Commissioner v. W. F. Trimble & Sons

The question presented for our determination is whether the taxpayer may deduct from its gross income the sum of $27,442.51 as loss upon stocks sold by the taxpayer upon December 29, 1932, to Fort Pitt Bedding Company for the sum of $10,120, and repurchased by it forty-.seven days later at an identical price.

The Commissioner contends that the Board of Tax Appeals erred in holding the loss occasioned by the sale to be deductible, claiming that the record discloses that the sales and repurchases were not genuine business transactions of the kind intended by law to form the basis for deductible…