United States Board of Tax Appeals, 1927

Los Angeles Towel Service Co. v. Commissioner

United States Board of Tax Appeals · Decided December 19, 1927 · Fossan, Marquette, Phillips

9 B.T.A. 665

Cases that cite this one

1 later published case cites this decision.

Los Angeles Towel Serv. Co. v. Commissioner (United States Board of Tax Appeals 1927)

This list shows which later cases cite this one. It does not say how they treated it, and no review of that has been done. Not a substitute for Shepard’s or KeyCite — verify before relying.

Opinion of the Court

Van Fossan:

Petitioner, a California corporation, appealed from determinations by the Commissioner of deficiencies of $1,163.76 for 1920, $440.32 for 1921, and $146.65 for 1922. The sole issue is the proper rate of depreciation on towel cabinets owned by petitioner.

FINDINGS OF FACT.

Petitioner manufactures and rents to customers various types of towel cabinets and supplies them with towels. Due to dampness, *666hard usage, and other causes it is necessary frequently to make repairs of the cabinets, revarnish them, resilver the mirrors, and replace the glass knobs. Styles change frequently, rendering cabinets obsolete. The average useful life of a cabinet is not to exceed five years, and 20 per cent is a reasonable rate for depreciation, including obsolescence.

Judgment mil be entered on 15 days’ notice, vmder Bute 50.

Considered by Marquette and Phillips.

Case-law data current through December 31, 2025. Source: CourtListener bulk data.