SELIGMAN INCOME FUND INC
N-30B-2, 1995-05-10
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================================================================================
Seligman
Income
Fund, Inc.

- --------------------------------------------------------------------------------
An Income Fund

- --------------------------------------------------------------------------------
192nd Quarterly Report
March 31, 1995


================================================================================
[LOGO OMITTED]

<PAGE>


================================================================================
To the Shareholders
- --------------------------------------------------------------------------------

Seligman Income Fund ended the first quarter of 1995 on March 31, with the
net asset value of Class A shares at $13.56 per share, up from $13.05 at
December 31, 1994, and Class D shares at $13.52 per share, up from $13.01. Total
returns for the three months were 5.38% for Class A shares and 5.16% for Class D
shares. (Total return reflects change in net asset value and assumes any
distributions paid within the period are reinvested in additional shares. Class
A returns do not, however, reflect the effect of the maximum initial sales
charge of 4.75%, and Class D returns do not reflect the effect of the 1%
contingent deferred sales load.)
     
   On March 24, your Fund paid a $0.19 per share dividend to Class A
shareholders of record March 16, and a $0.16 per share dividend to Class D
shareholders. For both Class A and D shares, net realized loss per share from
investment transactions for the first quarter totaled $0.12. At March 31, net
unrealized gain per share totaled $0.16. Long-term performance results appear on
the back panel of this report.
     
   After seven short-term interest rate increases by the Federal Reserve Board
in 1994, the economy began to show signs of slowing in the first quarter of
1995. For instance, sales of previously owned homes fell to their lowest level
in two years, reflecting the delayed impact of higher interest rates on the
housing market. Retail sales were also sluggish, as consumers have backed off in
the past several months. Nevertheless, consumer confidence still remains
relatively high.
     
   Investors, encouraged by signs of slower economic growth and by hopes of a
less stringent monetary policy, boosted financial markets in the first quarter.
The bond market bounced back from the lows experienced in late 1994, and the
stock market reached new highs, notwithstanding several negative factors
including Mexico's currency crisis, the collapse of Barings (the U.K.'s oldest
and one of its most prestigious banks), and the continual weakening of the U.S.
dollar. However, by quarter end, the plunging dollar had caused both bonds and
stocks to lose some ground.
     
   We are optimistic that the economy will continue to expand at a moderate pace
in 1995, with inflation remaining in check. This, combined with the gradual
strengthening of the economies of U.S. trading partners, is expected to provide
a good foundation for a positive investment environment.

   In the past quarter, the prospect of declining interest rates favored the
traditional investments of your Fund, which tend to be mainly
interest-sensitive. Many of the technical factors that depressed convertible
securities in 1994 worked in their favor this year, and we have seen an
increasing demand in the secondary market and a tapering of new issue supply.

   The rally in the bond market in the past quarter, which certainly benefited
the fixed-income portion of your Fund, also contributed to the positive
performance of holdings in finance and non-electric utilities. In addition, the
further strengthening of the technology sector favored the technology holdings
in your portfolio.

   Looking forward, your Manager remains optimistic about your Fund's
performance, and will continue to identify companies with good potential for
future earnings growth.

By order of the Board of Directors,


/s/William C. Morris
William C. Morris
Chairman



                                  /s/Ronald T. Schroeder
                                  Ronald T. Schroeder
                                  President


April 28, 1995

- --------------------------------------------------------------------------------

<TABLE>
<CAPTION>
Important Telephone Numbers
- --------------------------------------------------------------------------------
<S>              <C>                          <C>              <C>                   <C>              <C>                   
(800) 221-2450   Shareholder Services         (800) 445-1777   Retirement Plan       (800) 622-4597   24-Hour Automated
                                                               Services                               Telephone Access Service
</TABLE>

                                       1
<PAGE>


================================================================================
Portfolio of Investments (unaudited)                              March 31, 1995
- --------------------------------------------------------------------------------
                                                        Principal
                                                          Amount        Value
                                                     --------------  -----------

