Barnett Anchor Oil Co. v. Commissioner

*751OPINION.

Matthews:

The petitioner concedes that the respondent’s allowance for depletion on the oil lease in the amount of $209,243.73 for 1923, computed on the basis of its fair market value at the time acquired, as far as income for that year is concerned, is correct. In view of the fact that such computation is in accordance with the statute, we affirm the respondent’s determination of the deficiency for that year. We then have to decide the correct amount of depletion deductible from income for 1924 and 1925 and the amount of profit sustained on the sale of the petitioner’s 70 per cent…