Salt Lake Telegram | 1932-01-11 | Page 8 | Losses Suffered on Sale of Private Homes Not Deductable from Income Tax Returns under Federal Statutes

Losses Losses Suffered on Sale of Private I Homes Not From Income I Tax Returns Und Under r Federal Statutes Laws Put Individual House Owners at Disadvantage in Making Payments en Dr Br United Press WASHINGTON Jan 11 Losses ll-Losses Losses suffered on the sale of private homes may not be deducted from rom income tax returns but losses encountered I from stocks bonds or business real estate are deductible Allowance for practically lly any loss except that of a home is permitted under the revenue acts of 1918 and 1921 This phase of the income tax laws is being realized today by thousands of Americans who have been forced Ito to sell their homes at losses during the past year Daily requests are arc received received re re- re at the Income tax unit of th the treasury for explanations The feeling of unfairness in this ruling is shared by some administration tion and tax officials The rule however however how how- ever is in the law in black and white Millions of dollars lost during 1931 from the sale of homes will have to tobe tobe tobe be borne by individuals themselves There is apparently no way Y by which losses losse can be discounted on homes as asin asin asin in stocks and aDd bonds Selling stocks at low levels and then repurchasing them at higher figures and listing the losses is an anold anold anold old trick This is permissible under the existing laws provided the stock sales are arc not wash sales Wash sales are arc those made within thirty days on the same some stocks after aHer they have been purchased There is it is understood considerable considerable consid consid- erable crable pressure being brought to bear at the present time to shorten the period of wash sales from thirty days to ten Should this result tax officials officials officials point out home owners who were forced to sell at losses would be placed at a further disadvantage with owners and big money in in- Annually millions of dollars are arc refunded refunded refunded re re- re- re funded to individuals for various losses Between June 1929 and June 1930 1898 1698 protest letters were received from individuals by the board of tax appeals asserting that proper deductions for losses were not made These letters resulted in 11 be being in allowed in refunds During 1931 more than was allowed to individuals and cor corporations for or losses on stocks bonds decreased value of holdings and business bustness bust bus ness real estate I The first deduction for losses suffered suf sur suffered from the sale of homes is yet yetto yetto yetto to be granted i granted granted-ft it is s outside the law