North Am. Oil Consol. v. Commissioner
United States Board of Tax Appeals
1. Assessment and collection of taxes for 1917 held not barred by statute of limitations. 2. Deduction claimed for an amount paid the Oil Industry Association disallowed for lack of evidence. 3. Cost of replacing derricks damaged by fire held not deductible as expense. 4. Portion of proceeds of oil paid attorneys for legal services in defending title to property and securing land patents, held to be capital expenditures.
Read the full summary
1. Assessment and collection of taxes for 1917 held not barred by statute of limitations. 2. Deduction claimed for an amount paid the Oil Industry Association disallowed for lack of evidence. 3. Cost of replacing derricks damaged by fire held not deductible as expense. 4. Portion of proceeds of oil paid attorneys for legal services in defending title to property and securing land patents, held to be capital expenditures. Further held that depletion is allowable in each year in amounts equal to the sums paid to the attorneys. 5. Respondent sustained in disallowing deductions claimed on account…
1Opinion of the Court
*88OPINION.
ARundell:
By amendment to its petition in Docket No. 8714 the petitioner claims that collection of any.taxes for the year 1917 is barred by the statute of limitations. By the terms of Commissioner’s Mimeograph 3085, promulgated April 11, 1923, the “ waiver ” of January 19, 1923, expired on April 1, 1924. Before the expiration date of the first “waiver” a second one was executed on January 2, 1924, and filed January 10 of the same year. A third was executed on January 12, 1924, and filed on January 17, 1924, which was identical with the January 2nd “waiver” except that the year 1918 was…
2Cases cited2 opinions
- Graciosa Oil Co. v. County of Santa BarbaraCalifornia Supreme Court · 1909
- United States v. Chicago & E. I. Ry. Co.District Court, N.D. Illinois · 1924
3Cited by1 opinion
- North Am. Oil Consol. v. CommissionerUnited States Board of Tax Appeals · 1928