Hazlett v. Commissioner
United States Board of Tax Appeals
1. The bonus in addition to reserved royalties received by the petitioner in payment for a certain oil lease was not a return of capital.
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1. The bonus in addition to reserved royalties received by the petitioner in payment for a certain oil lease was not a return of capital. Appeal of Nelson Land & Oil Co.,3 B.T.A. 315. 2. The bonus received as set forth above is income and is not taxable under the provisions of section 206 of the Revenue Act of 1921. Henry L. Berg v. Commissioner,6 B.T.A. 1287. 3. The evidence does not sustain discovery value of the lease here involved in addition to such value already determined by the respondent.
1Opinion of the Court
*337OPINION.
Lansdon:
The petitioner’s contention that the amount of $250,000 received as set forth in our findings of fact was a return of capital requires no discussion. We have already decided that in such circumstances amounts so received are advance payments of rental or royalty. The principles upon which we based this conclusion are fully stated and the supporting law is copiously cited in our prior decision. Appeal of Nelson Land & Oil Co., 3 B. T. A. 315. The second contention of the petitioner must likewise be decided adversely to him on the authority of Henry L. Berg v. Commissioner, 6 B.…
2Cited by4 opinions
- Ferguson v. CommissionerUnited States Board of Tax Appeals · 1930
- Hazlett v. CommissionerUnited States Board of Tax Appeals · 1928
- Murphy Oil Co. v. CommissionerUnited States Board of Tax Appeals · 1929
- Turbeville v. CommissionerUnited States Board of Tax Appeals · 1934