Slaymaker Lock Co. v. Commissioner
United States Tax Court
1. Petitioner, accounting on the accrual basis, executed and delivered to an exempt pension trust its demand negotiable promissory note on the last day of its taxable year. It thereafter made a partial payment and substituted its demand negotiable promissory note for the balance due on the original note, within 60 days after the close of its taxable year, but did not discharge either note by actual payment within that period.
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1. Petitioner, accounting on the accrual basis, executed and delivered to an exempt pension trust its demand negotiable promissory note on the last day of its taxable year. It thereafter made a partial payment and substituted its demand negotiable promissory note for the balance due on the original note, within 60 days after the close of its taxable year, but did not discharge either note by actual payment within that period. Held, delivery of such notes was not payment within 60 days after the close of the taxable year of the amount accrued in that year, as required by section 23 (p) (1) (E)…
1Opinion of the Court
OPINION.
Beuce, Judge:
The first question for decision is whether or not the delivery of petitioner’s demand negotiable promissory note to the trustee of its employees’ pension fund, in and of itself, constituted a deductible payment under section 23 (p) of the Internal Revenue Code. There is no question but that the payment of $10,500 made by petitioner to the trustee on January 5,1944, on account of said note, coming within the 60-day period allowed by section 23 (p) (1) (E), was deductible, and the Commissioner so held.
Deductions are granted to taxpayers by the legislative grace of Congress,…
2Cases cited10 opinions
- Welch v. HelveringSupreme Court of the United States · 1933
- Deputy, Administratrix v. Du PontSupreme Court of the United States · 1940
- Utah Power & Light Co. v. United StatesSupreme Court of the United States · 1917
- Spiegel v. CommissionerUnited States Tax Court · 1949
- PG Lake, Inc. v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1945
5 more not listed; retrieve them via the Exa API.
3Cited by21 opinions
- Don E. Williams Co. v. CommissionerSupreme Court of the United States · 1977
- Sachs v. Commissioner of Internal Revenue. Slaymaker Lock Co. v. Commissioner of Internal RevenueCourt of Appeals for the Third Circuit · 1953
- Hunter v. CommissionerUnited States Tax Court · 1966
- Woolrich Woolen Mills v. United StatesCourt of Appeals for the Third Circuit · 1961
- Don E. Williams Co. v. CommissionerUnited States Tax Court · 1974
16 more not listed; retrieve them via the Exa API.