Gilpin observer., March 11, 1920, Image 4

About Gilpin observer. (Central City, Colo.) 1897-1921

Image provided by: History Colorado

                
THE GILPIN OBSERVER
W. J. STULL, Editor and Proprietor.
TERMS OF SUBSCRIPTION:
One Year In Advance $ 2 00
Six Months In Advance H 00
ADVERTISING RATES FURNISHED ON APPLICATION
OFFICIAL PAPER OF GILPIN COUNTY.
INTERNATIONAL
BIMETALISM
Believing the time to be oppor
tune, Senator Charles S. Thomas
has introduced a joint senate and
house resolution, authorizing the
appointment of a commission wil'i'i
powers to confer with the leading
nations of the world, in an effort
to form an agreement with the na
tions for the free and unlimited
coinage of gold and silver at a
fixed ratio, as legal tender money.
Senator Edward O. Wolcott in
troduced a similar resolution
some years ago and congress at
that time authorized the appoint
ment of the commission and Sen
ator Wolcott was placed at the
head of it. Wolcott made a trip
to Europe and held conferences
With the leading men of England
and France, but was unable to
reach an agreement with them
concerning bimetalism.
It is believed that conditions
are much more favorable now
and that the governments of Eur
ope would be willing and perhaps
anxious to enter into such an
agreement. This is a move in the
right direction and if successful
would be of untold benefit to the
gold and silver mining states of
the union. It would have the sup
port of all political parties and at
this time would have no opposi
tion in the United States. It would
insure a good and stable price for
both metals. With gold and silver
both at a premium in foreign
markets it is more than probable
that the nations might find it nec
essary to reduce the amount of
metal in their standard dollars
to prevent them from going to the
melting pot as fast as they were
coined. If this was done it would
maintain the price of gold and
silver at a correspondingly higher
value in the future.
The bonus law of the American
Mining Congress is for temporary
relief; for the present it will pre
vent the smelters from putting
the premium on gold in their own
pockets, but we cannot expect it
to become a permanent law. It
may tide us over until internation
al bimetalism is secured.
The world war dealt a hard
blow to the mining industry while
it was going on, but the results
of that war, the conditions which
Stamp /Will Screens \
Caps, Fuse and Candles, j
Agents for the Old
California Giant Powder j
Quick Silver aud Mill Chemicals, Oas i
Pipes, Steam Fittings, Gold Retorts, t
Belting, Hardware, Stoves, Rope, Etc. 4
The Jenkins-McKay Hardware Co. j
CENTRAL OITY. - COLO. I
»i»iMimni»i»imnm»4 •+•+•+•+•+•
The First National Bank
CENTRAL CITY. COLORADO
ILisiiiess founded in 1862 | f
Kesourrew, $. r >oo,ooo
J. C. JENKINS. President J. C. McSHANE, Vice-President
H. 11. LAKE, Cashier W. 0. JENKINS, AssisUint Cashier
it created, will be beneficial to
mining. The war, so far as min
ing is concerned, will prove to
have been a blessing in disguise.
STOCK DIVIDENDS NOT
SUBJECT TO INCOME TAX
We always try to be fair and
just in our criticisms; we hope
we are mistaken, but in our opin
ion the supreme court of the Un
ited States handed down a decis
ion on March Bth which would be
discreditable even in a justice
court. The court held that if a
stockholder received his divi
dends in the form of stock instead
of money, that it did not become
a part of his income, and was not
subject to the income tax, and if
he afterwards sold his stock only
the profits he made on the sale
became a part of his income. In
other words, if the stockholder re
ceived his dividends in money,
then it would all be a part of his
income, but if he received his div
idends in stock and then sold the
stock, the proceeds of the sale
would not be income, but only the
profits he made on the sale would
be subject to the income tax. It
follows then that if he sold the
stock at the same price at which
he received it, he would make no
profit, would have no income, and
would pay no tax. But we will
quote from the decision; “It is
said that the stockholder may sell
the new stock acquired by the
stock dividend, and so he may if
he can find a buyer. It is equally
true that if he does sell and in do
ing so realizes any profit, such
profit like any other is income.”
In another part of the decision
the court contends that if an in
come tax was collected upon divi
dend stock, the stockholder, un
less he had other resources, would
have nothing to pay it with. If
he had no other resources he
would have to sell some of it to
live, how would it do to have him
sell a little more of it and pay his
income tax?
Under this decision millions of
dollars will have to be refunded
to wealthy stockholders for in
come taxes which they have paid
since 1916.
Men who are increasing their
wealth by the millions each year
| will organize their companies and
THE GILPIN OBSERVER
Charter No. 2129. Reserve District No. 10.
