First Nat'l Bank v. Commissioner
United States Tax Court
Recovery Exclusion -- Bad Debt -- Amount Which "Did Not" Reduce Tax -- Loss Shown on Return Controls -- Sec. 22 (b) (12) (D), I. R. C. -- The amount of the bad debt charge-offs which did not reduce the tax for the year of the charge-off is determined from the return filed by the taxpayer for the year and tacitly approved by the Commissioner and cannot be increased by considering additional deductions and exclusions which could have been but were not shown on the return.
1Opinion of the Court
OPINION.
Murdock, Judge:
The Commissioner determined a deficiency of $502.96 in income tax of the petitioner for 1949. The only issue for decision is whether the petitioner is entitled to a recovery exclusion of $688.73 under section 22 (b) (12), Internal Revenue Code, resulting from a recovery on a debt previously charged off. The facts have been presented by a stipulation which is adopted as the findings of fact.
The petitioner filed its return for 1949 with the collector of internal revenue for the district of Vermont.
The petitioner reported a net loss of $6,023.35 on its corporation income…
2Cases cited2 opinions
- Stockly v. CommissionerUnited States Tax Court · 1954
- Corporation of America v. CommissionerUnited States Tax Court · 1945
3Cited by5 opinions
- United States v. Felix Benitez RexachCourt of Appeals for the First Circuit · 1973
- Chronister v. CommissionerUnited States Tax Court · 1973
- First Nat'l Bank v. CommissionerUnited States Tax Court · 1954
- First National Bank v. Commissioner of Internal RevenueCourt of Appeals for the First Circuit · 1955
- Nadler v. CommissionerUnited States Tax Court · 1988