Opinion
33234-21
01-08-2024
SANDHILL LAND COMPANY, Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER
Christian N. Weiler Judge
On January 3, 2024, petitioner filed a Motion for Summary Judgment, a Memorandum, and an Affidavit of Kevin M. Flynn in support thereof. The motion seeks summary adjudication in petitioner's favor because it maintains that it is entitled to amortization deductions with respect to "base acres" assigned to farmland that it owned pursuant to Internal Revenue Code ("I.R.C." or the "Code") § 197,1 in the amounts of $175,672 and $171,672 for taxable years 2015 and 2017, respectively. Petitioner further maintains that respondent improperly denied petitioner's amortization deductions for base acres based on respondent's erroneous determination that petitioner's decision to begin amortizing base acres in 2009 was a "change in method of accounting" requiring prior consent from respondent under I.R.C. § 446(e). Petitioner also asserts that respondent wrongfully increased petitioner's income by $932,489 in 2015, under I.R.C. § 481(a), resulting from an accumulated amortization deduction disallowance for base acres for taxable years 2009 through 2014.
To resolve Petitioner's Motion for Summary Judgment, it is
ORDERED that on or before February 5, 2024, respondent shall file a response to the above-referenced motion.