- 48 -
Commissioner, supra at 500; Banc One Corp. v. Commissioner, supra
at 499 (citing Burnet v. Niagara Falls Brewing Co., 282 U.S. 648,
655 (1931), Super Food Servs., Inc. v. United States, 416 F.2d
1236 (7th Cir. 1969), and Spartanburg Terminal Co. v.
Commissioner, 66 T.C. 916 (1976)). The taxpayer must base the
useful life estimation upon facts that existed at the valuation
date. Citizens & S. Corp. & Subs. v. Commissioner, supra at 500;
Banc One Corp. v. Commissioner, supra at 499. Taxpayers may use
evidence of their subsequent experiences to corroborate their
projections. Citizens & S. Corp. & Subs. v. Commissioner, supra
at 500.
Petitioner argues that on January 1, 1985, the reasonably
estimated remaining useful lives of the 30 favorable financing
intangible assets equaled the average weighted lives. Petitioner
relies on the expert opinion and testimony of Mr. Howard A.
Scribner. Mr. Scribner received a B.S.C. in accounting from
Rider University and an M.B.A. in finance from Rutgers Graduate
School of Management. He is also a licensed certified public
accountant (C.P.A.) and an accredited business valuation
specialist in the American Society of C.P.A.s. He is a partner
in the Economic and Valuation Services practice of KPMG LLP. Mr.
Scribner has more than 20 years of valuation experience involving
intangible assets, debt, common and preferred stock, partnership
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