Higher Income, Larger Percentage
TFaCien; Ways of Saving Reviewed
(Editor's note: This is the
second of five dispatches
felling how to pay your
Federal income taxes-wilh
out paying a penny more
than you're required to.)
By EDWARD COWAN
United Press International
Washington - (UPS - The
higher your income, the big
ger the percentage of it that
Uncle Sam takes in taxes.
That's what lawyers call a
"progressive" tax system. You
may have other adjectives for
it, but it's the law.
For an unmarried taxpayer
the basic tax rate is 20 per
cent of the first $2,000 of tax
able income. The next 2,000
is taxed at a rate of 22 per
cent. Income from $4,000 to
$6,000 is taxed at a 26 per
cent rate, and from $6,000 to
$8,000 at 30 per cent. The rate
keeps climbing until, for tax
able income above $200,000,
Uncle Sam takes 91 cents on
on the dollar.
So you save in two ways
by getting your taxable in
come as low as possible: first
because less income is taxed,
and second because it's taxed
at a lower rate.
Major Means '
For most people, exemp
tions and deductions are the
major means of reducing tax
able income.
This is a good time to get a
few definitions straight. Your
"gross income" is the total of
all wages, salaries, dividends,
interest, rents and whatever
else you earned during the
year. "Exemptions" are tax
His Generosity Towards
Mouse Backfired
Innocently, I played a dirty
trick on one of my "micest
friends." I was only trying to
be generous and it backfired
on the mouse. He was a white
footed woods mouse, a cute
little guy, and I was very fond
of him.
With his soft-eyed little
wife, he lived in a tiny nest,
located in the end of a hollow
log. It was a homey little nest,
lined with soft grasses, with
a small door protected by an
overhang from driving rains.
A woods vine clambered up
from the ground and entwined
itself around the end of the
old log. White-foot and his
meek little mate used the vine
as a ladder.
With a flashlight I peered
into the nest; with one finger
I stroked four, tiny baby mice
that snuggled in the soft nest
lining. During this perform
ance on my part. White-foot
sat quietly by, unafraid, and
trusting. Probably I was the
first and only "outside" friend
he ever had; his life was a
constant nightmare of dan
gers. Snakes
Snakes patrolled the area
where the mice hunted for
seeds. There was always the
danger that a prowling skunk
would locate the nest. Every
whistle of a wing overhead
could mean a hawk, and at
night it would be an owl just
waiting for a scurrying form
to race across a path of moon
light. The mouse family lived
dangerously; any minute could
be its last.
To help him out with his
food problem and to make his
life a little easier. I took him
various tidbits. He liked ev
erything. Inside of a week he
was almost ready to take food
from my fingers. This made
me feel good as in that way,
I thought. I could keep him
from wandering too far afield,
thereby lengthening his life.
He went nearly frantic with
joy over sunflower seeds and
raisins. After he ate his fill
he would scrub his pointed
little face. Like all white-foot
mice, he was fastidiously neat.
He could not tolerate dirt on
his face or in his long, silken
whiskers. Sometimes, even
when he was unusually hun
gry, he would stop, right in
the middle of a meal, and
wash his face. He was a clean
mouse.
Cleanliness Causes Downfall
It was this ridiculous pas
sion for cleanliness that caus
ed his downfall. To give him
an unexpected and unknown
treat, I placed a large gob of
peanut-butter on a bush a
short distance from the old
log. White-foot found it in a
matter of minutes. He smelled
it carefully. He forgot his us
ual delicate manners and gob
bled it down by mouthfuls.
He was frantic with joy.
Suddenly he remembered
his little wife. She would like
this; he stopped eating and
' scurried for home. Half way
across the small clearing his
habit of cleanliness over-came
his good judgment. He
stopped, sat up on his hind
legs and began cleaning the
Many People Pay
More Income Tax
Than is Necessary
Washington - (TPD - Many
people pay more income
tax than they have to be
cause they:
-File separate returns for
husband and wife when a
joint return would reduce
their tax bill.
-Claim the standard 10
per cent deduction when an
itemized list of deductible
expenses would exceed 10
per cent of adjusted gross
income.
-Fail 'to claim all allow
able deductions when draw
ing up an itemized list.
-Don't deduct sick pay
when they miss work be
cause of sickness or injury.
-Fail to claim all eligible
dependants.
allowances you get for your
dependents. "Deductions" are
expenses you may subtract
from your income in figuring
taxable income.
All of these will be discuss
ed in detail in the next two
articles in this series.
Meanwhile, let's look at the
special tax advantages the
government gives married
people. It helps to ease the
"progressive" bite of the
ascending tax rates.
