Collins v. Commissioner
United States Tax Court
Prior to 1938 petitioner claimed and was allowed depreciation on certain properties on the basis of assessed valuations, which were less than cost. The properties were sold during the taxable years. Held, that respondent properly adjusted the original costs for depreciation allowed or allowable on the basis of original cost, even though the maximum amount of depreciation was not claimed or allowed for all years prior to sale.
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Prior to 1938 petitioner claimed and was allowed depreciation on certain properties on the basis of assessed valuations, which were less than cost. The properties were sold during the taxable years. Held, that respondent properly adjusted the original costs for depreciation allowed or allowable on the basis of original cost, even though the maximum amount of depreciation was not claimed or allowed for all years prior to sale. Held, further, that a deduction for depreciation in a taxable year may not exceed the adjusted basis of the property at the beginning of the year.
1Opinion of the Court
OPINION.
Johnson, Judge:
The only question under the issue relating to depreciation on the property located at No. 8 Beacon Street is whether respondent allowed petitioner a deduction based upon full ownership of the property after June 22, 1945. ■ The proof here is that the respondent in computing petitioner’s rental income on the property increased the deduction of $64.39 taken by petitioner in 1945, based upon; one-half ownership, to $96.58 on account of full ownership of the property after June 22, and allowed the full amount of $128.78 in 1946, based.upon sole ownership during the entire…
2Cases cited9 opinions
- United States v. LudeySupreme Court of the United States · 1927
- Helvering v. SalvageSupreme Court of the United States · 1936
- Virginian Hotel Corporation v. Helvering, Commissioner of Internal RevenueSupreme Court of the United States · 1943
- Commissioner of Int. Rev. v. Cleveland Adolph MR Corp.Court of Appeals for the Sixth Circuit · 1947
- Herder v. HelveringCourt of Appeals for the D.C. Circuit · 1939
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3Cited by9 opinions
- Carnegie Center Co. v. CommissionerUnited States Tax Court · 1954
- Hardin v. CommissionerUnited States Tax Court · 1973
- Hodgkins v. CommissionerUnited States Tax Court · 1996
- Salley v. CommissionerUnited States Tax Court · 1962
- Astone v. CommissionerUnited States Tax Court · 1983
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