The following text may have been generated by Optical Character Recognition, with varying degrees of accuracy. Reader beware!

* *" V " '< ' '••< ~yw\ f• * ' ,•'< 4 '*, «R» Income Tax • ry< • -ty- ••! I y '$ #fMS& THE McHENRY rV'nlltfr jVi" It '«* 4% ;-V'%"- •Aniinil unrii H If Enert J. Sauber .aptwter of Internal Revenue ,gj- r.F.. . First -,i District of Illinois CliijWIlH Depreciation Despreelatioh is a subjtfet of great concem for federal income tax filing as"well as a topic of much discussion for accounting purposes. Our aim is not becwne involved in the numerous points of view or variety of methods used in estimating depreciation, but to seek the practical method which will provide k reasonable allowance of a deduction in order to file a proper return. * Deduction Provided fly Law >;• Income-producing- assets used In a business hfk>e a certain useful life. Their gradual wearing out and exhaustion is an expense of the business. As a Compensation for this expense as well as to prevent the impairment of capital, the law allows a deduction providing for the spreading of the depreciation over the useful life of pie assets. Depreciation Not Decline In Value A taxpayer is allowed by law to deduct from gross income a reasonable allowance for the wear and tear of income-producing assets. Of course, this is known as a deduction for depreciation. One. must not mistake depreciation with' a mere decline in value of the asset. There must be physical exhaustion of useful life due to time and use. Repairs And Improvements Repairs and improvements have a different relationship to the useful lif<$ of the asset. Repairs technically do not alter the useful life of the asset,- but its life expectancy depends on the extent of repairs made and properly maintained. Improvements or repairs in the nature of replacements, which prolong the useful life of the asset are to be treated as capital erpenditures and not deducted as expense items. The allowance for depreciation Is limited to assets or property used in the taxpayer's trade or business or property held for production of income. This does not preclude the owner of real property from taking the deduction even though the operation of ^uch property is not his principal trade or business. Ownership Not Required Ownership of property M#d not be a prerequisite for claiming depreciation deductions. A person in possession and using the property to produce taxable income i«i entitled to depreciation deduction even though legal title is retained by the seller as security for payment of purchase price. Method Most Used The "straight line* prtthod Is most widely used to compute depreciation allowance. The rate of depreciation is assumed to be uniform during the useful life of the property. It- is computed by dividing the cost* or other basis of the property, less its value when worn out, over the estimated number of years .of its useful life. '•* the property on the date of conversion or the cost or other basis, whiclflver is Icftfer. Records Required The regulations require deduction for depreciation be recorded on the taxpayer's book. The book should show the basis of the depreciable property and any adjustment thereto. In general, the burden of proof, is on the taxpayer to establish his rights to a depreciation deduction. They must be able to furnish full information regarding cost or other basis of the assets on which depreciation is claimed, the condition, the age, and the remaining useful life.. V A OFFICE OPEN , All benefit programs for' erans or^ their dependents administered by the Veterans Administration may be applied for or discussed with VA's visiting representative of the Rockford VA Office, who will be in Woodstock Tuesday, March 10. VA's Determining The CrtU Life ; "I".J""',,'"!, The