Legal Opinion
Sidman v. Director, Division of Taxation
New Jersey Tax Court
Decided April 24, 2000PublishedCited by 7 opinions
1Opinion of the Court
SMALL, J.T.C.
The issue to be decided in this case is whether, in calculating taxable income under the Gross Income Tax Act (the “GIT”), N.J.S.A. 54A:1-1 to : 10-12, a taxpayer may deduct interest on a loan, the proceeds of which were used to purchase shares in a New Jersey subchapter S corporation, from his pro rata share of the S corporation’s income. N.J.S.A. 54A:2-1 and :5-1p. I have concluded, based on the analysis which follows, that such a deduction is not permitted.
I
Plaintiffs, David Sidman (“Sidman”) and his wife Carol Sidman, contest a GIT deficiency assessment for the tax year 1994.…
2Cases cited31 opinions
- Commissioner v. National Alfalfa Dehydrating & Milling Co.Supreme Court of the United States · 1974
- A. Magnano Co. v. HamiltonSupreme Court of the United States · 1934
- Quong Wing v. KirkendallSupreme Court of the United States · 1912
- Heisler v. Thomas Colliery Co.Supreme Court of the United States · 1922
- Smith v. Director, Division of TaxationSupreme Court of New Jersey · 1987
26 more not listed; retrieve them via the Exa API.
3Cited by7 opinions
- Reck v. Director, Div. of TaxationNew Jersey Superior Court Appellate Division · 2001
- Sidman v. Director, Division of TaxationNew Jersey Superior Court Appellate Division · 2001
- Adler v. Director, Division of TaxationNew Jersey Tax Court · 2003
- Miller v. Director, Division of TaxationNew Jersey Tax Court · 2001
- Schulmann v. Director, Division of TaxationNew Jersey Tax Court · 2010
2 more not listed; retrieve them via the Exa API.