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(PG. 10 - PLAINDEALER - FRI.. DEC. 1?, 1969 • ' \ gllllllllllllHHIIIIIIIIIIUIIIIIIIIIHIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIinillllllllllllllliE | here and there in 1 BUSINESS! Depreciation Loophole Brings Few New Houses f For And About Teenagers j Reading about the Valley Art center, which provided the paintings for the first exhibit at Oak Manufacturing Co.'s new art display program, are Oak employees, Pat Smith and Sue Stonecipher (right). Looking on, at left, is Charles Thorne, Oak's manager of public relations. Oaks Presents First Exhibit Of Area Artists Oak Manufacturing Co. has initiated a program for display­ ing the works of McHenry Coun­ ty artists for its employees. The art displays are a means of adding interest and beauty to the Oak plant, not only through the disnlavs themselves but •teroogti Oak's agreement to purchase one painting from each display for its own permanent collection. The displays also expand Oak's continuing program of community relations by of­ fering McHenry county artists - not employed at Oak an oppor­ tunity to display their works and offer them for sale to approx­ imately 2,000 Oak employees. Space has been provided tcT accommodate from fifteen to twenty-five paintings, depend­ ing on their size. Each exhibit is planned to last about forty- five days, after which Oak will purchase one of the paintings. At the present time, Oak is restricting the display to artists residing in McHenry county who are members an art guild or other organization which can screen both the artists and their works to assure quality in the exhibits. Therefore, artists in­ terested in participating in this program should contact Oak through their guild. The guild itself need not be located in Mc­ Henry county, however. Other inquiries should be di- rected to Charles H. Thorne, Harrison Music Department To Give Concert The Harrison school music department will present its an­ nual Christmas concert this Sunday, Dec. 14, at 2 p.m. in the school gymnasium. There will be three participating or­ ganizations. The junior varsity band, numbering fifty-four, will open the . program, followed by the forty-seven piece varsity band, both under the direction of Richard E. Mikus. Included in the varsity band's selections will be a piano solo, "Dance Of The Sugar Plum Fairy*', played by Mrs. George Brab- enec, with band accompaniment. After intermission, the forty- voice varsity choir will pre­ sent four vocal selections un­ der the leadership of Mrs. Rich­ ard E. Mikus. As a grand finale, the varsity choir and band will join together with the audience for Christmas carols in the form of the Christmas story. Illllllllillllllllllllllllllllllllllllllllllllllllllll News About Our Servicemen iiiiiiiiimi mimiiiiiii Following are the addresses of young servicemen for friends who may like to remember them this holiday season: Sp/4 Dale Schmitt 349-42-4691 C Btry., 6th Bn. 62nd Arty. AFO N.Y. 09165 Cpl. Kenneth Schmitt UMA-211 MAG-12 1st MAW SES FPO, San Francisco, Clif. 9660 Sgt. Lawrence Schaefer C.M.R. Box 946 APO N.Y., 09123 Public Relations Manager for Oak Manufacturing Co. The opening exhibit included the works of six McHenry county artists who are members of the Valley Art center in Dundee. Future exhibits will be limited to "one-man" displays; there­ fore each of these six artists will be given the opportunity to exhibit more of their works in up-coming displays. Speculators Get Millions In Write-offs The present tax law that allows real estate operators to deduct depreciation from income faster than the depre­ ciation occurs makes it pos­ sible for taxpayers with mil­ lions of dollars in income to reduce their tax bill to zero. Taxpayers are able to accom­ plish this because accelerated depreciation usually produces a deduction in excess of the actual decline in the useful­ ness of the property. In addi­ tion, income from the sale of the property is preferentially treated as capital gains. The Treasury Department recently examined the tax re­ turns of 13 of these "nontax- payers." Nine of them paid no tax. Two others paid less than $25. One taxpayer with over $1.4 million dollars in income was able to reduce his tax-bill to zero by taking advantage of the accelerated depreciation and capital gains loopholes. In round figures, this is how this wealthy taxpayer was able to report a $3,000 loss: INCOME: Capital gains, $1,150,000; dividends, $221,000; salary, $39,000; •nterest, $23,000; TOTAL, $1,433,000. LOOPHOLE EXCLU­ SIONS: Excess real estate deductions, $864,000; one- half capital gains exclusion, $572,000; TOTAL, $1,436,- 000. BALANCE ...$-3,000 Gotta Question Regarding any banking service or financial problem YOUR BANK OFFICERS HAVE THE ANSWERS Ask Them McHENRY STATE BANK 385-1040 Gerald J. Carey, President Robert L. Weber, Exec. V.P. Thomas F. Bolger, V.P. & Cashier James E. Larkin, Vice President Richard J. Zieman, V.P. & T.O. Lenora E. Frisby, Asst. Trust Officer Edwin J. Becker, Jr. Auditor Assistant Cashiers Donald Wattles, Vault & Investments Lillian Cairns, Bookkeeping Ronald J. Vacula, Savings Albert G. Vales, Head Teller < Donald H. Meyer, Note Department Richrod A. Lane, Installment Loans Qrmel J. Prust, Loans-operations DESTINATION OF REVENUE LOSS AS A RESULT OF TAX LOOPHOLE FOR REAL ESTATE INDUSTRY Motels, 2nd, 3rd & 4th Low and Office Buildings Accelerated Luxury Moderate & Depreciation High-Rise Income Shopping Centers Write-offs Apartments Housing 550,000,000 $100,000,000 5100,000,000 TOTAL LOOPHOLE REVENUE LOSS $750,000,000 $500,000,000 The $750 million dollars of tax benefits that go to the real estate industry has not helped this nation attain its housing construction goals. Most of the money goes to real estate developers and speculators who invest in motels, shopping centers, luxury apartments, etc. The National Committee on Tax Justice (NCTJ) proposes to eliminate this loophole. SOURCE: US Tr*..