Lehigh Portland Cement Company v. United States

HASTIE, Circuit Judge.

In the district court the taxpayer, Le-high Portland Cement Co., obtained a judgment for the refund of income and excess profits taxes which it had paid pursuant to allegedly erroneous assessments for the taxable years 1951, 1952 and 1953. The United States has appealed.

The taxpayer manufactures cement, using as a principal ingredient limestone from its own quarries. Under section 23 (m) of the 1939 Internal Revenue Code, as applicable to the taxable years, it was entitled to a percentage deduction from gross income for depletion of these limestone deposits. The sole…