Union Carbide Corp. v. Commissioner
United States Tax Court
Petitioner mined vanadium and tungsten ore involving a solvent extraction process as to both ores and, subsequent to the use of that process, precipitation (by adjusting the pH of the liquor, adding a reagent, cooling, and filtering) and drying, in the case of vanadium, and crystallization in lieu of precipitation (by heating the product liquor with steaming and filtering) in the case of both ores.
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Petitioner mined vanadium and tungsten ore involving a solvent extraction process as to both ores and, subsequent to the use of that process, precipitation (by adjusting the pH of the liquor, adding a reagent, cooling, and filtering) and drying, in the case of vanadium, and crystallization in lieu of precipitation (by heating the product liquor with steaming and filtering) in the case of both ores. Held: 1. Petitioner's solvent extraction process is a mining process because it is "substantially equivalent" to precipitation within the meaning of sec. 613(c)(4)(D), I.R.C. 1954, and is…
1Opinion of the Court
Tannenwald, Judge:
Respondent determined a deficiency in petitioner’s income tax for the year 1971 in the amount of $686,773. By amended answer, respondent increased this deficiency to the amount of $913,652.
Two issues are involved herein: (1) Whether the solvent extraction process, as applied by petitioner to the minerals vanadium and tungsten, was a mining process within the meaning of section 613(c)(4)(D)1 for the purpose of computing petitioner’s percentage depletion allowance and, if solvent extraction should be found to be a nonmining process, whether subsequent processes should…
2Cases cited42 opinions
- Parklane Hosiery Co. v. ShoreSupreme Court of the United States · 1979
- Montana v. United StatesSupreme Court of the United States · 1979
- Commissioner v. SunnenSupreme Court of the United States · 1948
- Blonder-Tongue Laboratories, Inc. v. University of Illinois FoundationSupreme Court of the United States · 1971
- Jack E. Golsen and Sylvia H. Golsen v. Commissioner of Internal RevenueCourt of Appeals for the Tenth Circuit · 1971
37 more not listed; retrieve them via the Exa API.
3Cited by21 opinions
- Peck v. CommissionerUnited States Tax Court · 1988
- Calcutt v. CommissionerUnited States Tax Court · 1988
- Union Carbide Corporation v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1982
- Ideal Basic Industries, Inc. v. CommissionerUnited States Tax Court · 1984
- Brotman v. CommissionerUnited States Tax Court · 1995
16 more not listed; retrieve them via the Exa API.