};:ry Depc*'"^ T The $750 million of tax ben­ efits that go to the real estate industry has not helped this nation attain its housing con­ struction goals. Most of the money goes to real estate de­ velopers and speculators who invest in such things as mo­ tels, shopping centers, and luxury apartments. "The tax loopholes that permit this multi-million- dollar advantage to a few real estate operators at the expense of the rest of the taxpayers is intolerable, es­ pecially in view of the na­ tion's crucial need for low cost housing," said former Senator Paul H. Douglas of Illinois, chairman of the Na­ tional Committee on Tax Justice. Mr. Douglas cited a recent Treasury report that detailed the destination of the $750 million revenue cost or "tax expenditure." • $500 million used for tax advantages for motels, office buildings, shopping centers and commercial and industrial construction of all kinds. • $ 100 million is for hous­ ing which is undergoing its s e c o n d , t h i r d , a n d f o u r t h round of accelerated depre­ ciation writeoffs. • $100 million goes for luxury high rise housing. • Only $50 million re­ wards investors who are com­ mitted to increase the low and moderate income hous­ ing supply. This is less than 7% (1/15) of the total tax benefit Plugging this loophole would be a big help in meet­ ing the housing needs of our\ low and middle income wage earner. VN/OULD FUNNY. THE WEEK'8 LETTER:"I him, don't let him recently went away for a few you have foolishly spent the days. I met a boy who was whole time thinking about hlni. very sweet to me and I like him It appears obvious that you a lot. I only went out with him liked him more than he likes once and that was the night you. If he did not have the before I was going home. I courtesy to tell you that ne haven't seen or heard from him was sorry to see you leave, or since. And I won't see him for at least, that he had enjoyea a few more weeks. Before I left, your company, he isn t going I told him 1 was leaving and to Improve as you get to know he said, "So?" Well, I was very him better. As far as he was hurt and upset when I left and concerned, you Just a gin now I won t go out with any- from out-of-town who would one because of him. I know soon be returning home h e ' s g o i n g o u t a n d h a v i n g f u n , . . . but I can't. Could you please tell me what I could do? I » v would call him but I fed funny." £Foa AN0 mout thnaoub. OUR REPLY; Don't call communityandsusu«anhhsssi«ic«. him. And, when you next see manwow.k* FOR THE FAMILY ^manaurJ ̂ LEARNING HOW ... In this University of Alaska scene, native villagers are being trained to operate and maintain generation and distribution facilities of their village electric systems. Under an electric cooperative program financed by the Rural Electrifkiation Administration and the U.S. Department of Agriculture at least 8 remote Alaskan villages now have the benefits of electricity. ITEM: A small potato has about the same number of calories as a slice of bread. It's the extras, such as sour cream, gravy, and butter, you put on the potato what adds to the calorie count. Don't be strictly a calorie counter. Get milk, meats, fruits and vege­ tables, breads and cereals into your everyday dieting plan. » » • ITEM: If you need space on the dining table, set a TV tray beside the hostess' place at the table to hold rolls and relishes to pass during the meal. You can also use the tray when serving dessert or coffee. • * * ITEM: You can use your clothes dryer to air and dust bedding, draperies and slip­ covers. Just air-fluff them, with­ out heat -- ten or 15 minutes. Be sure to use the "timed" or "fluff setting on the dial. SECOND BEST MAN at vour wedding ( i AY LOR I ) M i l - 0 1 7 0 VJ {' ill Derations flj mmawamfl f§ i.i t. MAM Of IICfUENCf 10 things America's new small cars won't talk about. Nova talks about things those new little cars prefer not to mention. For instance, (1) a cargo-guard luggage compartment; (2) an extra set of fenders inside the fenders; (3) flush and dry rocker panels that help prevent rust and corrosion; (4) a quality built Body by Fisher; (5) Magic-Mirror acrylic lacquer finish; (6) a firm, steady ride programmed by computer-selected springs; (7) six different engines and five transmissions available; (8) an available lighting group that even includes a monitor for your windshield washer fluid; (9) radios you can order, with antennas built right into the vyindshield and (10) the availability of a new, more compact radio/stereo tape system. America's little cars don't offer them. Nova does. Nova also has a very appealing price. And a lot of loyal friends. Wonder why. Putting you first, keeps us first. Nova: America's not-too-small car k A j