Home Ice Cream & Ice Co. v. Commissioner
United States Board of Tax Appeals
Held that net additions to petitioner's reserve for bad debts in 1924 and 1925 were proper deductions from its gross income in each of such years.
1Opinion of the Court
*764OPINION.
Lansdon:
In this proceeding the Board must decide (1) whether the petitioner had the right to set up a reserve for bad debts in each of the taxable years, and (2) if so, were the charges thereto reasonable in amount ? The respondent bases his determination on his finding that petitioner, having once elected to deduct bad debts ascertained to be worthless in the taxable year, may not thereafter change to the reserve method without first asking and obtaining permission so to do.
The statutes governing here are of the Revenue Acts of 1921 and 1924, section 234 (a) (5) of which provides:
That…
2Cases cited1 opinion
- United States ex rel. Greylock Mills v. BlairCourt of Appeals for the D.C. Circuit · 1923
3Cited by9 opinions
- Roanoke Vending Exchange, Inc. v. CommissionerUnited States Tax Court · 1963
- S. Rossin & Sons v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1940
- Dixie Furniture Co. v. CommissionerUnited States Tax Court · 1966
- Time Acceptance, Inc. v. CommissionerUnited States Tax Court · 1985
- Carp v. CommissionerUnited States Tax Court · 1961
4 more not listed; retrieve them via the Exa API.