Pine Hall-Pomona Corporation v. United States

Depletion allowances claimed by Pine Hall-Pomona Corporation in computing its taxable income from mining operations were rejected by the Commissioner of Internal Revenue, and thereupon Pine Hal] sued in the District Court for refund of taxes paid but not due if the depletion claims were valid. From a judgment for the taxpayer, the Government appeals. We affirm.

The tax years are 1950 to 1956, inclusive, excepting 1952. Pine Hall is a North Carolina miner of brick and tile clay which is used at its nearby plants for the manufacture of burnt brick and tile clay products. The output is marketed…