Commissioner of Internal Revenue v. Banfield

HEALY, Circuit Judge.

The proceeding is for a review of a decision of the Board of Tax Appeals on petitions both of the taxpayer and of the Commissioner. The question raised by the taxpayer’s appeal is whether the income of a partnership of which he was a member was taxable solely to him or to the extent of one-half thereof, only. The petition of the Commissioner presents the problem whether a loss sustained by the partnership in dealings in grain futures was an ordinary loss or a capital loss.

We consider first the appeal of the taxpayer. The Commissioner assessed against him deficiencies in…