Wobber Bros. v. Commissioner
United States Board of Tax Appeals
Where a corporate taxpayer by mistake used too large a cost base in computing the amount of gain upon the sale of a portion of its holdings of shares of stock in a corporation and thereby understated its real gain, it is not thereby estopped to use the actual cost in determining the gain upon the sale of the balance of its holding of stock in the corporation in a subsequent year. Lewis K. Walker,35 B.T.A. 640, distinguished.
1Opinion of the Court
OPINION..Smith :
This is a proceeding for the redetermination of a deficiency in income tax for 1930 in the amount of $3,812.28. Petitioner alleges that the respondent erred in determining the deficiency in computing a profit of $90,294.29 upon the sale of 3,024 shares of the capital stock of Paramount Publix Corporation.
*891The petitioner is a California corporation, with its principal office in San Francisco. In 1927 it purchased through a margin account 1,500 shares of the capital stock of Paramount Famous Players Lasky Corporation, paying therefor $158,499.58. It also, in the same year,…
2Cases cited1 opinion
- Brant v. Virginia Coal & Iron Co.Supreme Court of the United States · 1876
3Cited by4 opinions
- Baker v. Commissioner (A)United States Board of Tax Appeals · 1938
- Equitable Life Assurance Soc. v. CommissionerUnited States Board of Tax Appeals · 1941
- Grauman's Greater Hollywood Theatre v. CommissionerUnited States Board of Tax Appeals · 1938
- Wobber Bros. v. CommissionerUnited States Board of Tax Appeals · 1937