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BIEDENHARN REALTY COMPANY, INC. v. UNITED STATES

Civ. A. Nos. 16798-16800.

356 F.Supp. 1331 (1973)

BIEDENHARN REALTY COMPANY, INC. v. UNITED STATES of America.

United States District Court, W. D. Louisiana, Monroe Division.

March 20, 1973.

Attorney(s) appearing for the Case

Paul K. Kirkpatrick, Jr., Hudson, Potts & Bernstein, Monroe, La., for plaintiff.

Fleming deGraffenreid, Atty., Gen. Tax Div., Dept. of Justice, Dallas, Tex., Donald E. Walter, U. S. Atty., and Dosite H. Perkins, Jr., Asst. U. S. Atty., Shreveport, La., for the Government.

DAWKINS, Chief Judge.

OPINION

This controversy brings before us the "old, familiar, recurring, vexing and oft-times elusive" problem of whether to treat profit arising out of sales of subdivided real estate as capital gains or ordinary income.

In United States v. Winthrop, 417 F.2d 905 (5th Cir., 1969), the Fifth Circuit chose the ad hoc approach is reaching a...

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