Koepfli v. Commissioner

NORCROSS, District Judge.

This is a petition to review orders of the United States Board of Tax Appeals, redetermining income taxes of petitioners for the year 1922. The controlling facts are conceded, and a question of law is presented whether or no, in determining the gain in 1922 on the sale of property acquired prior to March 1, 1913, when the basis is cost or March 1,1913, value, whichever is greater, it is required under section 202 (b) of the Revenue Act of 1921 (42 Stat. 229) that the cost basis be reduced by depreciation accrued or sustained prior to March 1,1913.

In 1905 petitioners…