Manistique Lumber & Supply Co. v. Commissioner
United States Board of Tax Appeals
1. Where petitioner constructed a roadway which, under the facts, was permanent in its nature, it will not be permitted to deduct its cost as current expense. 2. Where petitioner elected in 1927 to charge off specific items as bad debts, it will not be permitted in subsequent years to charge off other specific bad debts and set up a reserve for unspecified bad debts without the consent of the Commissioner of Internal Revenue.
1Opinion of the Court
*27OPINION.
Adams:
The questions presented in this case are two: First, whether under the above facts, the respondent erred in failing to allow the deduction claimed in petitioner’s income tax return for the year 1928, of the sum of $867.87 as ordinary and necessary business expense, or whether it constituted a permanent improvement which was properly chargeable to permanent improvement of petitioner’s property, and, as such, represented a capital expenditure.
*28The pertinent portions of section 215 (a) of the Revenue Act of 1926 and the regulations thereunder are as follows:
Sec. 215. (a) In…
2Cases cited6 opinions
- Appeal of First National Bank of St. LouisUnited States Board of Tax Appeals · 1926
- Kay Mfg. Co. v. CommissionerUnited States Board of Tax Appeals · 1930
- Transatlantic Clock & Watch Co. v. CommissionerUnited States Board of Tax Appeals · 1926
- First Nat'l Bank v. CommissionerUnited States Board of Tax Appeals · 1929
- Appeal of Gude Bros., Kieffer Co.United States Board of Tax Appeals · 1925
1 more not listed; retrieve them via the Exa API.
3Cited by6 opinions
- Ross v. Commissioner of Internal RevenueCourt of Appeals for the First Circuit · 1948
- W. M. Ritter Lumber Co. v. CommissionerUnited States Board of Tax Appeals · 1934
- E. W. Edwards & Son v. ClarkeDistrict Court, N.D. New York · 1939
- Manistique Lumber & Supply Co. v. CommissionerUnited States Board of Tax Appeals · 1933
- S. Rossin & Sons, Inc. v. CommissionerUnited States Board of Tax Appeals · 1939
1 more not listed; retrieve them via the Exa API.