Standard Lime & Cement Co. v. United States

OPINION

ENSLEN, District Judge.

In this action the Plaintiff seeks a refund for taxes paid during the period 1955 to 1959. Plaintiff contends that it was entitled to compute its depletion allowance deduction upon the basis of its income from magnesium hydroxide, rather than from its brine. At the time of the allegedly erroneous payments of income tax, Plaintiff was a wholly owned subsidiary of American-Marietta. In 1959, the parent company decided that it would be desirable to liquidate the Plaintiff and operate its assets as a division. Although the directors approved a plan of liquidation on…