U.S. Government and
   Government Agency Securities--14.9%
U.S. Treasury Bonds
   10 3/4%, 8/15/2005 ..............................   $10,000,000   $12,456,250
U.S. Treasury Notes:
   6 7/8%, 2/28/1997 ...............................    10,000,000    10,015,620
   9 1/4%, 2/15/2016 ...............................     5,000,000     5,868,750
Mortgage-backed Securities:**
Federal Home Loan Mortgage Co.                         
   10%, 6/15/2020 REMIC 1614-K .....................     4,844,170     5,079,695
Government National Mortgage
   Association Obligations:
   7 1/2%, with various maturities from
      1/15/2023 to 12/15/2024 ......................     9,796,863     9,460,144
   10%, with various maturities from
      1/15/2018 to 8/15/2021 .......................    10,952,820    11,746,899
                                                                     -----------

Total U.S. Government and
   Government Agency Securities
   (Cost $54,980,406) ..............................                  54,627,358
                                                                     -----------

Corporate Bonds--22.4%
Automotive--1.9%
Chrysler Financial 6 1/2%, 6/15/1998 ...............     3,000,000     2,906,001
General Motors 9 1/8%, 7/15/2001 ...................     4,000,000     4,239,744
                                                                     -----------
                                                                       7,145,745
                                                                     -----------

Banking and Finance--9.0%
Capital One Bank 8 1/8%, 3/1/2000 ..................     4,000,000     3,991,640
Commercial Credit 10%, 5/15/2009 ...................     4,000,000     4,646,376
First USA Bank 5 3/4%, 1/15/1999 ...................     4,000,000     3,724,256
GMAC Floating Rate Notes,
   7/19/1996 .......................................     5,000,000     5,000,000
Great Western Financial 8.60%,
   2/1/2002 ........................................     3,000,000     3,071,046
Household Finance 8 3/8%,
   11/15/2001 ......................................     4,000,000     4,135,296
Midland Bank 8 5/8%, 12/15/2004 ....................     3,000,000     3,119,487
National Westminster 9 3/8%,
   11/15/2003 ......................................     2,190,000     2,394,901
United Companies Financial 9.35%,
   11/1/1999 .......................................     3,000,000     3,060,615
                                                                     -----------
                                                                      33,143,617
                                                                     -----------

Building and Construction--0.6%
Cemex 6 1/4%, 10/25/1995* ..........................     3,000,000     2,191,479
                                                                     -----------

Drugs and Health Care--1.1%
American Home Products 7.90%,
   2/15/2005 .......................................     4,000,000     4,041,684
                                                                     -----------

Electric Utilities--0.8%
Texas Utilities 5 7/8%, 4/1/1998 ...................     3,000,000     2,867,862
                                                                     -----------

Energy--1.8%
Coastal 10 1/4%, 10/15/2004 ........................     3,000,000     3,362,172
Occidental Petroleum
   8 1/2%, 11/9/2001 ...............................     3,000,000     3,083,970
                                                                     -----------
                                                                       6,446,142
                                                                     -----------

Health Care--0.8%
Columbia/HCA Healthcare
   7.15%, 3/30/2004 ................................     3,000,000     2,848,848
                                                                     -----------

Insurance--1.4%
AEGON N.V. 8%, 8/15/2006 ...........................     5,000,000     4,978,785
                                                                     -----------

Manufacturing--0.8%
Cone Mills 8 1/8%, 3/15/2005 .......................     3,000,000     3,021,624
                                                                     -----------

Publishing--1.3%
News America Holdings
   8 1/4%, 8/10/2018 ...............................     5,000,000     4,715,430
                                                                     -----------

Steel--1.1%
USX 9 1/8%, 1/15/2013 ..............................     4,000,000     4,033,044
                                                                     -----------

