Rialto Mining Corp. v. Commissioner
United States Board of Tax Appeals
1. Where a corporation acquired the assets of a predecessor organized under the laws of a different state by the issue of its stock for the stock of the predecessor, it is not entitled to discovery value for depletion purposes on the value of an ore body developed by the predecessor before the reorganization. 2. Petitioner is entitled to recover its entire capital investment by depletion and depreciation ratably over the terms of the lease under which it operated the mines.…
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1. Where a corporation acquired the assets of a predecessor organized under the laws of a different state by the issue of its stock for the stock of the predecessor, it is not entitled to discovery value for depletion purposes on the value of an ore body developed by the predecessor before the reorganization. 2. Petitioner is entitled to recover its entire capital investment by depletion and depreciation ratably over the terms of the lease under which it operated the mines. 3. Certain sales of ore were made in 1925, even though payment was not received until 1926, and the amounts thereof…
1Opinion of the Court
RIALTO MINING CORPORATION, PETITIONER, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
Rialto Mining Corp. v. Commissioner
Docket Nos. 48692, 56877.
United States Board of Tax Appeals
25 B.T.A. 980; 1932 BTA LEXIS 1441;
March 25, 1932, Promulgated
1. Where a corporation acquired the assets of a predecessor organized under the laws of a different state by the issue of its stock for the stock of the predecessor, it is not entitled to discovery value for depletion purposes on the value of an ore body developed by the predecessor before the reorganization.
2. Petitioner is entitled to recover its…
2Cases cited1 opinion
- Rialto Mining Corp. v. CommissionerUnited States Board of Tax Appeals · 1932