runner explicit Information us to liow to properly figure his net Income for 191!). There are two methods of figuring a farmer's Income tux return this year. I To may make his return on the basis of the difference between the money and goods received for his products and the cash paid out for actual allowable farm expenses within (he year. Or he may make Ids return on the accrual basis, which moans computing the receipts and expenses that pertain to the taxable jear, excluding income earned and expenses Incurred In or succeeding years. farmer, shopkeeper, or tradesman must ligure up his net income for 1919 ; and if the farm or business income to plus bis other income was sufficient comi equire an Income tax return a colplete return must be tiled with the it dor of internal revenue by March 15. A farmer should ascertain the gross income of Ids farm by computing all gains derived from the sale or exchange of his products, whether produced on the farm or purchased and A resold. Farm Expenses. Ids From gross income a farmer is allowed to charge off all of Ids necessary expenses in the conduct of the farm during the year. These include costs of planting, cultivating, harvestIn addition to ing and marketing. lie these costs may deduct money spent for ordinary farm tools of short life bought during the year, such as shovels, rakes, etc. Also, the cost of feed purchased for ids live stock may be treated as an expense In so far as this' cost represents actual outlay, but the value of his own products fed to animals is not a deductible item. Other farm expenses allowable are the cost of minor repairs on buildings (but not tbe dwelling house), on fences, wagons and farm machinery; also bills paid for horseshoeing, stock powders, rock salt, services of veterinary, insurance (except on dwelling house), gasoline for operating power and sundry other expenses which were paid for in cash. As to hired help, all the productive labor is a deductible expense; but the wages of household servants or help hired to improve the farm, as in tree planting, ditching, etc., cannot be claimed against earnings. A farmer is not allowed to claim a salary for himself or members of liis family who work on tbe farm. Wear and Te&r, Purchase of farm machinery, wagons, work animals, etc., also the cost of construction or extension of buildings, silos, fencing, etc., should be considered additional investments in the farm and are not proper deductions against income. A reasonable allowance may be claimed for wear and tear on farm buildings (except the farmhouse) fences, machinery, work animals, wag ons, tanks, windmills and other farm equipment which is used in the conduct of the farm. As to autos and tractors, the cost of these is not an expense, although the cost of their upkeep is an allowable deduction, if the machines are used exclusively for farm purposes and not for pleasure. Also, in such cases, a deduction for wear and tear is allowed. Farm Losses. The loss of a growing crop is not a proper deduction from income, inasmuch ns the value of the crop had not been taken into gross income. The loss of a building or of machinery through storm, lightning, flood, etc., is an allowable deduction, but care should be used to ascertain the correct loss sustained, as restricted by income tax regulations. No deduction Is allowed in the ease f loss of animals raised on the farm, but a loss is deductible from gross Income If the animals had been purchased for draft or breeding purposes. Shrinkage In weight or value of farm products held for favorable market Prices cannot be deducted as a loss, for tbe reason that when such products are sold the shrinkage will be reflected in the selling price. Sale of Farms and Land. The value of agricultural lands lias been jumping during the past few jears, and during 1919 many owners sold out part or all of tlieir lands at ng profits. All such gains constitute jncome and must be taken into the net income for the year. Any person who sold part of a farm r ranch, or part of a parcel of land, 'nnst also show any gains realized by the sale. lhe method of figuring and osses on such transactionsgains is prescribed In the Income Tax regulations, copies of which may be secured from nternal Revenue Collectors. Forms for Returns. Ilureau has siied an improved Form 104 OF for me use of formers. ' This form, with Form 1040A or 1040. will The Internal Revenue Public dumping grounds designated by the City Council are east of Aaroh Chrisianscns, down in the hollow near the crossing. Kindly take your brush and rubbish of all kinds to that place, instead of leaving it strewn along sidewalks G. W. Allen. in The and streets. Street Supervisor. Adv. pre-wo- Be Advertise your wants Necessary Farm Expenses May South Cache Courier. Deducted Special Form for Farm or Accrual Cash Income Basis for Computing. i Public Dumping Grounds 2281 for the Price of One, plus lc. 2 and 3, Only. Special Bargains on Tbese Days. Silverware Syringes Cold Cures Tea Vanila yow furs us Watch For The Big Rexall One Gent Sale Two April ship dosfr Corn Cures Paper unless the bundle is tagged to Shubert The Highest Prices Ever Known SIIUBERT Get Thats What Youll from WB WANT 'EM NOW AND WILL PAY THE PRICE TO GET 'EM N?l EXTRA LARGE I EXTRA TO AVERAGE Trolites. N9I LARGE I EXTRA I TO AVtOAOC N?) MEDIUM EXTPA TQ AVERAGE f N? 2 N?l SMALL EXTRA TO AVERAGE AS TO Sl?f QUALITY COYOTE Save Ycur Pennies For This Sale HYRUM DRUG CO. THE REXALL STORE How Competition Helps You The competition that exists among the hundreds of meat distributors, large and small, means r , - , Rivalry Rivalry Rivalry Rivalry in Prices in Service in Economy in Quality Swift & Company sells meat at the lowest possible price, consistent with quality and service. Our profit cf only a fraction of a n These extremely high prices for Utah Furs are based on the SHUBERT" liberal grading and are quoted for immediate shipment. No. 3, No. 4 and otherwise inferior skins at highest market value. Ship your Furs now when we want 'em. Youll get more money and get it quicker too. well-know- SKUBERT RETURNS WILL MAKE YOU HAPPY SHIP TODAY AND KEEP EM COMING FAST SHIP .Alt YOUR FURS DIRECT TO A.B.SHUBERT THE IM6EST HOUSE IN THEWRLD DEMINS EXCLUSIVEIY IN RAY FURS AMERICAN W. Austin Ave. Dept,3 257 Chicago U.S.A; ALL KINDS OF JOB PRINTING AT THIS OFFICE cent a pound on all products is evidence of keen competition. Swift & Company must provide the best service to your dealer or he will buy from our competitors. This means a supply of fine fresh meat always on hand for you at your dealers. Swift & Company must keep down manufacturing and selling costs, -- and to avoid waste, or use all else lose money meeting the prices of competitors who do. The by-produ- cts Company must make its products of the highest quality, or see you turn to others. This means better meat for you and a greater variety Family Man Swift & of appetizing, wholesome food. We are as glad for this competition as you should be. on our mettle. It helps to keep us Swift & Company, U.S.A. is considered a better citizen than tbe bachelor, and every young fellow of tbe right stuff looks forward to the time when he can have his own cozy nest and wife and babies. Your Big Desire Will Be Realized Sooner If You Start a Savings Account Hero HYRUM STATE BANK |