Transportation--1.5%
Ryder System 7.87%, 11/24/1997 .....................     4,000,000     4,050,320
Transportacion Maritima Mexicana
   9 1/4%, 5/15/2003 ...............................     2,850,000     1,667,250
                                                                     -----------
                                                                       5,717,570
                                                                     -----------

Miscellaneous--0.3%
Service Corp. International
   8 3/8%, 12/15/1995 ..............................     1,000,000     1,029,017
                                                                     -----------

Total Corporate Bonds
   (Cost $85,092,778) ..............................                  82,180,847
                                                                     -----------

Asset-backed Securities**--1.4%
   (Cost $4,996,434)

Finance--1.4%
Western Financial 7.10%, 7/1/2000 ..................     5,000,000     4,987,500
                                                                     -----------

Convertible Bonds--24.6%

Consumer Goods and Services--1.8%
Unifi 6%, 3/15/2002 ................................     4,000,000     4,075,000
Wendy's International 7%, 4/1/2006 .................     2,000,000     2,790,000
                                                                     -----------
                                                                       6,865,000
                                                                     -----------

                                       2
<PAGE>

================================================================================

- --------------------------------------------------------------------------------

                                                        Principal
                                                          Amount        Value
                                                     --------------  -----------
Diversified--0.9%
Land & General Berhad
   4 1/2%, 7/26/2004 ...............................   $ 1,000,000   $ 1,232,500
MascoTech 4 1/2%, 12/15/2003 .......................     2,750,000     1,904,375
                                                                     -----------
                                                                       3,136,875
                                                                     -----------

Drugs and Health Care--1.0%
Ciba-Geigy 6 1/4%, 3/15/2016* ......................     2,000,000     1,852,500
Greenery Rehabilitation Group
   8 3/4%, 4/1/2015 ................................     2,000,000     1,790,000
                                                                     -----------
                                                                       3,642,500
                                                                     -----------

Energy--2.4%
Apache 6%, 1/15/2002 ...............................     3,000,000     3,270,000
E. E. Finance 8 3/4%, 6/27/2006 ....................     1,000,000+    1,578,448
Kelley Oil & Gas 8 1/2%, 4/1/2000 ..................     1,250,000     1,045,313
Santa Fe Pipelines 10.418%,
   8/15/2010 .......................................     2,500,000     3,087,500
                                                                     -----------
                                                                       8,981,261
                                                                     -----------

Environmental Services--1.7%
Browning-Ferris 6 1/4%, 8/15/2012 ..................     2,500,000     2,503,125
OHM 8%, 10/1/2006 ..................................     3,000,000     2,647,500
U.S.A. Waste Services
   8 1/2%, 10/15/2002 ..............................     1,000,000     1,047,500
                                                                     -----------
                                                                       6,198,125
                                                                     -----------

Finance and Insurance--2.7%
AXA 6%, 1/1/2001 ...................................     2,184,500++     504,084
Leucadia National 5 1/4%, 2/1/2003 .................     3,000,000     2,906,250
Liberty Life International
   6 1/2%, 9/30/2004 ...............................       750,000       804,375
SCOR U.S. 51/4%, 4/1/2000* .........................     3,000,000     2,610,000
Trenwick Group 6%, 12/15/1999 ......................     3,000,000     3,015,000
                                                                     -----------
                                                                       9,839,709
                                                                     -----------

Machinery--0.8%
Cooper Industries 7.05%, 1/1/2015 ..................     2,724,500     2,789,207
                                                                     -----------

Retailing--1.6%
CML Group 5 1/2%, 1/15/2003 ........................     2,000,000     1,460,000
Price 6 3/4%, 3/1/2001 .............................     3,000,000     2,898,750
Proffitts 4 3/4%, 11/1/2003 ........................     2,000,000     1,557,500
                                                                     -----------
                                                                       5,916,250
                                                                     -----------

