Greeley Daily Tribune from Greeley, Colorado on December 28, 1962 · Page 5
Get access to this page with a Free Trial

Greeley Daily Tribune from Greeley, Colorado · Page 5

Greeley, Colorado
Issue Date:
Friday, December 28, 1962
Page 5
Start Free Trial

Tax Revision 2 7962 Tax Low Changes Ru//ngs On Overseas Income for Many f I ^ I 'IV »I11 1 *'f \-t-it ,.., ' Life's Like That EW10KS NOTE-Tne new tax revision law which takes effect Legislators handling the tan bill Jan. 1 is of particular interest to said she was the star's wiie Americans who live abroad and American companies with subsidiaries oversea*. The following article, se'.'oad in a series, describes these provisions. By JOE HALL WASHINGTON i A P i - Movie Hais ,,i,d other Americans who live overseas will find themselve: The present tax code gives U.S. citizens, v.-ho arc bona fide residents of a foreign country, full Jicome tax exemption on all earn ings derived from sources outside send a child back to the UniUd this country. Secretary of the Treasury Doug- ry reported the same income. ually in applying the limits. One-| third would be included in UM.i two-thirds in 1965. and the full value from then on. Fringe benefits could include such things as special allowances to an executive to permit him to States to attend college. The foreign resident can sub- as Dillon said that 41,000 persons tract from U.S. taxes the levies took advantage of this in 1960 to paid in the country where he exclude $440 million in income, lives. But in many countries, in- subject In L.s. income tax on money earned abroad nn/Jjr ifc. 19112 tax revision law. Hie law. which takes effect generally Jan. 1. also increases taxes lor many firms which do business overseas. The Treasury in urging that foreign income of U.S. cituen.-. be nwde taxable oiled one actor liv- ini; in Switzerland who reportec Jl.099.7J)! of tax-free earninc* in 1»! A housewife in the same coun- 1 Aluminum . . . | 1 STORM DOORS 1 f WINDOWS 1 I C L I F T O N S| 1 '. HOME SERVICE 1 352*006 __ | congress was told Wat many oi thes* apparently went abroad tor the lax advantages. A movie Mar, lor example, could derive income from a foreign company set up to make a picture, but most of the (Urn's profits would result from showings in the United States. President Kennedy recommended an end to the exemption altogether but t'ongrcis declined to go that far, mostly because it felt some added incentives should be continued for executives to take posts abroad with American companies doing foreign business. However, the new law sharply curbs the tax-exemptioi, privilege. It is limited to $30.000 a year for the first three years the cili«n is a bona fide foreign resident, aixj $35.000 annually thereafter. which the person .night receive will be taken into account grad- NOTICE TO ALL RESIDENTS of (hi North Weld County Water District The Board of Directors of the North Weld County Water District, wish to announce that the deadline for petitioning tn he included in the District has been set for January S, 1963. If you are not in the District now and wish to he included, or If you are not sure whether ynu are in the District, get in touch with Parker and I'nderwood. 21I2X West Tenth Street, lireeley, Colorado, Telephone No. 353-0330. Also, if you have not signet! a lap agreement, you must do so on or before January 8, Hlfi:i. After that date the price for the minimum size t»p will be increased to $350.00 for those people then in the District. These tap agreements may also be obtained at the office of Parker and Underwood. If you have already signed a tap agreement hut have nol paid the balance of the purchase price, send vour check by January 8, 1963, to Mr. Fred Brunner Jr. Windsor, Colorado. Don't forget the Uond Election on January 8, 1963 All tax-paying electors are urged to vote. Ernest W. Tigges, Secretary luding Switzerland, theje are nuch lower than U.S. rttes. The new rules spply to amounts eeeived after March 12, 19«. for services performed after Dec. 31, 962. and to amounts received aft- r Dec. 31, 1«J, for lervkes be- ore that. The former provision J imed at »dvance-payment ir- angemenU. Taxation of earnings of foreign ubsidiariei of American complies produced OM of the biggest ontroversies in congressional consideration of the revision bill Those earnings ire not now ~ axed In this country until repa- a rlated ai dividends. The new law will subject to ** current taxation most of the earn- w ngs of foreign subsidiaries which serve as ales outlets, personal cl holding companies, or sen-ice or " ganizatkms. °' Earnings of manufacturing sub- M sidiaries will not be affected by he law. Nor will it apply to in el come of any subsidiaries in un vl dcrdeveloped countries. i' 9 The new law substantially ends P 1 what the Treasury describes as a double allowance resulilfig in a °* ower tax than the U.S. corporate " rate on earnings o( foreign sub- " sidiaries which are brought back o this country. P The tax code now permits the '' foreign income lax to be deduct- " ed from profits in computing the " U.S. tax.and then a good part J of the foreign lew Is allowed as 1 st Beautiful : CANDLES u in decorator colors. p ·j^jj^r -- ·* ~ ^^_ , p "Evirylhlns lor the Oftict" ( 1103 Ith Avt. 3 Veterans Urged NotToWriteVA About Dividends Veterans were urged tod»y no! to write the Veterans Administration concerning either the regular annual insurance dividenc nor the special insurance dividend that they are to receive in Jan- Friday, Pet. 28. 