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with advertisers. Id. Examples of such situations included the
leased land’s owner’s refusing to renew the lease, a change in
the location of the road, or some other event that would make the
sign’s position undesirable. Id.
Scott Paper Co. v. Commissioner, 74 T.C. at 172, in which we
held that primary electric components were not inherently
permanent structures, provides another example of circumstances
which tend to show that property may or will have to be moved.
In Scott Paper Co., this Court acknowledged that changes in power
demands could arise that would require the taxpayer to move the
primary electric components and modify them to accommodate those
new demands. Id. at 171. Indeed, when such changes in demand
had occurred in the past, the taxpayer had relocated components
within the facility. Id. at 144-145, 171.
Although some of CITGO’s tanks have been in existence for
more than 60 years, and, for the most part, the tanks were not
situated on leased land,19 we do not think that petitioner could
realistically expect the tanks to remain permanently in place.
After considering all of the evidence, we agree with petitioner
that, when dealing with refined products, it is reasonably likely
19Whether the taxpayer owned or leased the land on which the
property was located is not determinative for purposes of this
factor. In Scott Paper Co. v. Commissioner, 74 T.C. 137, 144
(1980), we held that a part of the electrical distribution system
of a pulp and paper making plant was not an inherently permanent
structure, without even addressing whether the taxpayer owned the
land on which the plant was located.
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