Midler Court Realty, Inc. v. Commissioner
United States Tax Court
The petitioners purchased certain buildings in an industrial park subject to existing leases. In some cases, these leases provided for substantially higher rentals for an initial term and the right to renew at substantially lower rentals thereafter. Petitioners computed depreciation on the buildings by using the "declining balance" method and a useful life of 15 years from the date of acquisition.
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The petitioners purchased certain buildings in an industrial park subject to existing leases. In some cases, these leases provided for substantially higher rentals for an initial term and the right to renew at substantially lower rentals thereafter. Petitioners computed depreciation on the buildings by using the "declining balance" method and a useful life of 15 years from the date of acquisition. The respondent determined that the buildings had a useful life of 40 years from such date. Petitioners countered by claiming that a part of the cost should be allocated to the excess rentals to be…
1Opinion of the Court
Quealy, Judge:
The respondent determined deficiencies in the corporate income taxes due from petitioner and its subsidiaries, as follows:
Amount Socket No. Year
$186, 427. 88 270, 795. 86 289, 878. 50 277, 890. 40 310, 587. 04 234, 139. 00 99, 813. 00 f 1962 1989-68_j 1963 11964 /1965 -j1966 /1967 -j1068 3023-68-5751-71.
The deficiency for the taxable year 1967 is an increased deficiency over the amount of $228,649 asserted in the statutory notice, claimed by the respondent in an amended answer with respect to which petitioner has stipulated to the facts pleaded therein.
As a result of concessions…
2Cases cited11 opinions
- Commissioner of Internal Revenue v. Moore. Moore v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1953
- Moore v. CommissionerUnited States Tax Court · 1950
- Atlanta Biltmore Hotel Corporation and Bennie T. Hanson v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1965
- Peters v. CommissionerUnited States Tax Court · 1945
- Friend v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 1941
6 more not listed; retrieve them via the Exa API.
3Cited by8 opinions
- Fieland v. CommissionerUnited States Tax Court · 1980
- Midler Court Realty, Inc. v. Commissioner of Internal RevenueCourt of Appeals for the Third Circuit · 1975
- Continental Bank v. United StatesDistrict Court, E.D. Pennsylvania · 1981
- Fieland v. CommissionerUnited States Tax Court · 1980
- Metro Auto Auction, Inc. v. CommissionerUnited States Tax Court · 1984
3 more not listed; retrieve them via the Exa API.