Union Paving Co. v. Commissioner
United States Board of Tax Appeals
1. Petitioner is engaged under contracts in constructing and maintaining streets and highways in the Commonwealth of Pennsylvania and political subdivisions thereof. Held, that profits from such contracts should be included in taxable income. 2. Petitioner is required by its contracts to maintain for a fixed period all roads and streets which it constructs. It set apart on its books in the taxable year an amount which it designated as "Prepaid Maintenance."
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1. Petitioner is engaged under contracts in constructing and maintaining streets and highways in the Commonwealth of Pennsylvania and political subdivisions thereof. Held, that profits from such contracts should be included in taxable income. 2. Petitioner is required by its contracts to maintain for a fixed period all roads and streets which it constructs. It set apart on its books in the taxable year an amount which it designated as "Prepaid Maintenance." During such year it actually expended a much smaller sum for maintenance. Held, that the "Prepaid Maintenance" fund should be included in…
1Opinion of the Court
UNION PAVING CO., PETITIONER, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
Union Paving Co. v. Commissioner
Docket No. 803.
United States Board of Tax Appeals
6 B.T.A. 527; 1927 BTA LEXIS 3494;
March 15, 1927, Promulgated
1. Petitioner is engaged under contracts in constructing and maintaining streets and highways in the Commonwealth of Pennsylvania and political subdivisions thereof. Held, that profits from such contracts should be included in taxable income.
2. Petitioner is required by its contracts to maintain for a fixed period all roads and streets which it constructs. It set apart on its…
2Cases cited1 opinion
- Union Paving Co. v. CommissionerUnited States Board of Tax Appeals · 1927