Page:United States Statutes at Large Volume 43 Part 1.djvu/300

sixrrr-mourn ooucnnss. sm. 1. cs. 234. 1924. 269 Territory, political subdivision, or the District of Columbia, bears to 'N°°“ MX- the amount of the net income from the operation of such public utilit for such taxable year. (B) If by the terms of such contract no part of the proceeds from stiisI:°Z%1i:°$$ iii? the operation of the public utility for the taxable year would, irre- °°'“°°‘P°”°¤ °°*¤b*°· spective of the tax imposed by this title, accrue directly to or for the use of such State, Territory, political subdivision, or the District of Columbia, then the tax upon the net income of such person from the operation of such public utility shall be levied, assessed, collected, and aid in the manner and at the rates prescribed in this title; . (8)) The income of a nonresident alien or foreign corporation ,i§,“§'§,E'{,§’b§,”,§§mf,‘;§j which consists exclusively of earnings derived from the operation of dm ¤¤¤¤» awa ship or ships documented under the laws of a foreign country C°“dm°'”· which grants an equivalent exemption to citizens of the United States and to corporations organized in the United States; Wamskmdmh bn (9) Amounts received as compensation, family allotments and irsuqu ¤u¤wa¤¤s,°¤¤d allowances under the provisions of the War Risk Insurance and the p°“s‘°‘”· Vocational Rehabilitation Acts or the World War Veterans’ Act, 1924, or as pensions from the United States for service of the beneiiciary or another in the military or naval forces of the United States in time of war, or as a State pension for services rendered by the beneficiary or another for which the State is paying a pension; (10) The amoimt received by an individual before Janua 1, mggcmibqgfdggm d¤- 1927, as dividends or interest from domestic building and Tlban mum mutex; associations, substantially all the business of which is conlined to 1·“?"‘ making loans to members, but the amount excluded from gross in- L"”“‘ come under this paragraph in any taxable year shall not exceed $300; _ , (11) The rental value of a dwelling house and appurtenances dwI§‘§'}§g,[" “°""*“° thereof furnished to a minister of the gospel as part of his compensation; . . (12) The receipts of shi owners’ mutual protection and indemnity ¤»ii¤°ZiZiiiii°¤¢u°ii1¤sssii:¤KiZ_ associations, not organized) for proht, and no part of the net earn- ““;:;’£dcmm ings of which inures to the benefit of any private shareholder; but ' such corporations shall be subject as other {persons to the tax upon their net income from interest, dividends, an rents; Spam, dmwm to (13) In the case of an individual, amounts distributed as divi- Chinesertesidegtsfrom dends to or for his benefit by a corporation organized under the g?,"§,,,,'?°° °‘°°" China Trade Act, 1922, if, at the time of such distribution, he is a §:};*;·gg;“°· citizen of China, resident therein, and the equitable right to the ` income oghe shares of stock of the corporation is in good faith vested in `m. (c) In the case of a nonresident alien individual, Ugrom income gxlfegi ; means only the gross income from sources within the nited States, from umm sms determined under the provisions of section 217. “°“'°“‘ Deductions allowed. nnnucrrons Annownn INDIVIDUALS. ‘ Sm. 214. (a) In computing net income there shall be allowed as mms sp°°m°d` deductions: B (1) All the ordinary and necessary expenses paid or incurred dur- °x°°°°°°’ ing the taxable uyear in carrying on any trade or business, including a reasonable a owance for salaries or other compensation for per- _ hh sonal services actually rendered; traveling expenses (including the °t°” entire amount expen ed for meals and lodging) while away from home in the pursuit of a trade or business; and rentals or other pay- ments repuired to be made as a condition to the continued use or lpossession, or purposes of the trade or business, of property to w ich the taxpayer has not taken or is not taking title or in which he has no cqwty;