REPORT OF CONDITION OF THE FIRST NATIONAL BANK, AT
CENTRAL CITY, IN THE STATE OF COLORADO, AT THE
CLOSE OF BUSINESS ON FEBRUARY 28th, 1920:
RESOURCES
Loans and discounts .• $ 47,822.69
Overdrafts 261.66
United States bonds to secure circulation 25,000.00
U. S. certificates of indebtedness 16,000.00
Liberty Loan Bonds 17,960.00
War Saving Certificates and Thrift Stamps— 1,694.75
Securities other than U. S. bonds 215,144.79
Collateral Trust and other notes of corporations 13,000.00
Stock of Federal Reserve Bank 1,050.00
Banking house 5,000.00
Lawful reserve with Federal Reserve Bank 20,789.32
Cash in vault and net amounts due from banks 71,969.63
Checks and other cash items 2,787.82
Due from U. S. Treasurer 1,250.00
Total $438,720.46
LIABILITIES
Capital stock $ 25,000.00
Surplus fund 10,006.00
Undivided profits 2,021.30
Circulating notes outstanding 25,000.00
Individual deposits subject to check 181,244.97
Certificates of deposit due in less than 30 days 30,400.00
Dividends unpaid 30.00
Total of demand deposits $211,674.97
Time certificates of deposit 165,024.19
Total $438,720.46
State of Colorado, County of Gilpin, ss:
T, H. H. Lake, Cashier of the above named bank, do solemnly
swear that the above statement is true to the best of my knowledge
and belief. H. H. LAKE, Cashier.
Subscribed and sworn to before me this 4th day of March, 1920.
Walter McLeod, Notary Public.
My commission expires December 24, 1923.
Correct —Attest:
J. C. Jenkins, J. C. McShane, W. O. Jenkins, Directors.
make their investments to avoid
all iticome taxes, but th6 ordinary
person who makes from one to
two thousand dollars per year will
have to bear the burden. The big
interests of the country are in the
saddle and have decided not to
pay their portion of the big war
debt.
It is but justice to add that four
of our nine judges dissented from
the opinion.
DEMOCRATIC CANDIDATES
It is a little early yet to predict
who the Democrats will name in
the San Francisco convention, as
their candidate for president.
Among those prominently men
tioned for the honor are Palmer,
McAdoo, Governor Cox, of Ohio,
Champ Clark, Governor Edwards,
of New Jersey, Hoover and Bryan.
One of the most difficult prob
lems that the convention must
solve, will be to find a candidate
who can command a two-thirds
majority. Should this time-hon
ored custom of requiring a two
thirds, instead of a majority vote,
be observed, any candidate who is
not acceptable, to one vote more
than one-third of the convention,
cannot be nominated.
There are two questions upon
which the delegates will hold on
posing convictions which it will
be difficult to reconcile: these re
fer to the labor question and the
liquor question. All the evidence
we have at hand indicates beyond
a doubt that each of these issues
on both sides of the question, will
be able to control more than one
third of the convention, among
their active partisans and those
who fear their votes or influence.
Should this prove to be the case,
it follows that no candidate could
be nominated who was unaccept
able to the money interests, the
labor interests, to the prohibition
people, or the anti-prohibition
people. This would eliminate
from consideration a number of
the names above mentioned.
Bryan will be opposed to the
lust ditch by the liquor interests
and the anti-prohibitionists. He
will also be weak with the money
interests and will have powerful
"An all-around good shot. That’s us.”
—Chesterfield
W/HAT we’re
W aiming at, is
j— that it takes Doth skill
and precision
| blend tobaccos the
Chesterfield way.
Maybe this is why
L you find " Satisfy" in
: Chesterfields and
nowhere else.
enemies in the convention who
will oppose him on personal
grounds. Palmer will be bitterly
opposed by the labor interests
and those who fear the labor vote
will line up against him. McAdoo
will be unacceptable to the money
interests and all of the secret and
open enemies of President Wilson
will oppose him. Governor Ed
wards will be unable to get the
votes of the delegates from the
strong prohibition states and will
have the strong personal opposi
tion of Bryan against him, added
to the certainty that Bryan and
his followers would bolt if he
were nominated. The same in
fluences that defeated Champ
Clark’s nomination eight years
ago, will have greater weight in
the coming convention and will
defeat him again.
This leaves of the list mention
ed only Cox and Hoover. Whether
either of them will be able to qual
ify as a compromise candidate re
mains to be seen. The names of
other candidates will very likely
be presented to the convention,
but the candidate, whoever he
may be, will have to be a com
promise candidate. It will be ad
visable for the delegates to make
preparation for an extended visit
in San Francisco as the conven
tion will not be concluded in a
day.
