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authority. Rev. Proc. 87-56 reflects respondent’s class-life
determinations.
Rather than providing guidance to taxpayers, Rev. Proc. 87-
56 has produced considerable confusion and uncertainty. In Duke
Energy Natural Gas Corp. v. Commissioner, supra, this Court and
the Court of Appeals for the Tenth Circuit, considered the
question before the Court today, and arrived at contrary results.
The majority opinion now offers another rationale for its result.
Rev. Proc. 87-56 only requires that assets be “used” by
natural gas producers to qualify under section 13.2. In the
instant litigation, respondent asserts that assets must be both
“used” and “owned” by natural gas producers. Revenue procedures
are promulgated to provide clear and precise guidance
to taxpayers, and I would hold respondent to the plain language
of that published guidance.1 To require taxpayers to consult a
team of tax attorneys to decipher that guidance frustrates the
very purpose for which it was issued.
SWIFT, BEGHE, FOLEY, VASQUEZ, and MARVEL, JJ., agree with
this dissenting opinion.
1I note that we have held that the Commissioner may not
choose to litigate against an official position the Commissioner
has published without first revising or revoking that position.
Rauenhorst v. Commissioner, 119 T.C. ___ (Oct. 7, 2002); Coastal
Petroleum Refiners, Inc. v. Commissioner, 94 T.C. 685 (1990); see
Phillips v. Commissioner, 88 T.C. 529 (1987), affd. in part and
revd. in part 851 F.2d 1492 (D.C. Cir. 1988); see also Slechter
v. Commissioner, T.C. Memo. 1987-528.
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