J. E. Riley v. R. L. Douglass, Collector of Internal Revenue, Gertrude B. Riley v. R. L. Douglass, Collector of Internal Revenue

CHAMBERS, Circuit Judge.

This is a consolidated appeal of the separate cases of a husband and his wife on an income tax depletion-gross income question decided in the United States District Court of Nevada in favor of a collector of internal revenue.

J. E. Riley and Gertrude B. Riley, husband and wife, operated during the latter part of 1943 and during 1944 in Humboldt County, Nevada, what is known as the Riley mine, a low grade tungsten mine. Production was made economically possible for the two years in question by a federal government program of purchase of strategic metals through Metals…