Kaufmann & Baer Company v. United States

LITTLETON, Judge.

The plaintiffs, 1 Kaufmann and Baer Company and Gimbel Brothers, Inc., sue to recover an alleged overpayment of taxes for the fiscal year ending January 31, 1942. The question presented is whether Kaufmann and Baer Co. is entitled to have its taxable income for the fiscal year ended January 31, 1942, computed by valuing its opening and closing inventories for that year on the last-in first-out basis (hereinafter referred to as LIFO) provided in § 22(d) of the Internal Revenue Code of 1939, as amended, 26 U.S.C. § 22(d). 2

For purposes of this decision the facts may be…