S/V Drilling Partners, Snyder Armclar Gas Company, Tax Matters Partners - Page 18




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               In sum, the majority’s holding is contrary to section 29(a)            
          and (b)(2), not supported by case law,3 and premised on a                   
          mischaracterization of respondent’s position.  We “are not at               
          liberty * * * to add to or alter the words employed to effect a             
          purpose which does not appear on the face of the statute.”                  
          Hanover Bank v. Commissioner, 369 U.S. 672, 687 (1962).                     
          Petitioner is entitled to a total credit of $148,011 (i.e., $3 x            
          49,337 BOE) rather than the $143,964 allowed by the majority.               















               3  As support for the holding, the majority cites United               
          States v. Skelly Oil Co., 394 U.S. 678 (1969), Charles Ilfeld Co.           
          v. Hernandez, 292 U.S. 62 (1934), and United Telecomms., Inc. v.            
          Commissioner, 589 F.2d 1383 (10th Cir. 1978).  These cases,                 
          however, are distinguishable because the applicable statutes or             
          regulations prohibited double deductions or credits.  See United            
          States v. Skelly Oil Co., supra at 682-683 (reasoning that the              
          applicable sections of the Code and the case law developed under            
          those sections prohibited double deductions); Charles Ilfeld Co.            
          v. Hernandez, supra at 67 (concluding that the regulations                  
          prohibited double deductions); United Telecomms., Inc. v.                   
          Commissioner, supra at 1387-1388 (concluding that the applicable            
          legislative regulations prohibited double credits); cf. Transco             
          Exploration Co. v. Commissioner, 95 T.C. 373, 387 (1990) (holding           
          that, based on plain language of the statute, the taxpayer was              
          entitled to a double benefit), affd. 949 F.2d 837 (5th Cir.                 
          1992).                                                                      



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