Technology--4.3%
Bay Networks 5 1/4%, 5/15/2003* ....................     3,000,000     2,535,000
Conner Peripheral 6 1/2%, 3/1/2002 .................     3,000,000     2,313,750
Cray Research 6 1/8%, 2/1/2011 .....................     1,500,000     1,080,000
Data General 7 3/4%, 6/1/2001 ......................     2,000,000     1,660,000
EMC 4 1/4%, 1/1/2001 ...............................     1,500,000     1,563,750
Evans & Sutherland Computer
   6%, 3/1/2012 ....................................     2,000,000     1,470,000

                                                         Prin. Amt.
                                                         or Shares
                                                         ---------
Kulicke & Soffa Industries
   8%, 3/1/2008 ....................................     2,000,000     2,602,500
Quantum 6 3/8%, 4/1/2002 ...........................     2,500,000     2,431,250
                                                                     -----------
                                                                      15,656,250
                                                                     -----------

Telecommunications--3.2%
Alcatel Alsthom 6 1/2%, 1/1/2000 ...................     7,599,680++   1,420,312
Carlton Communications
   7 1/2%, 8/14/2007 ...............................     2,600,000     5,753,059
LDDS Communications
   5%, 8/15/2003 ...................................     2,000,000     1,747,500
Network Equipment 7 1/4%, 5/15/2014 ................     3,000,000     2,842,500
                                                                     -----------
                                                                      11,763,371
                                                                     -----------

Transportation--2.5%
Airborne Freight 6 3/4%, 8/15/2001 .................     1,750,000     1,636,250
British Airways 9 3/4%, 6/15/2005 ..................       700,000+    1,970,711
Builders Transport 8%, 8/15/2005 ...................     3,000,000     2,730,000
Interpool 5 1/4%, 12/15/2018 .......................     2,000,000     1,542,500
Nippon Yusen 2%, 9/29/2000 .........................   115,000,000+++  1,354,893
                                                                     -----------
                                                                       9,234,354
                                                                     -----------

Miscellaneous--1.7%
Bell Sports 4 1/4%, 11/15/2000 .....................     2,500,000     1,818,750
General Signal 5 3/4%, 6/1/2002 ....................     2,300,000     2,403,500
TriMas 5%, 8/1/2003 ................................     2,000,000     2,090,000
                                                                     -----------
                                                                       6,312,250
                                                                    -----------

Total Convertible Bonds
   (Cost $87,663,849) ..............................                  90,335,152
                                                                     -----------
Convertible Preferred Stocks--14.9%

Computers and Business Services--1.2%
Ceridian 5 1/2% ....................................       60,000 shs. 4,620,000
                                                                     -----------

Drugs and Health Care--0.6%
Beverly Enterprises $2.75 ..........................       40,000      2,300,000
                                                                     -----------

Energy--1.7%
Transco Energy 3 1/2%* .............................       50,000      2,737,500
Unocal $3.50* ......................................       50,000      2,650,000
WRT Energy 9% ......................................       40,000        872,500
                                                                     -----------
                                                                       6,260,000
                                                                     -----------

Finance and Insurance--3.9%
Ahmanson (HF) (Series D) 6% ........................       50,000      2,237,500
Alexander & Alexander (Series A)
     $3.625* .......................................       65,000      2,941,250
California Federal Bank 73/4% ......................       38,000        793,250
Chemical Banking 10% ...............................       30,000      2,167,500
Citicorp $5.375* ...................................       30,000      3,532,500
National City $4.00 ................................       40,000      2,565,000
                                                                     -----------
                                                                      14,237,000
                                                                     -----------

 
                                      3

<PAGE>


================================================================================

- --------------------------------------------------------------------------------

                                                          Shares        Value
                                                     --------------  -----------
Food--0.7%
ConAgra (Series E) $1.6875 .........................       75,000    $ 2,531,250
                                                                     -----------

Minerals--0.7%
Freeport-McMoRan 4 3/8%* ...........................       50,000      2,543,750
                                                                     -----------

