May v. Commissioner
United States Tax Court
Deductions -- Nonbusiness Expenses -- Depreciation. -- A large yacht, Sea Cloud, owned and used by petitioner until 1951 was listed for sale with shipbrokers and decommissioned in 1951. Thereafter petitioner did not use the yacht and removed her personal furnishings. The yacht was never offered for charter or chartered. It was sold in 1955. Expenditures were made during the years 1952-1955 for the maintenance and preservation of the yacht.
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Deductions -- Nonbusiness Expenses -- Depreciation. -- A large yacht, Sea Cloud, owned and used by petitioner until 1951 was listed for sale with shipbrokers and decommissioned in 1951. Thereafter petitioner did not use the yacht and removed her personal furnishings. The yacht was never offered for charter or chartered. It was sold in 1955. Expenditures were made during the years 1952-1955 for the maintenance and preservation of the yacht. Held, the yacht was not property held for the production of income within sections 23(a)(2) and 23(l)(2), 1939 Code, and sections 212(2) and 167(a)(2),…
1Opinion of the Court
OPINION.
HakRON, Judge:
The petitioner contends that during 1951 she took affirmative action which converted the status of her yacht, the Sea Oloud, from that of property held for personal use to that of “property held for the production of income,” within the meaning of the nonbusiness expense and depreciation provisions of the Codes, and that therefore she is entitled to deductions in the years 1952-1955, inclusive, for the ordinary and necessary expenses paid for the conservation and maintenance of such property and for depreciation. The respondent’s position is that the actions taken by the…
2Cases cited10 opinions
- Leslie v. CommissionerUnited States Tax Court · 1946
- Robinson v. CommissionerUnited States Tax Court · 1943
- Horrmann v. CommissionerUnited States Tax Court · 1951
- Gale v. CommissionerUnited States Tax Court · 1949
- Gale v. Commissioner of Internal Revenue. Commissioner of Internal Revenue v. GaleCourt of Appeals for the Second Circuit · 1951
5 more not listed; retrieve them via the Exa API.
3Cited by21 opinions
- Riss v. CommissionerUnited States Tax Court · 1971
- Newcombe v. CommissionerUnited States Tax Court · 1970
- John R. Carkhuff Et Ux. v. Commissioner of Internal RevenueCourt of Appeals for the Sixth Circuit · 1970
- Mitchell v. CommissionerUnited States Tax Court · 1966
- Meredith v. CommissionerUnited States Tax Court · 1975
16 more not listed; retrieve them via the Exa API.