matter of determining use-1"> Woodstock at th. ,U. S, port ful life often confounds taxpayers. Often guesses are made, which have no foundation in fact, with the result that taxpayers have to revise their depreciation schedule affecting the final tax liability. The useful life of property or income-producing asset may > be based upon one's own experience and knowledge. This method may be applied with standardized assets. Personal And Business Use When property is used partly for business and partly for personal use, the depreciation is allocated to the part used for business. In case property is occupied rent-free by relatives of a taxpayer and the property is not being used in a trade or business and not producing income, the depreciation is not deductible. When residential property is fconverted to business purposes, the basis for depreciation is the fair market value of office building, second *rom 10 a.m. to 4 p.m. ORIGINAL GOAL OF FARM BUREAU GROUP SURPASSED With the motto "Raise with Kane," the McHenry county Farm Bureau hopes to surpass the record' of Kane county in membership, the latter having long been a leader. By last weekend, and with one more week is' the present campaign, McQenry was within thirty-three members of its neighboring county. Since Feb. 1 of this year, 174 farmers have become members of the organization. The original goal has been surpassed and a new goal established in carrying out the rftotto mentioned above. Among those responsible for the growing membership are Charles Weingart of Mchenry and Kenneth Cristy of Ringwood, each of whom has signed eight new members. McHenry is at present in the lead in the race among townships, with nineteen members signed. Thursday night, March 6, marks the conclusion of thte floor, j drive, with a dinner for all v I workers and wives at Westwood school, hear Woodstock. A big victory celebration is being planned with the first showing of the new Farm Bureau movie, "So Much Depends," 43 $. to the campaign. \ Junior Piir Board ; Met To Plan '53 Event The first meeting of the McHenry county junior fair board was held last Thursday night at the Farm Bureau office, with thirteen members present and/ in addition, a number Of other, interested persons. During the meeting, B. D. Howell of McHenry resigned as secretary and Herman Ehlert of Crystal Lake was elected to take his place. President Henry Marlowe announced various committee chairmen appointments. An appropriation of $350 was made to build panels for the hog barn, on which the vocational agricultural departments of the county agreed to do work; The 1953 fair will be, heldf Aug. 22 to 25 at Woodstock. Subscribe To The Plaindealer NAME COMtOTTEE IN CHARGE OF 'S3 MAYSLAKE RETREAT Many men from this community Have expressed a desire for more information regarding the Mayslake retreat at Hinsdale, 111., since announcement that a special time had been assigned to McHenry. Local men will make the retreat the weekend beginning fttday, March 20, and concluding March 22. Such a retreat Is open to all men, young and old, who desire to make a strategic withdrawal from life's distractions. While they are designed for those of the Catholic faith, non-Catholics aft welcomed. The retreats begin at 7 p.m. Friday and are concluded at 7 p.m. Sunday. Mayslake is about eighteen miles southwest of Chi' Thursday, Mircfa 5, 19^3 ^ B. cago's loop and thus is not a; great distance to travel. ; • ^ Anyone interested in leaming|^| more concerning the retreat is;rf~ asked to call a Tfhember of the .y committee on retreats: Earl^ i Walsh, Albert Blake, Maurice^-vj Clark, George Larkin, Edward j Frett, A. P. Freund, LeRoy ; Welter, Arnold Rauen, Clarence, Anglese and Paul R. Yand%;v . ^ . Read The Want Adsf < "SPEEDY* * McHENRY GARAGE •HKBr M<5M52*M W^AHO THAT PLACE IS NICK MILLER* NCMfNRYGAMrt THBtRSBBVICe KSUPE*B\ {I. ... WILLYS-OVERLAND SALES 1604 FRONT STREET ' * f PHONE 40# * * * * * * * * * • * ;* * * * * * * >* * * * * * * * * * * * * * * * * * * * •* * * * * * * i * * * * * * * '* * * * * * * * * >* *•**'* !