Lumber City Corporation, f.k.a. Neiman-Reed Lumber and Supply Company, Inc. - Page 1

                                 T.C. Memo. 1996-171                                  


                               UNITED STATES TAX COURT                                


                     LUMBER CITY CORPORATION, f.k.a. NEIMAN-REED                      
                   LUMBER AND SUPPLY COMPANY, INC., Petitioner v.                     
                    COMMISSIONER OF INTERNAL REVENUE, Respondent                      


               Docket No. 16056-93.                   Filed April 10, 1996.           


               Michael T. Anderson, Robert M. Jason, Kevin O'Hara, and                
          Thomas A. Greco, for petitioner.                                            
               Donna F. Herbert and Mark A. Weiner, for respondent.                   


                       MEMORANDUM FINDINGS OF FACT AND OPINION                        
               CHIECHI, Judge:  Respondent determined the following                   
          deficiencies in, additions to, and accuracy-related penalties on            
          petitioner's Federal income tax:                                            








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