Lethbridge Herald, The (Newspaper) - January 11, 1972, Lethbridge, Alberta
20 THE LETHBftlDGE HERALD Tuesday, January 11, 1972 Investors tax plan outlined Trading starts in new shares Development of safer cigarette advocated OTTAWA (CP) Investors in mutual funds and members of investment clubs will be treated individually as taxpayers under the new tax law that came into effect Jan. 1, a revenue depart- ment spokesman said Monday Each will be responsible for paying his OUTI tax on capita gains or take Hie credit for any capital loss. For most mutual funds shares will be valued as a start- ing point for the new tax system at their net asset value, or so- called bid price, on Dec. 31. A few mutual funds, which are called closed-end funds because they have a limited wnber of publicly-traded shares, will be valued at Dec. 22. The distinction between the two is simple, the spokesman said. If the fund is listed among the department's publicly- traded stocks, the valuation day is Dec. 22. If not so listed, it is Dec. 31. Any profits realized on mutual funds after valuation day will have to be reported by the investor as income and half the amount will be taxed at the in- dividual taxpayer's normal rate of income tax. RETIREES WON'T PAY However, holders of mutual funds who have subscribed to a registered retirement savings plan will not be taxed on ajiy capital gain. Within limits prevailing under tax law, the money put into such plans was not taxed as it was earned, but the pay-out when the taxpayer retires will be taxed. It is assumed that after re- tirement, the taxpayer will pay a lower rate of tax than he did I purposes. when he earned the money to invest in the registered retire- ment savings plan. The old law limited deductible contributions to a year for pension and profit-sharing plans, and n year for registered retirement savings plans. The new limits are and a year re- spectively. In the case of investment clubs, a revenue departm e n I spokesman said, members will be treated individually as mem- bers of a partnership. A club's portfolio will be val- ued as of Dec. for those parts of the portfolio which are publicly-traded shares, in which case the evalu- ation will be made according to the department's Dec. 22 list. The spokesman said this is a general rule of thumb applying to most investment but some of the larger clubs or ones which have unusual arrange- ments for their members should discuss their tax liability in the next few months with local of- fices of the revenue department. The department has not yet decided whether to compile a list of bond values for the Dec. 31 valuation day applying to them. One of the difficulties is that here are, perhaps, thousands of corporate bonds that trade only ui small numbers but are held as long-term investments. Fed- eral and provincial government bonds trade more frequently and market prices for them are mDre easily established. The revenue department plans a meeting with the Invest- ment Dealers Association to consider bond values for tai Boyle's Column By HAL BOYLE NEW YORK (AP) _ Things a columnist might never know if he didn't open his mail: Baby alligators are only eight inches long when hatched But they then grow a foot a year until they reach matur- ity at six years. Probably no metropoli tan area in the world has the dis- card problem of New York City. Its sanitation men on an average day pick up tons of garbage and other debris. An octopus with a body aboul the size of a football has been known to reach a length of 28 feet from amtip to armtip. While generally shy and harm- less, a small variety that lives off Australia, the blue-ringed octopus, is one of the m o s t poisonous of any sea creatures. Its bite can kill a human being within minutes. There is a theory that the Frozen continent of Antarctica once was joined with Australia, South America, Africa and In- dia in a single vast land mass. The finding of 200-million-year- old fossil plants and animals in Worker killed at oilfield EDMONTON (CP) Roger Vincent Honig, 27, of Dorin- tosh, Sask., was identified to- day as the victim of an oilfield accident in northern Alberta. Police said Honig was killed near Wandering River Friday when a portion of an oil rig fell on him. He was employed by Sedco Drilling of Edmonton. Australia, says the National Geographic Society, helps sup- port this theory. Love stuff: Eever wonder where the word "sparking" came from? It is a term for courting derived from early days on Indiana farms. Young sweethearts sat up by the hcarthside after the girl's fam- ily went to bed. To keep warm in winter, they had to throw more logs on (he fire. Neigh- bors, noting the sparks show- ering from the chimney so late at eight, surmised there was a serious courtship going on. The longest night: When was the longest New Year's Eve in history? It was celebrated by the Turkish people in 1926. Ke- mal Ataturk, who did so much to bring his backward home- land into modern times, replac- ed the old Turkish calendar on New Year's that year. His peo- ple went to sleep in the old year of 1344 and woke up 582! years later. j One of the puzzling things to scientists is that city cats seem to be getting measurably dark- er than cats raised in rural set-- lings. Some believe the change is genetic a case of evolution at work. Why the change? One belief is that city cats lead nore dangerous lives and there- .ore need more camouflage. Another thing puzzling to sci- ence is why dogs bark. Wild logs don't bark although hey howl