Edward & John Burke, Ltd. v. Commissioner
United States Tax Court
Taxpayer purchased property in 1929, which it abandoned in the fiscal year ended October 31, 1940. The property was sold for unpaid taxes for 1934 on December 28, 1935, and under the New York Tax Law taxpayer's right of redemption would have expired on December 27, 1936, unless the taxpayer came within the provisions of certain sections of the law as to occupancy, in which event the period of petitioner's right of redemption would have been extended beyond November 30, 1937,…
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Taxpayer purchased property in 1929, which it abandoned in the fiscal year ended October 31, 1940. The property was sold for unpaid taxes for 1934 on December 28, 1935, and under the New York Tax Law taxpayer's right of redemption would have expired on December 27, 1936, unless the taxpayer came within the provisions of certain sections of the law as to occupancy, in which event the period of petitioner's right of redemption would have been extended beyond November 30, 1937, when it paid the 1934 taxes. Taxpayer, acting in good faith, and claiming that there was occupancy, actively contested…
1Opinion of the Court
OPINION.
Disney, Judge-.
Petitioner contends that it sustained a deductible loss of $5,000 during the fiscal year ended October 31, 1940, when it abandoned a piece of real estate which it had purchased in 1929 and which had been sold for 1934 unpaid taxes on December 28. 1935. The applicable section of the Internal Revenue Code is set forth in the margin.2 Respondent contends that petitioner sustained its loss m the fiscal year ended October 31, 1937, the one-year period of redemption provided for by section 152 of the Tax Law of the State of New York 3 having expired on December 27, 1936.
An…
2Cases cited4 opinions
- Rhodes v. CommissionerCourt of Appeals for the Sixth Circuit · 1939
- Lee v. FaroneAppellate Division of the Supreme Court of the State of New York · 1941
- Lee v. FaroneNew York Court of Appeals · 1942
- Sheldon v. RussellNew York Supreme Court · 1915
3Cited by5 opinions
- Foundation Co. v. CommissionerUnited States Tax Court · 1950
- Edward & John Burke, Ltd. v. CommissionerUnited States Tax Court · 1944
- Foundation Co. v. CommissionerUnited States Tax Court · 1950
- Kirkpatrick v. CommissionerUnited States Tax Court · 1944
- Schwartz v. CommissionerUnited States Tax Court · 1949