Burket v. Commissioner
United States Board of Tax Appeals
1. A "royalty interest" under an oil and gas lease is an interest issuing out of the land and a part of the lessor's estate, the assignment of which must be evidenced by a writing to satisfy the statute of frauds. 2. The transfer of a part of such royalty interest to petitioners occurred on December 20, 1922, and the respondent's computation of depletion deductions based on a discovery value fixed by the first discovery thereafter on January 30, 1923, is approved.
1Opinion of the Court
*1064OPINION.
Lansdon:
The single question raised by the pleadings is whether certain royalty interests in an oil and gas lease were acquired by verbal grant on or before August 7, 1922, or on December 20, 1922, when a written assignment was executed. The respondent has determined that the interests were acquired on December 20 and has allowed depletion deductions based on a value fixed by the first discovery thereafter on January 30, 1923. The petitioners contend that they acquired the royalty interests on or before August 7, *1065and that depletion should be computed on a value fixed by the discovery…
2Cases cited24 opinions
- Von Baumbach v. Sargent Land Co.Supreme Court of the United States · 1917
- Lynch v. Alworth-Stephens Co.Supreme Court of the United States · 1925
- Ohio Oil Company v. IndianaSupreme Court of the United States · 1900
- Hamilton v. RathboneSupreme Court of the United States · 1899
- Rich v. DonegheySupreme Court of Oklahoma · 1918
19 more not listed; retrieve them via the Exa API.
3Cited by1 opinion
- Burket v. CommissionerUnited States Board of Tax Appeals · 1930