Parsons v. SmithAnnotate this Case
359 U.S. 215 (1959)
U.S. Supreme Court
Parsons v. Smith, 359 U.S. 215 (1959)
Parsons v. Smith
Argued March 4, 1959
Decided April 6, 1959
359 U.S. 215
Under contracts with the owners of coal-bearing lands, which were terminable by the owners on short notice without cause, petitioners strip-mined coal for the owners and received for their services a fixed price per ton of coal extracted and delivered. Petitioners were not entitled to keep or sell any of the coal, but were required to deliver all they mined to the owners.
Held: Petitioners were not entitled to percentage depletion deductions under §§ 23(m) and 114(b)(4) of the Internal Revenue Code of 1939 on the amounts received by them for their strip-mining operations, since they had no capital investment or economic interest in the coal in place. Pp. 359 U. S. 216-226.
255 F.2d 595, 599, affirmed.
Official Supreme Court case law is only found in the print version of the United States Reports. Justia case law is provided for general informational purposes only, and may not reflect current legal developments, verdicts or settlements. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or information linked to from this site. Please check official sources.