L.W. Hardy Co. v. United States

OPINION

SCHWARTZ, Judge:

Plaintiff, L.W. Hardy Co., Inc., an Arizona corporation, sues for a refund of income taxes paid for 1971 through 1974. A stipulation of the parties has dealt with various issues of basis of equipment sold, depreciation of equipment and other miscellaneous deductions, alleged improper diversion and understatement of corporate income, and fraud penalties. The only issue not so resolved is plaintiff’s entitlement to a depletion deduction, which would warrant refunds for 1972,1973 and 1974, in the respective amounts of $17,436, $57,616, and $312,-540, for the turquoise…