Rev. Rul. 60-375

The Internal Revenue Service will proceed to institute suits under the provisions of section 7405 of the Internal Revenue Code of 1954 to recover refunds from taxpayers mining calcium carbonates or other minerals used by them in making cement where the following three conditions exist:

(1) Refunds based upon percentage depletion deductions have been made to such taxpayers by the Service;

(2) The bases of such refunds are inconsistent with the principles enunciated in the recent decision of the Supreme Court of the United States in United States v. Cannelton Sewer Pipe Co. , 364 U.S. 76 (1960), Ct. D. 1819, page 452, this Bulletin; and

(3) Such taxpayers did not make an election under section 4 of Public Law 86-781, page 726, this Bulletin.

Revenue Ruling 60-320, page 198, this Bulletin, supplemented.

¹ Based on Technical Information Release 267, dated November 9, 1960.