Most married couples can
file what is called a joint re
turn. They usually can do so
Small Worlds
Around Us
By Lynn M. Watkins
sticky peanut-butter off his
face and whiskers. It came off
hard, but . he persisted; pea
nut-butter in soft whiskers is
murder.
There was a flash of rapid
ly beating wings as the hun
gry hawk swooped down in a
power-dive. Little White-foot,
busy with his face washing,
failed to hear or see the de
scending bird of prey until it
was too late. The little nest
in the old rotten log is empty
now.
(Released by The Register and
Tribune Syndicate. 1960)
High School Seniors
To View University
Eugene - Some 800 high
school seniors have registered
for the University of Oregon's
"Duck Preview" on Jan. 30.
Purpose of the meeting, ac
cording to John Packham,
Portland student chairman for
the event, is to help acquaint
high school seniors with the
academic opportunities at the
University of Oregon.
Schools and departments of
the university will be open for
visiting students, with deans
and department heads giving
special talks and with exhibits
planned.
Speakers for the luncheon
Saturday noon in the Erb Me
morial Union will include Mrs.
Golda P. Wickham. dean of
women; William JC. Jones;
dean of administration; and
V. L. Barkhurst, director of
admissions.
Planned for entertainment
Saturday evening will be
dancing in McArthur court
and a freshman-produced tal
ent show, "New Faces."
Stolen Safe Found
Near Lake Creek
The safe stolen from Dad's
Hideaway a month ago and
some unsigned payroll checks
were found by Virgil A. Mill
er, Eagle Point. Saturday
night, the sheriff's office re
ported. Deputies said 45 cents in
silver was found in the safe
besides the checks. The thieves
had apparently pried the door
open and left the safe in the
brush near a road about 8
miles past Lake Creek.
BOIVIN FILES
Salem-fllPD-State Sen. Har
ry D. Boivin (D-Klamath
Falls) filed Monday for re
election and also as a candi
date for delegate to the Dem
ocratic national convention
from Oregon's second con
gressional district.
BRILL
METAL WORKS
Commercial industrial
Residential Sheet Metal Work
Stainless, Galvanized
and Copper Fabrication
2287 West Main
PHONI S 2-4440
whether the wife worked or
stayed at home. Joint returns
often save a couple money on
their taxes.
That's because the total in
come reported in the joint re
turn is split in two and each
half is taxed separately. Thus,
the tax rate on each half is
lower than the rate on the
total would be.
Example Cited
Here's an example from of
ficial tax tables of the In
ternal Revenue Service: A
man filing a separate return
and reporting a taxable in
come of $7,000 has a liability
of $1,660. But if that man
gets his non-working wife to
sign a joint return with him,
the tax bill is $1,460 - a sav
ing of $200.
When both husband and
wife work, it is sometimes
cheaper to file separate re
turns. The only way to decide
what to do is to figure your
taxes both ways on scratch
paper, and take the cheaper
way.
Even if you filed separate
returns last year, you may
file a joint return this year,
or vice versa. If you file
separate returns and later dis
covered you should have filed
a joint return you may do so
up to three years after the
April 15 filing deadline. But,
if you file a joint return, you
may not file separate ones
alter April 15. ;
Is Prohibited
Joint filing is prohibited in
some circumstances. Thev are
if you were divorced or legal
ly separated on or before Dec
31, 1959; if you are married
to a non-citizen who does not
live in this country; or if you
and your wife report your
income on the basis of dif
ferent tax years. For exam
ple, for business reasons, you
may report your income for a
12-month period ending June
30 while your wife uses the
regular calendar year.
Even if you got married on
New Year's Eve just before
midnight, you are considered
married for the entire year of
1959 for tax purposes, and
may file a joint return. ,
If your spouse died in 1959
and you did not remarry, you
still may file a joint return.
Sometimes a surviving spouse
may claim the income-splitting
benefits of a joint return
for the two years following
death. For details about this
provision, ask your attorney,
accountant or local office of
the Internal Revenue Service.
Part Time Work
Suppose your wife worked
only part time last year and
earned less than $600. A joint
return probably would be to
your advantage. She might
set a refund for taxes with
held if she filed separately,
but you would lose her as an
exemption.
A couple filing jointly has
the same choice of forms that
an individual has. If their
combined income is not more
than $10,000, including not
more than $200 of dividends,
interest and wages from
which tax was not withheld,
they can use the punch card
short form, 1040A, if they
choose.
If form 1040 A is inappro
priate, then they may use the
middle form, 1040W, or the
long form, 1040. Rules gov
FINE
Nature's finest kourkon
There is none better!
THE OLD HERMITAGE
erning use of these are the
same for couples as for in
dividuals, and were spelled
out in the first article of this
series.