*»*:*!*}*'# ;f T. E. RIETSEL Wonder Lake, Illinois PHONE 4293 Take It Easy- Take A Cabl Wfceathe WMthei'A taUl , When yon want to reach your destination In ft hurry . . When you have luggage or heavy pack- He* with yon, it's time to call us for a cab. Remember our ! § Due To These Special Prices All Stores | | Retain The Right To Limit Quantities. | lllllllllllllllllllHJIIIIIIIIIIIIIIIIHIIIIIH«lll!llllllllllllllllllllllllllllllllllllll^ FRIDAY and SATURDAY. MARCH 6 & 7 IKIIUHIIIttillltHnHHWniUIHWIIIIIUIHIIIIIIIIimillllLH Prices Listed Below Are Available | Only Until Present stocks Are Ex- §§ hausted. " liuwiiiHntiiMiMnHiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiirTl; • PHONE 723 McHENRY CAB SAVE $2.40 MEN'S WILSON WHITE SHIRTS $3.95 Grade ^ 2 for $5.50 STORE FOR MEN 117 So. Green Street Phone 41 SAVE $15.00 JACOBSEN' OAT -BCLIPMB Power Lawn Mowers * 1500 All Size? '• * ALT HOP OCT Reg. Price •i 4-«.' • c V A' I".' •* "McHsnry County's Leading Hardwire*" 601 ljmin Street Phone 284 SAVE 80* X : • - \J Handkerchiefs 12 $1°° Large Size - White - Hemmed » v Regularly 15c each , - _ . FRANKLIN , ' Locally Owned -- Nationally Known ™ 112 So. Green Street McHenry, 111 ww, » p, !*L mw uml M PuI*L Uf Pi SAVE $3.00 CLOTHES HAMPER «4» Regularly $7,00 t. M. JUSTEN FURNITURE NEXT TO THE BANK 52S Main Street Edw. F. Coates, mgr. Phone 69 SAVE 10* per sq.ft. CUSTOM MADE METAL HEAD VENETIAN BLINDS 40c a Square Foal TONYAN'S HOME FURN. 208 E. Elm Street Phone 917 MEN'S SAVE 80* WORK SHIRTS «269 Green - Forrest Green - Grey or Tan Regularly $3.49 ^ FITZGERALD'S MEN'S SHOP IN So. Green /Street Phone 19 SAVE $5.95 ARVLN TABLE MODEL Regular Price $29.95 Others Priced Accordingly I F. M. RADIO - 1UEVKION BARNYARD PAVEMENTS . r on " * Sanitary ' • •'* " --V _ ... * Economical • Labor Saving -f • -. \ • Fmod*Savlng ; find • Lost a lifotlmo mado^ith READY-MIXED CONCRETE "COR dozens of other impcoremtntt around the Carat, no other Material offers the service sad economy of firesafe, enduring concrete. If yom are planning a new la* proof poultry house'floor, sanitary dairy barn floor, a 206 Elm Street SALES -- SERVICE Phone 979 SHOP AT HOME A N D SAVE ."••Xv SAVE $L00 V SPEEDMASTER ELECTRIC TOASTER Regularly $3.49 ACE HARDWARE W. B. BJORKMAN & SON 180 N. Riverside Drive Phone 12% \ U r SAVE $3.95 WOMEN'S -- CHILDREN'S SHOES'2" Wedges - Oxfords - Straps Closeout - Not All Sizes - Values from $3.98 to $5.95 GLADSTONE'S DEPARTMENT STORE JOS So. Green Street Phone 182 SAVE $L2I R0SARIE and CASE *2M Regularly $3.25> • STEFFAN'S JEWELRY & RECORDS <We give and redeem Gold Bond Stamp*. 514 Main Streeit Phoiie 11W - • < : Paint-Tia AVE $1.55 y & Rollc a.»!« ; • " ' " Regularly $2.95 • / MAIN PAINT CENTER 418 Main Street 1 Phone 1115 t - •t&f-.M' ! 'iv- * •% r ^ ^ feeding floor or foundation--build it the convenient, lour cost, way with lleadysMfaed Concretes SAVE 50* Household Brooms 89< GOOD (^UALITl' -- 5 SEWED Regularly $1.39 McHenry Sand & Gravel VYCITAL'S SAVE $2.00 SPECIAL GROUP COTTON HOUSE DRESSES Large Selection of Patterns and Styles tlr"T 12 to 20 - 38 to40 -- Half Sizes 14% to 14% Values $2.98 - $3.95 - $5.96 ' Special $1.98 - $2.59 - $3.95 McHENRY DEPT. STORE SAVE 60* Regularly 89c BAIL POINT PENS 29 PHONE McHENRY 920 * 606 FRONT STREET McHENRY. ILL. 10t S*. Green Street We give and redeem Gold Bond Stamne. GEO. OOLLETTE, OfflV 1SS Rivenide Drive Phone 459 JPPIPIPIIPP - • ; • - V rA 't.i*. .. ... . .i ..u*. HARDWARE 182 Green Street SHEET METAL SHOP Phone 98 McHenry, UL