An eminent lawyer once said
that in an important case he al
ways tried to get jurymen with
out fixed opinions. Will the Dem
ocratic party be compelled to
adopt the same method in select
ing its candidate for president?
For anything in the grocery
grnin in large or small quantities,
line go to the Hawley Mdse. Co.
They have a complete stock of
both staple and fancy articles.
The freshest of fruits and vege
tables in the market. Hay and
grain.
The Observer is equipped to do
any kind of printing with expert
skill, from a label to a prospec
tus. Give us a trial if you don’t
believe that we are past masters
in the typographical art.
Send the Observer east.
U. S. INCOME TAX
EXEMPTS NOBODY
Every Person Who Had Income
in 1919 Must Determine
Own Liability.
MARCH 15 LAST FILING DATE.
Burest Way la to Follow Form 1040A.
Fraa Advice in Doubtful Cates.
Severe Panaltiea in
Law.
Nobody la exempt from Income Tax.
An obligation Is laid directly on the
shoulders of each citizen and resident
to consider Ills own case and to get his
return In on time if one is due.
With each return showing a tax due
a payment must accompany the return
In the full amount of the tax or at
least one-quarter of the tax.
All returns for 1019 must he filed on
or before March 15.
Must Show True Figures.
In figuring up his earnings for In
come tax purposes a person must take'
into consideration all items of taxable
income, and each item Itself must he
accurate in amount. Guesses and es
timates must be avoided, for the re
turn is made under oath.
Everybody who had an income dur
ing 1919 must now determine whether
his or her net Income was sufficient in
amount to require an Income Tex re
turn. The best way to find out is to
get a Form 1040A and follow the In
structions printed on it. That form
will serve as a reminder of every item
of income; and if a return is due, it
tells how to prepare and file it.
One of the important points to keep
In mind is that a person’s net Income
is found by a computation prescribed
in the law, and that each item of in
come from every source must be con
sidered, unless specifically exempted.
Another thing to remember is that
the personal exemption allowed tax
payers by law has no relation whatever
to the requirement to file return. This
exemption is not to be considered until
a person has figured out his net in
come and determined whether it was
sufficient to require him to file a re
turn. Then, If a return must be filed,
he should read carefully the instruc
tions for claiming exemption, and com
plete his return.
If in doubt on any point ns to Income
or deductions, a person muy secure
free advice and aid from the nearest
Internal Revenue office. Many hnnks
and trust companies are also furnish
ing similar service during hanking
hours.
Heavy Penalties In Law.
For failing to make a return on time
the penalty Is a fine of not more than
SI,OOO and an addition of 25 per cent
to the tax, if any. For making a false
or fraudulent return the penalty is a
fine of not more than SIO,OOO or im
prisonment not exceeding one year, or
both; and, in addition, 50 per cent of
the tax. There are other penalties for
failing to pay tax when due and for
understatement of the tax through
negligence.
Many Sources of Income.
Aside from what one may earn hy
his services, there are many other
sources of Income. If he sold any
property during 1919 he must figure
out the gain realized. If lie rented
buildings, land, apartments or rooms
such rents must he considered tnxa
nble, and lie may claim deductions for
necessary expenses incidental to rents.
Hank interest Is a common source
of Income and Is taxable whether with
drawn or not. Any amount of interest
credited to a depositor is income to
the depositor.
Interest on mortgages and notes Is
tuxable; also bond interest received
from corporations.
A taxpayer who cashed his insur
ance during 1919 must report as in
come any excess received over the to
tal of premiums paid.
Members of partnerships or personal
service corporations or beneficiaries of
an estate or trust must report their
shares of Income distributable to them
whether or not actually withdrawn.
Dividends of domestic corporations
must be reported. Many other forms
of income ure tuxable, unless specific
ally exempted.
INCOME TAX IS
DUE MARCH 15
Penalties for Delay and Failure
to Make Returns—Early
Compliance Urged.
All Income tax returns covering the
year 1010 must he tiled by Monday,
Murch 15. Each taxable return must
he accompanied by check or money or
der for the full amount or at least one
qtiurter of the amount of tax due.
(’ash payments are accepted only at
the collector’s main office; If sent by
mail, they are at the sender’s risk.
Residents of Colorado should (lie
their returns with, and make payments
of Income Tax to, Mark A. Skinner,
Collector of Internal Revenue, Denver.
Col.
Those who must file returns hut
have not done so are warned that the
revenue law imposes heavy penalties
for failure to get returns in on time or
to make payments on time.
Early filing and early payments are
urged, In order to relieve the Interim!
revenue offices ns much ns possible of
an overload on the thin I day, March 15.