Both Must Sign
Both husband and wife must
sign a joint return and each
becomes individually liable
for any tax owed the govern
ment. For example, a woman
could be legally responsible
for a tax debt even if she did
not work and received no in
come during the year.
Like an individual, a couple
filing jointly may take the
standard 10 per cent deduc
tion or itemized deductions.
But if the man and wife file
separate returns and one item
izes his deductions, the other
must, too.
You must attach to your
joint return both the hus
band's and the wife's Form
W-2, the statement of earn
ings provided by employers.
One other matter that con
cerns quite a few couples each
year is buying and selling of
houses. In some circumstances
you can get a break on tax
ation of the profit you make
on selling your house. Ask
the Internal Revenue office
about this if you sold your
house in 1959.
(Next: Exemptions)
KIM IN SHIL
Aided by Local Group
Hatfield Complains
Of Stiff Back
Salem-(UPD-Although at his
desk Monday, Gov. Mark Hat
field complained of a stiff
back and aides said he has
been placed under a doctor's
care because ofthe ailment.
A spokesman said the gov
ernor's back has been bother
ing him "off and on" since a
traffic accident in Portland
several months ago.
Pilot Rock Woman Is
Found Innocent
Pendleton (LTD Mrs. Edna
Carrothers was found inno
cent by a Circuit Court jury
Monday of a charge of lar
ceny of public money.
She had been accused of
taking $1,442 while treasurer
and city recorder at Pilot
Rock.
' ' " "I i '
KENTUCKY STRAIGHT BOURBON
Ripest grains, Kentucky limestone water,
the patience and wonders of time. Thaf s Old Hermitage
CO.. LOUISVILLE. KY. DISTRIBUTED 8Y
GAVEL CHANGES HANDS Keith McLean (left) accepts
the gavel and bell symbolic of the 20-30 club presidency
from outgoing president Bert Rostel. McLean and other of
ficers were installed during the Medford organization's ban
quet at the Rogue Valley Country club Saturday night.
Junior Service
League 'Adopts'
Korean Girl
Members of the Medford
Junior Service League have fi
nancially "adopted" Kim In
Shil, 6-year-old Korean girl,
through the Foster Parent's
Plan, New York City.
The local group has prom
ised to contribute $15 a month
toward the child's support for
at least one year.
"Adoption" through the
plan is financial, not legal. Of
the money contributed by the
foster parent the child re
ceives S8 each month as an
outright cash grant. The re
mainder is used for periodic
food and new clothing pack
ages, translations of letters,
medical services and educa
tion. In Shil is one four children
supported by her widowed
mother in Pusan. Her mother
does sewing for her neighbors
and is said to be skilled as
she earns more than most wo
men for this type of work,
about $15 per month. In Shil
has a sister, In Sook, 11, and
two brothers, In Bum, 8, and
In Hwan.
The family lives in a tiny
room with kitchen on a hill
overlooking Pusan. In Shil is
too small for her age, and the
Plan will also pay for needed
medical treatment.
Gold Hill Firm
Manufactures Gifts
Gold Hill-The Toko Prod
ucts company, owned and op
erated by John E. and Jeanne
A. Cole and Vola Tolman,
is now manufacturing orig
inal gift products, it was an
nounced Monday.
The firm, which recently
assumed its business name, is
located at route 2, box 360,
Gold Hill. The firm manufac
tures the products for whole
sale distribution. They are
currently selling birdhouses
and shadow boxes and do pic
ture framing to order. The
product line will later be ex
panded to include lamps and
other articles, it was explain
ed. Twenty per cent of all
American families own an av
erage of 1.2 cats each. i
$AS0
$095
PT.
NATIONAL DISTILLERS PRODUCTS COMPANY, 86 PROOf
'''' 1
McLean Installed
As 20-30 Leader
Keith McLean was installed
as president of the Medford
20-30 club during ceremonies
at the organization's installa
tion banquet at the Rogue
Valley Country club' Saturday
night.
McLean, warehouse man
ager at Cardona Supply Co.,
succeeded Bert Rostel, sales
man for Sloan Co.
' Other officers installed in
cluded Phil Huntley, first vice
president; Dick O'Dell; sec
ond vice president, Fred
Stock, Art T r o p p 1 e, Jack
Shreeve and Bill Brew, board
of directors, and George Man
ess, "tail-twister."
McLean appointed Tropple
secretary and reappointed
Gordon Stephens treasurer.
Installations were conduct
ed by Jerry Dyball, 20-30 dis
trict governor from Salem.
Gold Beach Girl
Dies of Meningitis
A little girl died of spinal
meningitis Sunday; despite an
air ambulance flight for hos
pital care.
