New York, Chicago & St. Louis Railroad v. Commissioner

*194OPINION.

Sternhagen :

1. The petitioner claims a deduction of $35,045.38 in 1917 as discount accrued in that year upon its first njortgage 4 per cent fifty-year bonds issued in 1887. The only question raised is whether there actually -was any discount involved in the issuance of petitioner’s bonds; for respondent concedes that if there was discount in 1887, when the bonds were issued, its amortization may be recognized and an aliquot part thereof, admittedly $35,045.38, deducted. Chicago, Rock Island & Pacific Railway Co., 13 B. T. A. 988; Kansas City Southern Railway Co., 16 B. T. A. 665;…