Show TAXING OF NKSr < A Important Decision by Commissioner Internal Revenue Washington Dec JThe J Commissioner ot Internal Revenue has rendered a decision de-cision In which he holds that bankers must return fOr taxation surplus un divldcd profits and borrowed money used In the business of banking The Commissioner Commis-sioner holds that capital Is taxable whether Invested as In tIt case of the United States bonds or the bank building or the circulating as In the case of money including money borrowed also sudplns Including undivided profits In providing that surplus shall be included in-cluded as capital the decision says It I obviously tIlt purpose of the law to have the tax Imposed apply all money used or employed by banks as capItal In carrying on their business Money borrowed by banks and used as capital Is held to bo taxable and It Is clearly no less liable to tax because 01 tho fact that It Is borroveu by a bank from Its own undlAlded prollls Tho fact that surplus so used consists wholly orlll part of undivided profits or that such undivided profits have or hiiAo not been formally act apart from such seems whollY Immaterial l so far as the purpose of the act concerned Ft Is tho use and not the authority to use that brings uch profits within the taxing provisions of the act |