Wilson Furniture Co. v. Commissioner
United States Board of Tax Appeals
1. Inventory methods used consistently and uniformly for many years, that substantially reflect the true income, should not be disturbed by adjustments that result in distortion of actual income. 2. Discrepancies appearing upon petitioner's books should, if possible, be so adjusted as to disclose the actual income.
1Opinion of the Court
*1295OPINION.
Lansdon:
There are two questions to be determined in this proceeding: (1) Which of two inventory methods more cl.early reflects income, and (2) the adjustment of certain discrepancies appearing upon petitioner’s books.
The petitioner has for many years computed its inventory at cost after marking “ out ” of the inventory list certain obsolete items having little or no market value. Such merchandise has been carried in stock for many years and at each inventory period has been excluded from the list as having no market value. Most of such items, however, had a nominal value. Occasionally…
2Cited by4 opinions
- National Fireworks, Inc. v. Commissioner of Internal RevenueCourt of Appeals for the First Circuit · 1957
- E. J. Scheer, Inc. v. CommissionerUnited States Tax Court · 1949
- Carmichael Tile Co. v. CommissionerUnited States Tax Court · 1950
- Wilson Furniture Co. v. CommissionerUnited States Board of Tax Appeals · 1928