Show TORIES FOR the following statement on inventories tor for income tax tor for 1922 Is issued by collector of internal revenue james H anderson ot of the district of 0 utah merchants manufacturers and business men generally need experience no difficulty in taking their inventories ven tories tor for the year 1322 1922 to conform with the new revenue act the language of the revenue act of 1921 sec see relating to inventories Is that whenever in the opinion of the commissioner the use of inventories Is necessary in order clearly to determine the income of any taxpayer inventories shall be taken by such taxpayer upon such basis as the commissioner with the approval of the secretary may prescribe as conforming as nearly as may be to the best accounting practice in the trade or business and as most clearly re te fleeting ting the income present treasury regulations pro vide that inventories must be valued at either cost or cost or market whichever Is lower taxpayers were permitted regardless of their past practice to adopt the cost or market basia basis whichever ia Is lower in taking their inventories for 1921 thereafter the regulations provide changes can be made only after per mission Is obtained from the commissioner commiss miss loner of internal revenue in the case of a merchant cost means the invoice price less trade or other discounts excepting strictly cash discounts approximating a fair rate of interest which may be de ducted or not at the option ol 01 the taxpayer provided a consistent course la Is followed to the net invoice price should be added the cost ot of transportation and other necessary charges charge 3 incurred in acquiring possession ot of the goods in the case of a manufacturer cost means tha the cost of raw materi als ale and supplies expenditures tor for labor and indirect costs incident to production including a reasonable proportion ot of management expenses but not including any cost ot of selling or securing return on capital |