Rising Sun Brewing Co. v. Commissioner
United States Board of Tax Appeals
1. Loss sustained on the abandonment of bottling machinery allowed as a deduction. 2. Loss deduction claimed on a building disallowed in the absence of evidence proving loss of useful value.
1Opinion of the Court
*827OPINION.
Arundell :
The evidence here convinces us that the abandonment of the bottling equipment in favor of more efficient machinery resulted in a loss to petitioner. There was no market for the abandoned equipment and its junk value was less than it would have cost to dismantle and remove it. The loss sustained was $23,707.79, representing the depreciated cost of the property on January 1, 1920. In recomputing the deficiency under Rule 50 an adjustment should be made for any allowance made by the respondent for depreciation in the taxable year.
The testimony offered in support of the claimed…
2Cited by2 opinions
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- Rising Sun Brewing Co. v. CommissionerUnited States Board of Tax Appeals · 1931