Hersloff, Sigurd N. and Joseph J. Stern, trustees for the stockholders of United States Asphalt Refining Co. and the Interocean Oil Co., dissolved corps. Heyn, Harry. - - Leyman, Harry Stoll, estate of; Harry S. Leyman, Jr., executor, Lombard, Anna J., estate of Lombard, Laurence M., executor for estate of Anna J. Macnamara, Dorothy Tongue, transferee of assets of Macnamara, Gerard, estate of, transferee of assets of Macabe Co., Inc., Dorothy T. Macnamara, executrix. Mathis, Josie L.: 4785-62 2038-64 Mathis, Oscar L., estate of, Josie L. Mathis, administratrix.. Mathis, Oscar L., estate of, Josie L. Mathis, adminis Omaha National Bank, et al., coadministrators, estate of Bert L. Fuchs 1 Siegel, Sol. C., Productions, Inc., a California corporation... Simmers, Ralph W., estate of, Mary E. Simmers, execitrix, and Mary E. Simmers (surviving wife)". Simmers, Ralph W., & Son, Inc.11. Steinway & Sons..... K Union Trust Co. of Pittsburgh, the executor, estate of James M. Schoonmayer, Jr.1 10 United States Asphalt Refining Co. and the Inter ocean Oil Co., dissolved, Sigurd N. Hersloff, et al., trustees for the stockholders... 3540-65 3939-65 Vidgoff, Abe Frederick, transferee of assets of Macabe 4782-62 Vidgoff, Sally Louise, transferee of assets of Macabe Co., Inc.... 4783-62 Walker, Genevieve B.. 2018-64 Welsh Homes, Inc.. Wild, Ruth K.. 69035 1427-63 Security Trust Co., executor, estate of John G. Stoll 13. * Acquiescence in the issue relating to the offset of a tax deficiency for the year 1954 to the extent of an ged overpayment of taxpayer's 1954 income tax for which a refund was claimed in the tax return filed fur that year. Acquiescence in the issue presented by Commissioner's amended answer as to the deductibility of taxLayer's claimed aggregate losses in excess of $8,400. Acquiescence limited to the finding that the present value of an annuity promised to be paid by petiters should be adjusted to reflect payment in semiannual installments. Acquiescence in result only in issue No. 1. The Revenue Service accepts the result reached by the Tax because of the Court's finding that the actual market prices of flower bulbs imported were in ace of minimum prices fixed by Holland law, and the 6-percent handling charge was reasonable. the Rev. Rul. 67-189, page 255 this bulletin. *Acquiescence in result only in the issue relating to the determination that the petitioner was actively ed in a trade or business during 1958. Acquiescence "in result only" means acceptance of the decision the Court but disagreement with some or all of the reasons assigned for the decision. Acquiscence in the issue whether there was a valid assumption of the taxpayer's indebtedness by the corporation so that principal and interest payments made by the corporation did not constitute distributions in the nature of dividends. Estate tax decision. Acquiescence in result only in the issue whether the addition to tax for fraud, computed under the Internal Revenue Code of 1939 is 50 percent of the deficiency rather than 50 percent of the entire tax. Acquiescence "in result only" means acceptance of the decision of the Court but disagreement with some or all of the reasons assigned for the decision. 19 Nonacquiescence published in C.B. 1946-2, 7, is withdrawn and acquiescence in result only is substituted therefor. Acquiescence "in result only" means acceptance of the decision of the Court but disagreement with some or all of the reasons assigned for the decision. 11 Nonacquiescence published in C.B. 1955-2, 11, is withdrawn and acquiescence is substituted therefor. 12 Nonacquiescence in the issue relating to the taxation of gain realized upon the redemption, at full face value but prior to maturity, of debentures which had been issued to petitioners in 1953 at an original.issue discount. 13 Nonacquiescence in the issue whether the transfer of the assets of the taxpayer to a newly formed corporation in exchange for stock and the assumption of liabilities was a nontaxable exchange under section 112(b) (5) of the 1939 Code. PART 1 RULINGS AND DECISIONS UNDER THE INTERNAL REVENUE CODE OF 1954, EXCEPT THOSE PERTAINING TO ALCOHOL, TOBACCO, AND FIREARMS TAXES SUBTITLE A.-INCOME TAXES CHAPTER 1.-NORMAL TAXES AND SURTAXES SUBCHAPTER A.-DETERMINATION OF TAX LIABILITY PART IV.-CREDITS AGAINST TAX Subpart A.