Packaging and Paper--0.6%
Federal Paper Board $2.875 .........................       40,000      2,135,000
                                                                     -----------

Retailing--0.7%
TJX Companies $3.125 ...............................       30,000      1,177,500
Venture Stores $3.25 ...............................       40,000      1,320,000
                                                                     -----------
                                                                       2,497,500
                                                                     -----------

Steel--0.8%
U.S. Steel $3.25 ...................................       60,000      2,820,000
                                                                     -----------

Technology--0.9%
General Motors (Series E) 6 1/2% ...................       30,000      1,725,000
Unisys $3.75 .......................................       40,000      1,555,000
                                                                     -----------
                                                                       3,280,000
                                                                     -----------

Transportation--1.5%
GATX $3.875 ........................................       50,000      2,725,000
Sea Containers 8% ..................................       70,000      2,905,000
                                                                     -----------
                                                                       5,630,000
                                                                     -----------

Utilities/Telecommunications--0.7%
Mobile Telecommunications
   Technology $2.25* ...............................       50,000      1,562,500
Nacional Financiera 11 1/4% ........................       30,000        900,000
                                                                     -----------
                                                                       2,462,500
                                                                     -----------

Miscellaneous--0.9%
Corning (Delaware) 6% ..............................       60,000      3,247,500
                                                                     -----------

Total Convertible Preferred Stocks
   (Cost $53,193,424) ..............................                  54,564,500
                                                                     -----------

Common Stocks--18.7%

Banking and Finance--2.3%
Banco de Santander .................................       52,732      1,829,617
Bank of Boston .....................................       85,397      2,540,561
Internationale Nederlanden Bank ....................       30,750      1,516,574
National Australia Bank (ADRs) .....................       60,000      2,520,000
                                                                     -----------
                                                                       8,406,752
                                                                     -----------

Chemicals--1.2%
Bayer AG ...........................................        5,700      1,402,249
Dow Chemical .......................................       30,000      2,190,000
European Vinyls0 ...................................       22,320        930,121
                                                                     -----------
                                                                       4,522,370
                                                                     -----------

Consumer Goods and Services--0.9%
B.A.T. Industries ..................................      200,000      1,423,238
Christian Dior--ABSA ...............................        7,570        698,177
Semi-Tech (Global) .................................      712,500      1,184,121
                                                                     -----------
                                                                       3,305,536
                                                                     -----------

Electric Utilities--4.1%
Central Costanera (ADRs)* ..........................       14,000        413,000
CINergy ............................................      102,300      2,544,713
Detroit Edison .....................................      100,000      2,737,500
Empresa Nacional de
   Electricidad (ADRs) .............................       25,000      1,050,000
Entergy ............................................      100,000      2,087,500
Hong Kong Electric .................................      800,000      2,560,787
Huaneng Power
   International (ADRs)0 ...........................       35,000        555,625
PacifiCorp .........................................      150,000      2,906,250
                                                                     -----------
                                                                      14,855,375
                                                                     -----------

Energy--2.5%
Atlantic Richfield .................................       20,000      2,300,000
BP Prudhoe Bay Royalty Trust .......................       80,000      1,360,000
British Gas Petroleum (ADRs) .......................       25,000      1,162,500
Shell Transport and Trading (ADRs) .................       50,000      3,543,750
Total SA (Class B) .................................       15,000        893,829
                                                                     -----------
                                                                       9,260,079
                                                                     -----------

Packaging and Paper--0.1%
Pechiney International .............................       15,000        363,391
                                                                     -----------

Retailing--1.3%
Kmart ..............................................      100,000      1,375,000
Sears, Roebuck .....................................       62,040      3,311,383
                                                                     -----------
                                                                       4,686,383
                                                                     -----------

Spirits, Wines and Ciders--0.3%
Allied Domecq ......................................      140,000      1,200,513
                                                                     -----------

