Wallace

This is an appeal from a decision of the Board of Tax Appeals. The taxpayer suffered a loss in the year 1923 by reason of the worthlessness of certain shares of capital stock in the American Fuel Oil & Transportation Company.

The question presented by the record is whether o.r not such loss was a “net loss ’resulting from the operation of any trade or business regularly carried on by the taxpayer” within the meaning of section 204 (a), of the Revenue Act of 1921 ( 42 Stat. 231 ), and under Treasury Regulations 62. art. 1601, promulgated by the Treasury Department under the Revenue Act of 1921 and under section 206 (a) of the Revenue Acts of 1924 and 1926 (26 USCA § 937 (a) and note), to the same effect. The facts are stated at length in the opinion of the Board of Tax Appeals from which this appeal is taken, *827 28 B. T. A. 858, to which we refer for further particulars.

It appears from such finding's that from about the year 1900 “the petitioner has been engaged in the buying and selling of real estate, including oil properties. About 1909 or 1910 he organized nine or ten small oil companies. His usual practice was to purchase property, organize the corporation and transfer…