Show I Your Yo tt Income Tax 0 21 Inquiries received b by the bu- bu bureau bu bureau reau ot of Internal revenue ro contusion confusion in the tho minds ot of the writers concerning tho difference between business expendItures nd business expenses ss expenditures are aro ro not always as busi- busi busi business ness fleas within the meaning me of the llio Income income tax law A mer- mer merchant merchant mer merchant chant Inay may build an addition to lohli his store tor at ot a 0 cost of This Is la a capital expenditure for tor foran oran nn an addition to his assets Capital expenses are arc not d deductible Distinction is ts made madl between n 1 a- a ex expenditure for tor or an nn on and 1 ex- ex ex expenditure In connection with II au aMe asset If It the tho th merchant should 1 during tho the year ear upend spend GOO on repairs to his building such uch as repainting the tho root or repairing broken windows he ho may deduct o euch m h amount as a 0 business ex- ex expense ox pen cx-pen pense e Medical laor law la or other professional books book machinery Im- Im Implements Im ml Implements or surgical Instruments Instrument purchased by U a a taxpayer for tor use 1130 useIn In his Ilia business trade or op vlon alon anti and which are ot of o a perm nent character eh nr are arc capital as- as assetS as setS and their theil cost coot Is not deduct deductible ible S The Tho purchase price pric of ot an auto auto- auto automobile mobile oven even when who for Cor business or professional pur- pur pur posos Is 11 Q a a capital expenditure and anel not deductible The Th cost of Jaso- Jaso gasoline I line repairs repair and upkeep of an automobile Is s deductible If It used wholly In business If It used u cd partly p for for and partly for pleas pleas- pleasure pleasure pleasure ure and ond convenience of tho tax tax- taxpayer tax taxpayer payer and his tl family II such cost should bo be apportioned according according- ly Iy I The proportion of or cost co t justly to purposes c cis ox- ox ex expense is as aa a necessary pense |