Transportation--1.0%
Consolidated Freightways ...........................      140,000      3,727,500
                                                                     -----------

Utilities/Telecommunications--4.0%
Bell Atlantic ......................................       40,000      2,110,000
British Telecommunications (ADRs) ..................       30,000      1,878,750
GTE ................................................      100,000      3,325,000
NYNEX ..............................................       50,000      1,981,250
Tele Danmark (ADSs) ................................       50,000      1,325,000
Telecom Italia .....................................      439,000        813,819
Telefonica de Espana ...............................       85,000      1,073,959
U.S. West ..........................................       50,000      2,000,000
                                                                     -----------
                                                                      14,507,778
                                                                     -----------
                                       4

<PAGE>

================================================================================

- --------------------------------------------------------------------------------

                                                          Shares        Value
                                                     --------------  -----------
Miscellaneous--1.0%
Ogden ..............................................     150,000     $ 3,018,750
Pacific Dunlop .....................................     275,000         605,176
                                                                     -----------
                                                                       3,623,926
                                                                     -----------

Total Common Stocks
   (Cost $65,231,922) ..............................                  68,459,603
                                                                     -----------

Short-Term Holdings--2.2%
   (Cost $8,165,000) ...............................                   8,165,000
         ----------                                                  -----------

Total Investments--99.1%
   (Cost $359,323,813) .............................                 363,319,960

Other Assets Less
   Liabilities--0.9% ...............................                   3,477,834
                                                                     -----------

Net Assets--100.0% .................................                $366,797,794
                                                                    ============

- ----------
  *Rule 144A security.
 **Investments in mortgage-backed and asset-backed securities are subject to
   principal paydowns. As a result of prepayments from refinancing or
   satisfaction of the underlying instruments, the average life may be less than
   the original maturity. This in turn may impact the ultimate yield realized
   from these instruments.
  +Principal amount reported in British pounds.
 ++Principal amount reported in French francs.
+++Principal amount reported in Japanese yen.
  0Non-income producing security.
Note: Investments in U.S. Government securities, bonds, and stocks are valued at
current market value or, in their absence, at fair value determined in
accordance with procedures approved by the Board of Directors. Securities traded
on national exchanges are valued at last sales prices or, in their absence and
in the case of over-the-counter securities, a mean of bid and asked prices.
Short-term holdings maturing in 60 days or less are valued at amortized cost.




Major Portfolio Holdings
at March 31, 1995

Security                                                                Value
- --------                                                             -----------

U.S. Treasury Bonds 10 3/4%, 8/15/2005 .....................         $12,456,250
U.S. Treasury Notes 6 7/8%, 2/28/1997 ......................          10,015,620
U.S. Treasury Notes 9 1/8%, 2/15/2016 ......................           5,868,750
Carlton Communications 7 1/2%, 8/14/2007 ...................           5,753,059
Federal Home Loan Mortgage Co. 10%,
   6/15/2020 REMIC 1614-K ..................................           5,079,695
GMAC Floating Rate Notes, 7/19/1996 ........................           5,000,000
Western Financial 7.10%, 7/1/2000 ..........................           4,987,500
AEGON N.V. 8%, 8/15/2006 ...................................           4,978,785
News America Holdings 8 1/4%, 8/10/2018 ....................           4,715,430
Commercial Credit 10%, 5/15/2009 ...........................           4,646,376





Largest Portfolio Changesss+
During Past Three Months

                                                        Principal Amount
                                                      ----------------------

                                                                      Holdings
Additions                                               Increase      3/31/95
- ---------                                               --------     ---------

