770 SIXTYZFOURTH CONGRESS. Sess. I. Ch. 463. 1916. ¤*¤<>¤¤ *4*- shall not return as income any portion of the premium deposits mms mmol rlnfurned to their 6(pp)licyg1oldprs, lan;. slnlall return an taxablle income income receiv y_t em rom other sources p us suc ortions of the premium deposits as are retained by the companies lfor pur- M“m1mrmmSm_ poses other than the pment of losses and expenses and reinsurance smcompames. reserves: Prqmdedju , That mutual marine insurance cominanies shall mclude m their return of gross meome gross premiums co ected and received by them less amounts paid for reinsurance, but shall be entitleid lie inc ude m deduciturns from gross ineome amounts repaid o o cy o ers_ on accoun o premiums previous y aid b them, we msmum com and) interest paid upon such amounts between the Iixscertalfinment punks- thereofland the payment thereof, and life insurance companies shall not inc ude asdinrcome in anyhyegr seluehlipplrtnzln of agtual kpremium receive rem any in vi u 0 paidbbngk ortcrndited to suc}; p(p`l;iiclyli·olll§el·, or tsehitecfilsi an a a men o premium o suc in `vi polioyholder, within _ _ such year' ,,g;.,`§u;’;;:Smd°btw Third. The amount of interest paid the year on its indebted- · ness to an amount of such indebtedness not in excess of the proportion of the sum of (a) the entire amount of the paid-up capital stock outstanding at the close of the year, or, if no capital stock, the entire amount of the capital employed in the business at the close of the year, and (b)_ one-half of its interest-bearing indebtedness then outn)f;nding,twh1ch1;ln1e grgss aingonnt of its mcohrnle fer the year from mess ransac an capi a mveste wit t U 'ted St t PWM- bears to the gross amount of its income derived from all soliilrces Bonds gamma and without the United States: Promded, That in the case of bonds or "°°"°'“‘“ ether mdebtedness which have been issued with a guarant that the interest payable thereon shall be free from taxation, no dedsiiction for Immst on bank d°_ the payment of the tax herein imposed or any other tax p)aid pursuant posits. to snch nnaranty shall be allowed; and in case of a bank, anking assonigtion, oan gr trust company, or branch thereof, interest paid within _ year on eposits or on moneys received for mvestment from eittlgrer tergzens or residengl of th; i)United States and secured by mes armgcertifica oinetednessissuedbysuchbank banking association loan or trust com b · , G ,,1 ,._ _ _ _ pany, or ranch thereof, °°° an thFourth. Taxes paid within the year imposed by the authority of e United Statesé or its Temtories, onpossemions, or under the authority of any_ tate, county, school district, or municipality, or other taxing subdivision of any State paid within the United States, Amssmm msuh not mcluding those assessed against local benefits; mm companies. d (c) In the case of assessment insurance comgianies, whether Addmons ,0 W oniestic or foreign, the actual deposit of sums wit State or Terri- ¤¤¤¤#· nlnlrrnl oginerle, purstirnint to law, as additions to guarantee or reserve s s a e rea as being payments required by law to reserve funds. Returns. nnrtmns. mi;ff§8,°§°$Y“t°d M Sec. 13. (31) The tax shall be compxuted u on the net income, as irate il`g“Si%2‘e$°‘l£l”§‘Er2‘l Tif°€°£“g °“`°"d’“V y°“` °“"‘ . ‘,; _, aanycorort "1;. mr ngock company or association, or insurance company?suil>j1e)cIl:, tbolzliis fx}1 may esignate the last day of any month in the year as the day o the c osing of its fiscal year and shall be entitled to have the tax payable by it corgputed upon the basis of the net income ascertained as herein provid for the ear ending on th d ' th . Y _ e ay so designated in 0fedy;eaI;rctp thehdate of assessment instead of nlpon the basis Nm 0,, to mb _ _ e or the calendar year preceding the ate of assessmem. ment, 81’1d.1t shall dgive notice of the day it has thus designated as the closing of 1ts_fisc year to the collector of the district in which its principal business office is located at any time not less than thirty
