R. H. MacY & Co., Inc., L. Bamberger & Co., Davison-Paxon Co., and the La Salle & Koch Company v. United States’s Empirical Analysis
255 F.2d 884 · 1958
Citation profile
21 federal appellate · 1 district · 1 state decisions
Relationships
Relies on Automobile Club of Mich. v. Commissioner · Vernaci v. Louisiana · Hutzler Bros. Co. v. Commissioner · Kaufmann & Baer Company v. United States
Most-quoted passages
The sentences later courts lift from this opinion, ranked by how many decisions quote each — the parts of the opinion doing the work. These counts are smaller than the citation total above because most of the 32 citing decisions cite the case generally; a passage count includes only decisions quoting that exact language verbatim.
““Under any method of inventory, Costing’ the closing inventory is a necessary step in the calculation of taxable income. FIFO and LIFO are alternative accounting methods for arriving at this cost. LIFO assumes that the last articles purchased during the year were the first ones sold, so that articles left in the inventory at the end of the year were the first ones purchased. FIFO (first-in, first-out) assumes the converse, that the earliest article purchased was the first one sold, so that articles left in the inventory at the end of the year were the last ones purchased. Obviously neither FIFO nor LIFO corresponds with actual fact, although the FIFO assumption seems more logical in the normal course of business operations. In a period of stable prices the application of either theory renders the same result. But during an inflationary period, LIFO is distinctly advantageous to the taxpayer, for, in effect, he is not required to include as profit increases in value of inventory. This illustrates the real purpose of the methods — to reflect accurately what normally is considered as profit during inflationary and deflationary periods in the economy.””
2 later decisions quote this exact passage · from the majority““It is no excuse that this failure (to file the election) occurred because the Commissioner opposed Macy’s exercise of its statutory right or a succeeding Commissioner erroneously considered the excuse valid. Not thus is the United States of America to be estopped in the collection of its revenue. Automobile Club of Michigan v. C. I. R., 353 U.S. 180, 183-184 , 77 S.Ct. 707 , 1 L.Ed.2d 746”.”
1 later decision quote this exact passage · from the majority“Ultimately Macy's argument is that it failed to file a timely election because the Commissioner maintained the position that LIFO was not available to users of the `retail method.' Although this argument evokes a certain sympathy it is unavailing as an excuse for Macy's delinquency.”
1 later decision quote this exact passage · from the majority
How this case has been treated — in progress
Whether each later court followed, distinguished, criticized, or overruled this decision. The treatment classification (task #35) runs highest-cited cases first and lights up here as it reaches this one.