Reich, Arthur E. and Carolyn C. Reich vs Commission of Internal Revenue, U. S. Tax Court, July 31, 1969. [Depletion allowances for intangible costs of drilling and developing geothermal steam wells]
The petitioners participated in ventures to drill for and exploit geothermal steam. One of these ventures was successful and the resulting wells produced sufficient steam to supply electrical generating plants. One of the petitioners claimed percentage depletion against the gross income it received from steam production in the successful venture. All the petitioners expensed the intangible costs of drilling and developing geothermal steam wells. Held, the petitioner which participated in the successful venture, is entitled to deduct percentage depletion at the rate of 27/sup 1///sub 2/ percent against gross income it received from steam production. Held, further, all petitioners are entitled to expense the intangible costs of drilling and developing geothermal steam wells.
- OSTI ID:
- 5198531
- Journal Information:
- Tax Court Rep.; (United States), Journal Name: Tax Court Rep.; (United States) Vol. 52
- Country of Publication:
- United States
- Language:
- English
Similar Records
Reich, A. E. et al. vs Commissioner of Internal Revenue and G. D. Rowan et al. vs Commissioner of Internal Revenue. U. S. Court of Appeals, Ninth Circuit. January 21, 1972. [Judicial interpretation of IRS tax regulations relative to depletion allowance for geothermal well drilling and development; 26 CFR 1. 263(c), 1. 611(a), and 1. 613(b)]
Arthur Young's oil and gas guide
Related Subjects
150400* -- Geothermal Energy-- Legislation & Regulations
150500 -- Geothermal Energy-- Economics
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
293000 -- Energy Planning & Policy-- Policy
Legislation
& Regulation
299002 -- Energy Planning & Policy-- Geothermal-- (-1989)
CASE LAW
DEPLETION ALLOWANCES
DRILLING
ENERGY
ENERGY SOURCES
EXPLORATION
FINANCIAL INCENTIVES
FINANCING
GEOTHERMAL ENERGY
GEOTHERMAL EXPLORATION
GEOTHERMAL RESOURCES
GEOTHERMAL WELLS
LAWS
LEGAL ASPECTS
RENEWABLE ENERGY SOURCES
RESOURCES
TAXES
WELL DRILLING
WELLS