Golden Rod Farms, Inc. v. United States

MEMORANDUM OF DECISION

HALTOM, District Judge.

The above entitled civil action presents the issue of whether substantial prepayments made by a corporate farmer taxpayer near the end of certain of its tax years for chicken feed or feed ingredients to be delivered and used in the taxpayer’s broiler grow out operation in the year following purchase constituted nondeductible deposits in the tax years made rather than ordinary and necessary business expenses incurred in such years pursuant to 26 U.S.C. § 162(a) and regulations and revenue rulings promulgated thereunder.

This case was filed by…