-Credits Allowable SECTION 39.-CERTAIN USES OF GASOLINE AND LUBRICATING OIL Treatment of amounts payable with respect to gasoline used on a farm for farming purposes which farmers may claim as a credit against their income tax for taxable years beginning after June 30, 1965. See Rev. Rul. 67-2, page 13. Credit for Federal excise tax paid on gasoline used after June 30, 1965, for certain nonhighway purposes, or on lubricating oil used after December 31, 1965, otherwise than in a highway motor vehicle. See Rev. Rul. 67-28, page 359. Subpart B.-Rules for Computing Credit for Investment in Certain Depreciable Property SECTION 48.-DEFINITIONS; SPECIAL RULES 26 CFR 1.48-1: Definition of section 38 property. Rev. Rul. 67-23 An outdoor lighting facility used to illuminate recreational, entertainment and amusement areas, and the related parking areas, is generally an inherently permanent structure and not, therefore, "tangible personal property" within the meaning of section 1.48-1 (e) of the Income Tax Regulations. Advice has been requested whether any or all parts of an outdoor lighting facility are "tangible personal property" within the meaning of section 1.48-1 (c) of the Income Tax Regulations. The facility consists of cement blocks, metal towers, lighting fixtures, transformers, and underground conduits. It was installed in such a manner as to make it easy to dismantle and remove. Parts of the facility were also attached to a building and to another structure because they were conveniently located. In general, the outdoor lighting facility is used to illuminate recreational, entertainment and amusement areas, and the related parking areas, Section 1.48-1(c) of the regulations provides, in part, that the term "tangible personal property" means any tangible property except land and improvements thereto, such as buildings or other inherently permanent structures including their structural components. It further provides that local law shall not be controlling for purposes of determining whether property is tangible or personal. The controlling factor in this case, for investment credit purposes, is not that the facility is annexed to the ground, or attached to a building or other structure in such a manner as to make its removal convenient but that the facility is an inherently permanent structure within the meaning of this section. Accordingly, the outdoor lighting facility, including its component parts, as described and used above, is an inherently permanent structure and not, therefore, "tangible personal property" within the meaning of section 1.48-1(c) of the regulations. Rev. Rul. 67-67 A floating dock, located in a yacht harbor, which primarily provides uncovered berthing facilities for rent to individual pleasure yacht and boatowners does not qualify as "section 38 property" for investment credit purposes. Advice has been requested whether taxpayer's floating dock qualifies as "section 38 property" for investment credit purposes. The dock, which is located in a yacht harbor, provides a walkway to the land and a number of uncovered berths, also referred to as slips. The berths are rented primarily to individual yacht and boatowners who are not in the transportation business. Prefabricated partitions are affixed to the walkway to form the berths, which have electrical and plumbing outlets. The entire floating dock is permanently anchored by guiding sliprings around fixed pilings which are driven into the harbor bottom. One of the primary advantages of this floating dock over a nonfloating dock is that it can rise and fall with the change in water level, so that a boat secured to the dock will always remain at the same level as the walkway. Section 48 of the Internal Revenue Code of 1954 provides, in part, that for property to qualify as "section 38 property" for investment credit purposes, it must be either (1) "tangible personal property," or (2) "other tangible property" (not including a building or its structural components) but only if such other property is used as an integral part of manufacturing, production, or extraction, or as an integral part of furnishing transportation, communications, electrical energy, gas, water, or sewage disposal services, or constitutes a research or storage facility used in connection with any of these activities. |