Johnston v. Commissioner
United States Board of Tax Appeals
SECTION 44(d), REVENUE ACT OF 1932 - TRANSMISSION OF INSTALLMENT OBLIGATIONS AT DEATH. - At the time of filing the 1932 return of the decedent, who died owning installment obligations, the form for filing the bond required by article 355, Regulations 77, was not available. Thereafter deedent's executor offered to file a bond, and prior to the hearing of this proceeding the distributees reported in their returns the proceeds of the installment obligations.
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SECTION 44(d), REVENUE ACT OF 1932 - TRANSMISSION OF INSTALLMENT OBLIGATIONS AT DEATH. - At the time of filing the 1932 return of the decedent, who died owning installment obligations, the form for filing the bond required by article 355, Regulations 77, was not available. Thereafter deedent's executor offered to file a bond, and prior to the hearing of this proceeding the distributees reported in their returns the proceeds of the installment obligations. Held, that under circumstances here the treatment of the installment obligations as resulting in gain to the decedent under section 44(d)…
1Opinion of the Court
*553OPINION.
Aeundell:
Section 44 (d) of the Revenue Act of 1928. provided for the recognition of gain or loss on the transmission of installment obligations upon the death of the holder, and that enactment has been consistently held valid. Alexander M. Crane et al., Executors, 30 B. T. A. 29; affd., 76 Fed. (2d) 99; Provident Trust Co. of Philadelphia, Executor, 29 B. T. A. 374; affd., 76 Fed. (2d) 810; Nuckolls v. United States, 76 Fed. (2d) 357. The same provisions were enacted in section 44 (d) of the Revenue Act of 1932, with an added sentence1 providing in substance that there need be no…
2Cases cited2 opinions
- Bonwit Teller & Co. v. United StatesSupreme Court of the United States · 1931
- Burnet v. S. & L. Building Corp.Supreme Court of the United States · 1933
3Cited by3 opinions
- Automobile Loans, Inc. v. CommissionerUnited States Board of Tax Appeals · 1937
- Evarts v. CommissionerUnited States Board of Tax Appeals · 1939
- Johnston v. CommissionerUnited States Board of Tax Appeals · 1935