U.S. Government Securities
U.S. Treasury Bonds 10 3/4%, 8/15/2005 .............. $10,000,000   $10,000,000
U.S. Treasury Notes 6 7/8%, 2/28/1997 ...............  10,000,000    10,000,000
U.S. Treasury Notes 9 1/4%, 2/15/2016 ...............   5,000,000     5,000,000
Corporate Bonds
American Home Products
   7.90%, 2/15/2005 .................................   4,000,000     4,000,000
Capital One Bank 8 1/8%, 3/1/2000 ...................   4,000,000     4,000,000
Columbia/HCA Healthcare
   7.15%, 3/30/2004 .................................   3,000,000     3,000,000
Commercial Credit 10%, 5/15/2009 ....................   4,000,000     4,000,000
Household Finance 8 3/8%, 11/15/2001 ................   4,000,000     4,000,000
Occidental Petroleum 8 1/2%, 11/9/2001 ..............   3,000,000     3,000,000
Asset-backed Securities
Western Financial 7.10%, 7/1/2000 ...................   5,000,000     5,000,000

                                                                      Holdings
Reductions                                              Decrease      3/31/95
- ----------                                              --------     ---------

U.S. Government and Government
   Agency Securities
U.S. Treasury Notes 7 7/8%, 11/15/2004 .............. $10,000,000           --
U.S. Treasury Notes 8 1/2%, 5/15/1997 ...............   5,000,000           --
Federal National Mortgage Association
   7%, 7/25/2007 G-92-40-L ..........................   5,000,000           --
Corporate Bonds
Citicorp 9 1/2%, 2/1/2002 ...........................   3,000,000           --
Delta Air Lines 10 3/8%, 2/1/2011 ...................   3,000,000           --
First Security Bank 6.88%, 10/4/1996 ................   4,000,000           --
Santa Fe Pacific 8 5/8%, 11/1/2004 ..................   3,000,000           --
Sears, Roebuck 9 3/8%, 11/1/2011 ....................   3,500,000           --
Asset-backed Securities
Ford Credit Grantor Trust
   7.30%, 10/15/1999 ................................   4,862,475           --
Convertible Bonds
Western Co. of North America
   7 1/4%, 1/15/2015 ................................   3,000,000           --

- -----------
+ Largest portfolio changes from the previous quarter to the current quarter
  are based on cost of purchases and proceeds from sales of securities.

                                        5

<PAGE>

- --------------------------------------------------------------------------------
Long-Term Investment Results
Average Annual Total Returns
March 31, 1995

Class A*
                           One     Five      Ten
                          Year     Years    Years
                          -----   ------   ------


With Sales Charge        (1.13)%   9.26%   10.44%
Without Sales Charge      3.81    10.32    10.98


Class D**
                                     Since
                           One     Inception
                          Year      5/3/93
                         ------    ---------

With CDSL                 2.00%       n/a
Without CDSL              2.98       3.38%


  *The maximum initial sales charge for Class Ashares is 4.75%. No adjustment
   was made to performance for periods prior to January 1, 1993, the
   commencement date for the annual Administration, Shareholder Services and
   Distribution Plan fee of up to 0.25% of average daily net assets of Class A
   shares.

** The returns for the one-year period for Class D shares are shown with and
   without the effect of the 1% contingent deferred sales load ("CDSL")imposed
   on certain shares redeemed within one year of purchase.
                 ---------------------------------------------
These rates of return reflect changes in prices and assume that all
distributions within the period are reinvested in additional shares. The rates
of return will vary and the principal value of an investment will fluctuate.
Shares, if redeemed, may be worth more or less than their original cost. Past
performance is not indicative of future investment results.
- --------------------------------------------------------------------------------



                        SELIGMAN FINANCIAL SERVICES, INC.
                                 an affiliate of
                                 [LOGO OMITTED]
                             J. & W. SELIGMAN & CO.
                                  INCORPORATED
                                ESTABLISHED 1864
                       100 Park Avenue, New York, NY 10017

This report is intended only for the information of shareholders or those who
have received the offering prospectus covering shares of Capital Stock of
Seligman Income Fund, Inc., which contains information about the sales charges,
management fee, and other costs. Please read the prospectus carefully before
investing or sending money.

                                                                    EQIN3a 3/95


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