Borin Corp. v. Commissioner
United States Board of Tax Appeals
Petitioner entered into a contract to purchase certain machinery, but before the contract was fully performed a second contract was agreed upon and executed whereby the original contract was rescinded and the rights and liabilities of the parties thereunder were canceled. Under the new contract the purchase price for the machinery was substantially reduced and the terms and conditions of the sale differed materially from those contained in the former contract.
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Petitioner entered into a contract to purchase certain machinery, but before the contract was fully performed a second contract was agreed upon and executed whereby the original contract was rescinded and the rights and liabilities of the parties thereunder were canceled. Under the new contract the purchase price for the machinery was substantially reduced and the terms and conditions of the sale differed materially from those contained in the former contract. Held, that petitioner's basis for computing depreciation on machinery and the profit or loss on the sale thereof is to be determined…
1Opinion of the Court
THE BORIN CORPORATION, FORMERLY ZERO ICE CORPORATION, PETITIONER, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
Borin Corp. v. Commissioner
Docket No. 90136.
United States Board of Tax Appeals
39 B.T.A. 712; 1939 BTA LEXIS 993;
April 6, 1939, Promulgated
Petitioner entered into a contract to purchase certain machinery, but before the contract was fully performed a second contract was agreed upon and executed whereby the original contract was rescinded and the rights and liabilities of the parties thereunder were canceled. Under the new contract the purchase price for the machinery was…
2Cases cited1 opinion
- Borin Corp. v. CommissionerUnited States Board of Tax Appeals · 1939