and yelp and whine until put in company with domestic dogs. One pos- sibility: the barking of dogs is a response they have developed o the sounds of the human voice. More and more people have discovered the Shoppers Drug Mart way. Have you? Last week we filled prescriptions in all our stores SHOPPERS DRUG MART Open wory day every evening and every Sunrtay CLEVELAND, Ohio (AP) Smiley Raborn, president of CanDel Oil Co. Ltd., said today that trad-ing in new shares of the company formerly known as Canadian Delhi Oil Co., Ltd., had begun. Raborn says the company's stock symbol is CDY and that starting today the stock would be listed on the Toronto and Ca- nadian stock exchanges and the over-the-counter market in the United States. Instructions and letters of transmittal were sent lo share- holders during the weekend, Ra- born said, to complete a one- for two consolidation of the company's million shares of common stock to achieve greater appeal for investors who prefer a higher-priced stock. Standard Oil Co. (Ohio) is the majority stockholders in CanDel Oil Co. Ltd. Shareholders ap- proved the name change at a' meeting Dec. 29, along with stock consolidation and a stock option plan for key employees. WASHINGTON (AP) Rec- ognizing that Americans con- tinue to smoke despite the higher risk of cancel1, heart at tacks and lung diseases, the U.S. surgeon-general said today that new efforts must be en- couraged to develop safer ciga- rettes. The health hazard may not be limited to smokers, the Public Health Service said in a report to Congress. Non-smokers in a smoke-filled room may be exposed to carbon monoxide levels exceeding some local ajr-pollution limits, the re- port said, and especially threat- ening to persons already suffer- ing from chronic broncho-pul- monary and coronary diseases. 'We must continue ti enmnr- age cessation as the only cer- tain way to protect both the in- dividual and society from the harmful effects of Surgeon-General Jesse L. Stein- feld said. "We must also, however, work towards reducing the dan- gers of smoking for those who have not quit by developing [ess-haaardous cigarettes and encouraging less-hazardous ways of he added. The report, the fifth in a ser- ies since the first 1964 surgeon- general's report linked cigarette smoking to disease and prema lure death, recommended that primary emphasis in developing a safer cigarette be aimed at reduction of carbon monoxide, nicotine and tar. Senator Frank Moss an- nounced that his Senate Com- merce subcommittee will hold hearings Feb. 1, 3 and 10 to consider legislation setting tar and nicotine limits. "This report unequivocally confirms that the next logi- cal step is the setting of maxi- Kites spark riot AHMEDABAD, India (Reu- ter) Police opened fire and injured five persons today after, a violent clash broke out between two groups flying kites. The fight apparently started when kites from the two groups became tangled. TITO policemen were hurt as crowds stoned po- lice, several persons were ar- rested and part of the city was placed under curfew. mum limits of tar and nico- the Utah Democrat said, adding that Canadian studies have shown that reduction of those substances generally re- duces the level of carbon mon- oxide in cigarette smoke. Health Secretary Elliott L. Richardson, in a letter accom- panying the new smoking re- port, told Congress his depart- ment supports regulatory ef- forts by the Federal Trade Commission to require health warnings in cigarette advertis- ing along with lists of each brand's tar and nicotine con- tent. Printed health warnings now are required on cigarette packages. "Should these efforts fail, however, we would return to our previous recommendations that this should be accompanied through legislative he said. DISAGREEMENT NOTED The report noted disagree- ment among scientists as to whether lower-nicotine ciga- rettes actually would curb smoking diseases. "An alternative point of view held by some is that smoking behavior is a response to the need to reach a certain nicotine level and that the amount ol nicotine available from a ciga- rette may result in an increase in tine number if cigarettes smoked, the depth of inhalation or the number of puffs in order to maintain an accustomed the report said. "Such an increase in smoking might result in an increased inhalation of other hazardous substances in the smoke In the first attempt at exam- ining the effects of cigarette smoke on non-smokers, the re- port said persons in a smoke- filled room may be exposed to carbon monoxide levels of 20 to BO parts a million, equal to or higher than some local air-pollu- tion limits and national air-qual- ity standards. "The presence of web levels indicates that the effect of expo- sure to carbon monoxide may on occasion, depending upon the length of exposure, be sufficient to be harmful to the health of an exposed it Mid, "This would be particularly sig- nificant for people who are al- ready suffering from chronic broncho-pulmonary disease and coronary heart disease." Osrbon monoxide, a colorless and odorless gas which can be deadly if concentrated, is blamed by researchers for caus- ing carboxy hemogloblin, a blood condition which hampers the transportation of vital oxy- gen to the body. TOPS IN CARROTS. Margo Oliver fealures two prize-winning carrot recipes this Saturday. And shows you how versatile Ihii vegetable can be. Recipes include Carrot Muffini, Carrot Cookies and Carrot Chocolate Cake. 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