Reuben H. Donnelley Corp. v. Commissioner
United States Board of Tax Appeals
1. CONTINGENT RESERVES NOT DEDUCTIBLE. - Where petitioner set up on its books during a taxable year certain reserves for the payment of salesmen's commissions which should come due in the following year when and if the accounts upon which they are based are paid, held, such reserves are not deductible in determining taxpayer's net income. 2. INVENTORIES used in computing the cost of goods sold must be computed at the beginning and end of each year on substantially the same…
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1. CONTINGENT RESERVES NOT DEDUCTIBLE. - Where petitioner set up on its books during a taxable year certain reserves for the payment of salesmen's commissions which should come due in the following year when and if the accounts upon which they are based are paid, held, such reserves are not deductible in determining taxpayer's net income. 2. INVENTORIES used in computing the cost of goods sold must be computed at the beginning and end of each year on substantially the same basis. Respondent's action in excluding items amounting to $86,814.20 from petitioner's opening inventory in 1923 and…
1Opinion of the Court
THE REUBEN H. DONNELLEY CORPORATION, PETITIONER, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
Reuben H. Donnelley Corp. v. Commissioner
Docket No. 36881.
United States Board of Tax Appeals
22 B.T.A. 175; 1931 BTA LEXIS 2157;
February 17, 1931, Promulgated
1. CONTINGENT RESERVES NOT DEDUCTIBLE. - Where petitioner set up on its books during a taxable year certain reserves for the payment of salesmen's commissions which should come due in the following year when and if the accounts upon which they are based are paid, held, such reserves are not deductible in determining taxpayer's net income.
2.…
2Cases cited9 opinions
- Lucas v. American Code Co.Supreme Court of the United States · 1930
- American National Co. v. United StatesSupreme Court of the United States · 1927
- Thomas Shoe Co. v. CommissionerUnited States Board of Tax Appeals · 1924
- Justus & Parker Co. v. CommissionerUnited States Board of Tax Appeals · 1928
- Ostheimer v. CommissionerUnited States Board of Tax Appeals · 1924
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