Hoyt v. Commissioner
United States Board of Tax Appeals
1. The discovery value of a mine in excess of cost represents unrealized appreciation in the value of property and should not be included in the computation of the earnings and profits of a corporation available for distribution as taxable dividends. 2. Gross receipts of a mine, in excess of cost, set aside by a corporation in a depletion reserve based on discovery value, repsent realized appreciation in the value of property and are profits of the corporation.
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1. The discovery value of a mine in excess of cost represents unrealized appreciation in the value of property and should not be included in the computation of the earnings and profits of a corporation available for distribution as taxable dividends. 2. Gross receipts of a mine, in excess of cost, set aside by a corporation in a depletion reserve based on discovery value, repsent realized appreciation in the value of property and are profits of the corporation. When placed in such a reserve they do not lose their character as profits. 3. Earnings and profits of a corporation available for…
1Opinion of the Court
ELTON HOYT, 2ND, PETITIONER, ET AL., 1v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
Hoyt v. Commissioner
Docket Nos. 62905, 64691, 64710-64712, 70951-70954.
United States Board of Tax Appeals
34 B.T.A. 1011; 1936 BTA LEXIS 609;
September 29, 1936, Promulgated
1. The discovery value of a mine in excess of cost represents unrealized appreciation in the value of property and should not be included in the computation of the earnings and profits of a corporation available for distribution as taxable dividends.
2. Gross receipts of a mine, in excess of cost, set aside by a corporation in a depletion…
2Cases cited10 opinions
- Palmer v. BenderSupreme Court of the United States · 1932
- LaBelle Iron Works v. United StatesSupreme Court of the United States · 1921
- Helvering v. CanfieldSupreme Court of the United States · 1934
- Stifel v. CommissionerUnited States Board of Tax Appeals · 1934
- Shorb v. CommissionerUnited States Board of Tax Appeals · 1931
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