BEAL FOUNDATION v. UNITED STATES

No. 76-1277.

559 F.2d 359 (1977)

The BEAL FOUNDATION, Plaintiff-Appellant, v. UNITED STATES of America, Defendant-Appellee.

United States Court of Appeals, Fifth Circuit.

Rehearing Denied October 21, 1977.


Attorney(s) appearing for the Case

W. B. Browder, Jr., Rodney W. Satterwhite, Robert J. Cowan, Hal L. Kempf, Midland, Tex., for plaintiff-appellant.

John E. Clark, U. S. Atty., San Antonio, Tex., Scott P. Crampton, Asst. Atty. Gen., Tax Div., U. S. Dept. of Justice, Gilbert E. Andrews, Acting Chief, Appellate Section, Jonathan S. Cohen, George G. Wolf, Attys., Tax Div., U. S. Dept. of Justice, Washington, D. C., for defendant-appellee.

Before BROWN, Chief Judge, and COLEMAN and MORGAN, Circuit Judges.


LEWIS R. MORGAN, Circuit Judge:

The question for decision in this case is whether the district court erred in granting the government's motion for summary judgment in taxpayer's suit for tax refund. The facts are not disputed. The legal issue presented, however, is the validity of an IRS regulation requiring that a cost basis be used in determining the depletion deduction allowed a charitable organization for computation of net investment income. Because the regulation...

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