Commissioner of Internal Revenue v. John Wrather and Nell Wrather, Husband and Wife

HUTCHESON, Chief Judge.

This appeal from an unreported decision of the Tax Court on stipulated facts, 1 and findings by the Tax Court in favor of respondents, presents the single question whether the Tax Court erred in holding- that taxpayer John Wrather’s share of the proceeds received from the sale by a partnership, of which he was a member, of oil payments carved out of leasehold estates owned and operated by it was long term capital gain under Sec. 117, 26 U.S.C.A. § 117, rather than ordinary income subject to depletion.

Here the commissioner advances the same contentions and arguments…