Concord Village, Inc. v. Commissioner
United States Tax Court
Petitioner is a nonstock, not-for-profit, housing cooperative corporation organized and operated for the benefit of its members. It is subject to Federal Housing Administration (FHA) regulations. When a member of petitioner sells his membership (i.e., his proprietary interest), he must forfeit to petitioner any part of the selling price which exceeds an FHA-specified "transfer value."
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Petitioner is a nonstock, not-for-profit, housing cooperative corporation organized and operated for the benefit of its members. It is subject to Federal Housing Administration (FHA) regulations. When a member of petitioner sells his membership (i.e., his proprietary interest), he must forfeit to petitioner any part of the selling price which exceeds an FHA-specified "transfer value." Held, such forfeitures are gain to it and includable in its gross income under sec. 61(a). General American Investors Co., 19 T.C. 581 (1952), affd. 211 F. 2d 522 (2d Cir. 1954), affd. 348 U.S. 434 (1955). FHA…
1Opinion of the Court
OPINION
Concord is a not-for-profit housing cooperative incorporated under Arizona law. It is organized and operated for the benefit of its members. Because Concord was formed pursuant to NHA sec. 221(d)(3), 12 U.S.C. sec. 1715 1(d)(3), it was able to obtain an FHA-insured mortgage loan at 3⅜ percent over 50 years. The FHA regulates Concord by contract (regulatory agreement) and Federal regulations. Within this regulatory framework, petitioner’s board of directors, elected by Concord’s members, sets policy and governs petitioner’s affairs. Petitioner collects monthly carrying charges from its…
2Cases cited26 opinions
- Commissioner v. Glenshaw Glass Co.Supreme Court of the United States · 1955
- Moline Properties, Inc. v. CommissionerSupreme Court of the United States · 1943
- General American Investors Co. v. CommissionerSupreme Court of the United States · 1955
- Brown Shoe Co. v. CommissionerSupreme Court of the United States · 1950
- Coors v. CommissionerUnited States Tax Court · 1973
21 more not listed; retrieve them via the Exa API.
3Cited by13 opinions
- Concord Consumers Hous. Coop. v. CommissionerUnited States Tax Court · 1987
- G.M. Trading Corp. v. CommissionerCourt of Appeals for the Fifth Circuit · 1997
- Board of Trade v. CommissionerUnited States Tax Court · 1996
- Grutman v. CommissionerUnited States Tax Court · 1983
- Board of Trade v. CommissionerUnited States Tax Court · 1996
8 more not listed; retrieve them via the Exa API.