Cranberry Improvement Co. v. Smith

GANEY, District Judge.

This action was brought to recover income tax for the year 1943 and excess profits tax for 1944 totaling $25,810.71 alleged to have been erroneously paid by the taxpayer, a corporation which was in the business of mining coal.

Our problem is to determine the correct amount of the net loss sustained by the taxpayer in the year 1945 and the resultant net operating loss and unused excess profits credits of that year available for carry-back under § 122 of the Internal Revenue Code, 26 U.S.C. (1926 Ed.) § 122, to the years 1943 and 1944 respectively. The answer to this…