Hedrick v. Commissioner

*450OPINION.

Matthews :(1) With respect to the first issue and the correctness of the respondent’s application of the rule, “ first in first out,” there is no dispute as to the sale price of the various lots of American Tobacco Company stock. The deficiency in tax results from the respondent’s determination, in application of this rule, of gain enuring to the petitioner. The petitioner contends, on the other hand, that his gain is measurably less, since it represents the difference in each instance between the sale price of a lot and the purchase price of the next preceding lot bought.

The rule…