242 sixrrsnvnnrn oononsss. ·sma 1. cu. 136. 1921. “‘°°“ **1*- . ptopertyfofra` character similar or related in service or use to the prepertiy so converted, or in the acquisition of 80 per centum or more 0 thevstock or shares of a corporation owning such other propgrtygu or the estiabihshment ofha replacempnt fun , tléen there shall e ow as a e uction suc portion- 0 the ain erive as the _ ‘ pjortion of the proceeds so expended bears to tilie entire proceeds.
- ,,$§’h°°m° t° pm" ig? l[;•1’0\&iSf;>¤B_0f this ppragilpaph prescribing tge conditigns under
w c a e uction may. e ta eninrespecto theprocee or gains derived from the compulsory orrinvoluntary conversion of pro erty intohcash or its equivalept, shaljfapply so far gs maybe pIractiEa.ble_ to the exemption "orexc usion suc procee s or gains om ross xniewaucé to mm- income under prior income, wa1··profits and excess-prohts tax gicts. ‘%}’§},‘f °{{$,§§,,¤, ,,, H(b) §n the };:gse‘nfia·nonresident alien glridividual, the deductions Uniwd States; a owe in su vision (a) except those ‘ owed in paragra hs (5) 1l° °°°°£' (6-),1and (11),-shall be allowed onlly if and to the extentthat iliey ard connected with mcemefrom sourceswithin the United States; and the properapportionment and allocation of the deductions with P,,,,,p_m_ resgppct to sources of income and without the United- States sh _ be determmed as provided in section 217 under rules and regumums 0, Soums lations prescribed by the Commissioner with the approval of the inL{mte•1’States pts- Secretary. In_the case of a citizen entitled itc the benefits of section $°§§{,§§§,_ 2,, 262 the deductions shall be the same and shall be determined in the' same manner as m the case of a— nonresident alien individual. · Items not deducti-’ I bis- , · irmus Nor DEDUCTIBLE. Obj°°tSsp°°m°d' _ _ Sec. 215. (a) That in computinfg net, income no deduction shall Persona, ctc W in any case be allowed in respect o —— ' pauses. ’ _ " (1) Personal, living, or fanii? expenses; m§§€§‘“‘” ““*"°'*_ (2) Any amount paid out or new buildings or for alpermanent improvements or betterments made to increase the v ue of any R - ,,,,3 Bd property or estatep¤¤ii;iiiii1ge ust (3) Any amount expended in restoring property or in making good the. exhaustion thereo for which an allowance is or has been made; Lite insurance lor 0;: . _ _ _ _ _ l _ I _ ¤=¤Pi°Y°¢S- _(4) Premiums paid on any life insurance pplhcycovering the his of any officer or employee, or of any person_ ancially interested in any trade or business carried on by the taxpayer, when the taxpayer ,,,,,,,,,8 ,,0,,, me is directly or indirectly a beneficiary under such policy. •g>¤}$·éy;¤•;?;S¤$ ¤¤·a¤¤¢<l (b) Amounts paid under the laws of any State, Territory, District ’ of Columbia, possession of the United States, or foreign country as income to the holder of a life or terminnble interest acquired by gift, be uest, or inheritance shall not be reduced or diminished b any eilpc ion ords rin wage] y wiia ever nazic c e gn e wh ue o dclt f h lt (b lt al1d)'th if f suc interest ue to t 16 apse 0 time nor y any de uction a owed by this Act for the purpose of computing the net income of an estate or trust but not a lowed under the laws of such State, Territory, Distpct of Columbia, possession of tl; United States, or foreign country or the purpose of computing the income to which suc holder C edi _ is entitled. " ”“u°"“°°‘ cnnnrrs ALLOWED INDIVIDUALS. Items specilied. ` Sec. 216. That for the pur osc of the normal tax only there shall Dividends mm mp be allowed the following crediis: p<>p¤§i¤¤jb (a) The amount received as dividends (1) from a domestic corpo- ,m§.&aa,’ p' l°°°’ ration other than a corporation entitled to the benefits of section 262,
- °°*‘·P·85“· or (2) from a foreign corporation when it is shown to the satisfaction
of the (gigmxncilsspner that more th? pi- centum of Otgie gross urcome su oreign co ration or e thee- ear peri endin vsiith the close of its taxabllgcyear preceding the declaration of such dividends (or for such part of such period as the corporation has been