THE MATCHMAKER
By ADELAIDE R. KEMP.
(©. 1920, by McClure Newspaper Syndicate.)
Margaret leaned forward in the seat
of the buggy. “Come, Ned,” she said
in a pleading voice, “Do go ahead,
there’s a dear. Don’t you know you
are making an exhibition of yourself?
This was followed by a clucking
sound and two slups from the driver s
reins. But Ned had succumbed to
stubbornness ami proved obdurate to
even her pleasant voice. Margaret
sighed.
“Why didn’t I listen to 4 Aunt Mury
and take Dick when I knew perfectly
well what might happen with Ned?
Now I am probably doomed to stay
here for several hours.” It was at this
moment that she was startled by the
voice of a young man who had come
along the road unnoticed.
“Caq I be of uuy assistance?” he
asked.
“I don’t know,” said Margaret
frankly. “Do you know anything
about balky horses?”
Before he could answer there was a
sudden move on the part of the stub
born one.
But to Margaret’s admiration the
rescuer carried the war into the ene
my’s country. With a quick Jerk he
forced that obdurate animal to philo
sophically accept defeat und amble
along.
Margaret was delighted and
thanked her knight errant warmly. *•
“I don’t dare stop,” she said, “but
If you are going my way perhaps you
could jump in and ride too.”
He quickly accepted the invitation
and they were soon chatting like old
friends. In the interchange of confi
dences Margaret learned that his
name was Robert Mason, that he bad
just returned from overseas hospital.
| und was here In the little town of his
i father’s boyhood for a month to re
j cuperate.
“This is my aunt’s” said Margaret
as they stopped before a fine old
fashloned house sheltered from the
ocean breezes by a row of tall pine
trees. “If you ever want to win Aunt
Mary’s favor,” she continued, “just
mention those trees.”
“Thank you for the valuable tip/*
answered Robert, laughing, us he
stepped down from the buggy. He
mustered all his couruge. “Do you
think your aunt knew my father
enough when he was a boy to warrant
my calling and talking about him?”
They were close to the porch now,
and a stately white-huired lady was
In the doorway.
“Aunt Mary,” called Margaret,
“here is a young man who says he
would like to meet you for old-time's
sake.”
Robert stood hut In hand, on the
lower step, as Margaret’s aunt came
nearer and looked at him Intently.
“Come closer, young man,” she said.
“You look like a boy I once knew.
What is your name?”
“Robert Mason,” answered the
young fellow, flushing.
“That’s it. You are James Mason’s
son. You are very like him. We have
heard some wonderful things about
his success. Is he well?”
“Yes, thank you,” answered Robert.
“He wished me to B(>end a vacation
in his boyhood’s home. He said South
port was famed for its beauties—of
all kinds.” He was quite astonished
at ids temerity, but Margaret only
laughed softly.
The days passed very pleasantly af
ter this. Robert was a welcome vis
itor at the old house with its beauti
ful row of trees. Many dutiful let
ters passed between father and son,
and at last, after one huppy evening
on the old porch Robert wrote of his
great happiness. Margaret laid prom
ised to become bis wife.
“You’ll be sure to like her, Dad.
Site Is a real country girl. She lives
with her aunt, Mrs. Mary Winslow,
In such n quaint old house. Her name
Is Margaret Dunton.”
By return mail came an answer to
Robert’s letter.
Robert could almost hear Ids fath
er’s chuckle between tlie lines.
“Your little country girl is an aris
tocrat on the very top social shelf,
the niece of the very finest family in
Southport.”
“I don’t care." said Robert t»> him
self, hurrying on toward the house Irv
the pines. “She’s the dearest in the
world. I cun never he grateful enough
to old Ned for his obstinate Introduc
. tion."
Historical Tree Felled by Wind.
A huge and venerable tree closely
connected with two wars, although In
quite different ways, was blown down
by the wind, recently.
It stood near the main entrance of
Walter Reed hospital, was a landmark
at the big government Institution and
a favorite with the thousands of crip
pled men. On Its trunk was a sitfi
1 stating that during the time of Jubnl
Early ( s determined and utmost success
| fill attack on the national capital Con
federate sharpshooters useif Its‘heav
ily leaved brunches ns a base of opera
tions.—Washington Star.
First Worsted Stockings In England.
It was during Elizabeth’s reign that
Sir Thomas (ireshum Introduced the
manufacture of pins and ribbons. Knit
ted worsted stockings, too, were first
made about the year 1500, by a London
apprentice, named William Ryder, who
having seen Nome thut came from
Italy, Imitated u pair exactly, und pre
sent them to William, earl of Pem--
broke.