Rickey v. Commissioner
United States Tax Court
Held: 1. Petitioners may not report the gain realized from the sale of stock on the installment method of accounting since the payments received in the year of sale exceeded 30 percent of the selling price. Sec. 453(b)(2)(A)(ii). 2. Petitioners are not entitled to ordinary-loss treatment on the worthlessness of certain stock since the stock was not offered pursuant to a written plan within the intendment of sec. 1244.
1Opinion of the Court
OPINION
Issue 1. Use of Installment Method
The first issue before us is whether the payments received by petitioner in the year of sale (1962) for his stock in Studio Inn and Enterprises exceeded 30 percent of the stocks’ selling price. If we find that they did, petitioner is precluded from reporting the gain realized from the sale of his Studio Inn and Enterprises stock on the installment method.2
In arriving at our determination of this issue, we must first determine whether the payment of $193,541.48 due petitioner on January 2, 1963, was actually received in 1962 (the year of sale). If we…
2Cases cited11 opinions
- Commissioner v. Court Holding Co.Supreme Court of the United States · 1945
- Morgan v. CommissionerUnited States Tax Court · 1966
- Estate of Finder v. CommissionerUnited States Tax Court · 1961
- Pierre Godart and Suzanne Godart v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1970
- Godart v. CommissionerUnited States Tax Court · 1969
6 more not listed; retrieve them via the Exa API.
3Cited by15 opinions
- Malinowski v. CommissionerUnited States Tax Court · 1979
- John H. Rickey and Lorraine C. Rickey v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1974
- Coloman v. CommissionerUnited States Tax Court · 1974
- A. Ross Winans Grantor Trust v. CommissionerUnited States Tax Court · 1989
- Big "D" Development Corp. v. CommissionerUnited States Tax Court · 1971
10 more not listed; retrieve them via the Exa API.