Shirley Bell, 4, daughter of
Mr. and Mrs. J. C. Bell of
Gold Beach, became ill last
week end with what was
tentatively diagnosed as poli
omyelitis. Mercy Flights,
Inc., in Medford was called
Sunday morning and a plane
flew to Gold Beach to pick
up the girl. They took her to
Eugene's Sacred Heart hos
pital. She was in a portable
"lung" during the flight, and
was also taking oxygen.
Upon arrival at the hospital,
her illness was rediagnosed
as meningitis. She died the
same evening.
Senor Citizen of
Oregon City Named
Oregon City -(UPD- Clarence
Enghouse, assistant residence
m.a n a g e r of Crown-Zeller-bach,
Monday night was
named senior first citizen of
Oregon City.
Robert Andrews, past presi
dent of the Kiwanis here, was
named junior first citizen for
1959.
M Qt.
KENTUCKY if
Union Found Guilty
Washington - (UPD -The
Longshoremen's Union has
been found guilty of unfair
labor practices by the Nation
al Labor Relations Board for
the picketing of General Ore
company, Portland.
The NLRB had ruled
against the union six months
ago in a separate related case.
The new ruling upholds
that of Howard Myers, NLRB
trial examiner. He recom
mended the union cease from
picketing the Portland dock
of General Ore Incorporated.
General Ore is a subsidiary of
Harvey Aluminum Co., The
Dalles.
Leon's
PBE
TLEMAKIC
THIS WEEK END WE TAKE INVENTORY ... SO TO CLEAR STOCKS TO
THEIR LOWEST, PRICES HAVE BEEN "SLASHED" TO THE VERY LOWEST
OF THE SEASON ON ALL CHILDREN'S SHOES AND CLOTHING . . .
BUY NOW AND SAVE ... THE SAVINGS ARE TREMENDOUS . . .
ALL SALES FINAL . . . ENDS SATURDAY NIGHT.
Hi
Girls Coats'1
Dozens of smart winter
size ranges included .
low as . . .
(6)99
Girls Dresses"
Right out of regular stocks . . . most
styles can be worn all year 'round
... some go on sale for only ...
99
Blouses"
All the girls blouses are
. . . cottons . . . nylons
. . prices start as low
1149
Skirts"
All size ranges in skirts go on sale
. . . some are higher but you can
find them for only ...
cj99
"Robes
GIRLS' AND BOYS'
Final clearance on robes . . . still
a good selection left and priced as
low as . . .
299
"Wool Slax"
About 8 pr. of 7 to 14 Jl Q9
styles . . values to 7.98 J
"Tights" 5J199
All go for only .....
"Gloves & Mittens"
Mostly small sizes ...
wools and orlons .
ii
Shoes
ii
Closeouts on certain
children's shoes ...
broken lots only . . .
Of Unfair Practices
The Board said that the
picketing had as its object to
force the company to join the
Pacific Maritime Association,
or to force it to hire the serv
ices of a stevedoring firm.
Named to desist from the
picketing were the Interna
tional Longshoremen's and
Warehousemen's union and
locals 8 and 92.
. The earlier case also was
based on picketing of General
Ore. The NLRB ruled in con
nection with it that the union
did not have jurisdiction over
ore unloading facilities of Har
vey Aluminum here.
TOTS TO TEENS Big
- INVENTORY
coats ... all
. . priced as
now on sale
and dacrons
as . . .
II
For girls and boys . .
values to 3.98 . . .
"Slips"
Clearance on certain
girls nylon slips ...
11
Discontinued infants
plastic pants only ...
"Slippers'1
Odds and ends in small
size slippers . . .
MAIL TRIBUNE, Medford, Or.
Tuesday, Jan. 26, 1 960
Young Mother Pleads
Guilty to Manslaughter
Oregon City - (LTD - Mrs.
Charlotte LaVonne Barnett,
24-year-old mother of three,
pleaded guilty to a man
slaughter charge Monday in
connection with the fatal
shooting of her husband, Tra
vis Barnett, last Nov. 23.
She had been scheduled to
go on trial today on a second
degree murder charge. Cir
cuit Judge Ralph M. Holman
ordered a pre-sentence investigation.
Sweaters
GIRLS' AND BOYS'
Nylons and orions . . . some very
good values and priced from ...
zL
Pajamas"
GIRLS' AND BOYS'
Lots of time to use these . . . and the
savings are great . . .
99
"Boys T Shirts"
Many very fine T shirts go on sale
for the first time at these low prices
... one group for only ...
9
"Snow Suits
Final clearance on all snow suits . .
some are priced higher but you can
find a few at only ...
3
"Toys & Gifts"
Two big tables just full of all kinds
of toys and gifts too numerous to
mention . . . but all go for only ...
y2 Price
"Infant Sets
$5199
Plastic Pants"
29
79