Weir Long Leaf Lumber Co. v. Commissioner
United States Tax Court
1. Respondent's determination for 1942, eliminating depreciation deduction relating to mill equipment by reflecting adjustment in figure for salvage value of the assets, held not shown to have been erroneous. 2. On issue submitted, held depreciation deduction on automobile can not be disallowed merely by reason of the appreciated price received for asset. 3. A corporation which was in liquidation during 1943 and 1944 is not entitled during those years to the benefit of the…
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1. Respondent's determination for 1942, eliminating depreciation deduction relating to mill equipment by reflecting adjustment in figure for salvage value of the assets, held not shown to have been erroneous. 2. On issue submitted, held depreciation deduction on automobile can not be disallowed merely by reason of the appreciated price received for asset. 3. A corporation which was in liquidation during 1943 and 1944 is not entitled during those years to the benefit of the unused excess profits credit carry-back provisions of section 710 (c) (3) (A), I. R. C.Acampo Winery & Distilleries,…
1Opinion of the Court
OPINION.
Harlan, Judge:
Prior to the change in the 1942 Act1 with reference to the treatment of capital gains by corporations, it made no difference to a corporation whether the current depreciation up to the date of the sale or other disposition of an asset was allowed or disallowed. If allowed, it reduced the basis and if disallowed the basis would be increased. The profit in either event would be the same and taxable as ordinary income. The 1942 Act provides for two classes of income for corporations, ordinary income and capital gain. Because of the lower rate of tax on capital gains the…
2Cases cited7 opinions
- United States v. American Trucking AssociationsSupreme Court of the United States · 1940
- Church of the Holy Trinity v. United StatesSupreme Court of the United States · 1892
- Takao Ozawa v. United StatesSupreme Court of the United States · 1922
- Virginian Hotel Corporation v. Helvering, Commissioner of Internal RevenueSupreme Court of the United States · 1943
- Acampo Winery & Distilleries, Inc. v. CommissionerUnited States Tax Court · 1946
2 more not listed; retrieve them via the Exa API.
3Cited by66 opinions
- Massey Motors, Inc. v. United StatesSupreme Court of the United States · 1960
- Fribourg Navigation Co. v. CommissionerSupreme Court of the United States · 1966
- Bertrand W. Cohn v. United States of America, William R. Kent v. United States of America, Louise C. Kent v. United StatesCourt of Appeals for the Sixth Circuit · 1958
- Wier Long Leaf Lumber Co. v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1949
- Blackstone Theatre Co. v. CommissionerUnited States Tax Court · 1949
61 more not listed; retrieve them via the Exa API.