Tax Formula for Life Insurance Companies: Hearings Before the Committee on Finance, United States Senate, Eighty-sixth Congress, First Session, on H. R. 4245, an Act Relating to the Taxation of Life Insurance Companies

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U.S. Government Printing Office, 1959 - 704 pages

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Page 3 - If, during the taxable year, the recognized gains upon sales or exchanges of property used in the trade or business, plus the recognized gains from the compulsory or involuntary conversion (as a result of destruction in whole or in part, theft or seizure, or an exercise of the power of requisition or condemnation or the threat or imminence thereof...
Page 468 - The Lord giveth, and the Lord ' taketh away ; blessed be the name of the Lord.
Page viii - For purposes of this subtitle, the term "life insurance company" means an insurance company which is engaged in the business of issuing life insurance and annuity contracts (either separately or combined with health and accident insurance), or noncancellable contracts of health and accident insurance, if...
Page 10 - ... loss year") shall be carried to the earliest of the taxable years to which (by reason of paragraph (1)) such loss may be carried. The portion of such loss which shall be carried to each of the other taxable years shall be the excess, if any, of the amount of such loss over the sum of the taxable income for each of the prior taxable years to which such loss may be carried.
Page 5 - All interest paid or accrued within the taxable year on indebtedness, except on indebtedness incurred or continued to purchase or carry obligations or securities (other than obligations of the United States issued after September 24, 1917, and originally subscribed for by the taxpayer) the interest upon which is wholly exempt from taxation under this title...
Page 2 - Life insurance company taxable income defined. For purposes of this part, the term "life insurance company taxable income" means the sum of— (1) The taxable investment income (as defined in section 804) or. if smaller, the gain from operations (as defined in section 809), (2) If the gain from operations exceeds the taxable investment income, an amount equal to 50 percent of such excess, plus (3) The amount subtracted from the policyholders surplus account for the taxable year, as determined under...
Page 424 - ... if the payment is on account of such taxable year and is made not later than the time prescribed by law for filing the return for such taxable year (including extensions thereof).
Page 2 - ... (5) Investment expenses paid during the taxable year: Provided, That if any general expenses are in part assigned to or included in the investment expenses, the total deduction under this paragraph shall not exceed one-fourth of 1 per centum of the book value of the mean of the invested assets held at the beginning and end of the taxable year...
Page 6 - Amounts returned where the amount is not fixed in the insurance contract but depends on the experience of the company or the discretion of the management shall not be included in return premiums but shall be treated as dividends to policyholders under paragraph (2). (2) Dividends to policyholders. The term "dividends to policyholders" means dividends and similar distributions paid or declared to policyholders. For purposes of the preceding sentence, the term "paid or declared...
Page 313 - ... in the case of a life tenant of property, or an income beneficiary of property held in trust, or an heir, legatee, or devisee of an estate, the deduction for depreciation allowed by section 167 and the deduction allowed by section 611. Nothing in this section shall permit the same item to be deducted more than once.

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