Banfield v. Commissioner
United States Board of Tax Appeals
1. The petitioner and another entered into a partnership agreement in 1929 under which they were to purchase certain wheat lands, leases, equipment, and growing crops in Umatilla County, Oregon. Petitioner made an initial advance to the partnership of $100,000 on which, under the partnership agreement, he was entitled to interest at 6 1/2 percent per annum prior to any division of profits.
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1. The petitioner and another entered into a partnership agreement in 1929 under which they were to purchase certain wheat lands, leases, equipment, and growing crops in Umatilla County, Oregon. Petitioner made an initial advance to the partnership of $100,000 on which, under the partnership agreement, he was entitled to interest at 6 1/2 percent per annum prior to any division of profits. Thereafter, and prior to 1935, the petitioner made further advances to the partnership aggregating approximately $170,000. The net profits of the partnership for the years 1935, 1936, and 1937, were less…
1Dissent
Smith,
dissenting: 1. During the year .1935 the partnership of Collins & Banfield sustained a loss of $12,480.19 from trading in grain futures on grain exchanges. In the determination of the deficiency for 1935 the respondent allowed the deduction of the loss in computing the net income of the partnership. By an amendment to his answer the respondent alleges that the loss was from the sale or exchange of capital assets during that year and that he erred in allowing a loss in excess of $2,000, under section 117 (e) of the Kevenue Act of 1934.
*783No testimony was offered by the petitioner or by the…
2Cases cited5 opinions
- Helvering v. New York Trust Co.Supreme Court of the United States · 1934
- Anderson v. StateCourt of Appeals of Georgia · 1907
- Lemonius & Co. v. D. Mayer & SonMississippi Supreme Court · 1893
- Plank v. JacksonIndiana Supreme Court · 1891
- Hentz & Co. v. BoozCourt of Appeals of Georgia · 1911