L. S. Donaldson Co. v. Commissioner
United States Board of Tax Appeals
1. L. S. Donaldson Co., Inc., acquired in 1913 for $200,883 noninterest-bearing promissory notes payable monthly up to the date of the expiration of the lease in 1930, a lease upon certain property in the same block in which its store was located.
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1. L. S. Donaldson Co., Inc., acquired in 1913 for $200,883 noninterest-bearing promissory notes payable monthly up to the date of the expiration of the lease in 1930, a lease upon certain property in the same block in which its store was located. Held, that the lease had no capital value upon which a deduction from gross income in annual tax returns for exhaustion can be predicated but that the petitioner is entitled to deduct from gross income of each year as an ordinary and necessary expense the amount paid in respect of notes maturing in such year. 2. Invested capital held not affected…
1Opinion of the Court
L. S. DONALDSON CO., INC., AND DONALDSON REALTY CO., PETITIONERS, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
L. S. Donaldson Co. v. Commissioner
Docket Nos. 9974, 25359.
United States Board of Tax Appeals
12 B.T.A. 271; 1928 BTA LEXIS 3564;
June 1, 1928, Promulgated
1. L. S. Donaldson Co., Inc., acquired in 1913 for $200,883 noninterest-bearing promissory notes payable monthly up to the date of the expiration of the lease in 1930, a lease upon certain property in the same block in which its store was located. Held, that the lease had no capital value upon which a deduction from gross income…
2Cases cited15 opinions
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