19«2 GREELEY TRIBUNE Pit* 5 World War II ly. Veteran policyholders of the Korean Conflict will not partici-i pate in either dividend, spokesman said. From Belfast User Taxes Rise WASHLNGTON-State high*ay- BELKAST - Cuiord Eagle *. fw | flights between Belfast and Loo-' jdon are likely to become a regular daily service by May. 1963. The company has won the right inquiries will only! 4 ' 2 f* rwm from 1961 "Yw'r. h»«r» uymf, "Wtij fcn't I fii tvtr wm, «f my cMm' . . . wh«t w*uU yw tuffttt wMi my hifh K hMl kUnwriT" uary. Answering slow up the machinery and cause delay in getting payments made, a VA spokesman said. The payments are automatic, no application is necessary, the spokesman explained. The special and regular dividends will be Mid with one check, with the VA Mping to get most veterans paid in January. The regular dividend should be close to the amount the veteran received this year. The spe cia! dividend will be approximate ly 40 per cent of that amount. Approximately $222 million will go to veteran policyholders ol World War II, and $15,600,000 to policyholders of World War I in regular annual dividends. The additional special dividend of some $90 million will go to user taxes lor 1962 are expected drawn out discussions to total $5.800.000.000. up about i to operate on the route after long I USE THE TRIBUNE WANT ADS NOTICE! Valley Oil Company Now under the new management of Red Sorreil 25 years experience in the Auto repair field and will offer complete automotive repair. --OPEN DAILY 7 A.M. TO S P.M.-Evans, Colorado a credit against the U.S. liability. This can result in an effective tax rite of 4! per cent or lets on such earnings. Under the revision law, the computation method will be changed so that an effective rate of 52 per cent will be paid, the ime as oo domestic profits. However, this will apply only to earning! from subsidiaries in developed countries. The double allowance (till will be permitted on roftu made in backward nations. Red estate owned abroad will ·* included is the gross estate of U.S. citizen or resident who dies after July 1, 1964. The provision also applies to a wson who dies alter Oct. It, 862, the date of enactment of the evision law, il the property was icquired for a consideration after Ian. 31, 1962. Foreign real estate is not mm subject to the estate tax. NEXT: Taxpayers who expect o make expense account deduction claims better be well supplied with notebooks. Pakistan to Build DACCA - The East Pakistan overnment has decided to set up 50 Mft nuclear power plant 'ar Ishwradi in the Pabna dis- rict with the purpose of develop- ng industrially and agriculturally ne northern districts of the prov- Billion Given Yearly NEW YORK - Philanthropii expenditures by private and pub lie organizations for recreations purposes run to about a billion dollars a year, the American As soelation of Fnnd-Raisiag Counse estimates. NOTICE TO CREDITOR* I thr OttNtr C0«rt !· »4 (or 1h* C»MBIr ef WeU ··* Slalr of Colurade Xr. si:o E»tltt of I.AWKEXCE E. SATTERTHWAIT. Dectastd. AH person* hiving clttms .ffaitut ;hr above named tllatt .re required to file them for a! owancf In (he C o u n t y Court of Veld County, Colorado on lefore the 17th day of June, »6S. or laid clalrai ihall be orever barred. TILLIE SATTERTHWAIT Administratrix With Wi Annexed lames H. Shelton. A t t o r n e y The (Jreeley Daily Tribune Dec. H. 21. :i. 136!, Jan. I, 196! Get 'em Now! Don't forget! We have a special deal on Batteries Anti-Freeze · Prestone · Zerex OTICK TO CREDITORS Ike lo««ly Co.rl In ·» l.pll Ike Co«»lr ,,t Weld « Mate of Colorado No. SI 16 Estate of VOI.XEV C. HATES, I alsc k n o w n as V. C. GATES, De-|[ All persons bavin*- claim* against the above named estate!' are required *o f i l e t h e m for a l - j ,0-wance in the County Court of| Weld County. Colorado, t before the Ifith day of June || 1963. or »«ii! claims shall bell forever barred. FLORENCE D. HATES EKecutrUll John \V. Henderson, Attorney The Crerley Daily Tribune Dec. 21. 58, 1965, Jsn. 4, 11. 19631 Tire Chains Thermostats Hurry In Today I I llth St. at 6th Ave. Phone 352-0133 EXTRA WHEELS FOR SNOW TIRES for Ford, Chevrolet and Plymouth Buick, Oldsmobile and Pontiac 14-inch Wheels 15-inch Wheels »nd All Sizes of Wheels For All Cars Get a quick start with one of our Engine Heaters Priced as low as ISO Saturday and Sunday c, ·^ *^ ^D/ 11:30 a.m. to 8:00 n m e %/ The Modernistic Place A place where you can get what you wont -when you wont it. 11:30 a.m. to 8:00 p.m. SIRLOIN STEAK $1.19 CLUB STEAK $1.22 FILET MIGNON . . .$1.30 SHRIMP and CHICKEN. . $1.35 JUICY y 4 -lb. HAMBURGER $.60 COFFEE 5c PIE $ .15 Low in Price -Best in Quality "s. FREE COFFEE and DOUGHNUTS ALL DAY ALL MEATS Exclusively U.S. Choice No TenderizeTM W» hovt completely remodeled and have changed from a Cafe to a Self-Service Restaurant. Registration for 3 FILET MIGNON STEAKS You Do Not Hare To Be Present To Win No Purchase Necessary Sam's Steak House 9081/2 8th Avenue 352-9958

What members have found on this page

Get access to

  • The largest online newspaper archive
  • 9,800+ newspapers from the 1700s–2000s
  • Millions of additional pages added every month

Try it free