Hammerstrom v. Commissioner
United States Tax Court
Petitioner and her former husband, at the time of their divorce on Oct. 13, 1967, converted the form of the joint ownership of their business assets from community property to tenancy in common. Five days later, under the terms of the property settlement agreement, the former husband wrote petitioner a letter "electing" to purchase petitioner's interest in the business assets and requesting that petitioner enter into an agreement of purchase.
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Petitioner and her former husband, at the time of their divorce on Oct. 13, 1967, converted the form of the joint ownership of their business assets from community property to tenancy in common. Five days later, under the terms of the property settlement agreement, the former husband wrote petitioner a letter "electing" to purchase petitioner's interest in the business assets and requesting that petitioner enter into an agreement of purchase. The parties, however, were unable to agree on details of the purchase and nothing further was done until 1972. Held, the transmutation of the business…
1Opinion of the Court
Hall, Judge:
Respondent determined a deficiency of $8,362.51 in petitioners’ 1967 Federal income tax. The issue presented for our decision is whether in 1967 petitioner Jewel Hammerstrom disposed of certain business assets before the end of their estimated useful life for investment credit purposes, thereby triggering investment credit recapture in the year of disposal.1
FINDINGS OF FACT
All of the facts have been stipulated by the parties, and the stipulations and exhibits attached thereto are incorportated herein by reference.
Petitioners, Frank R. and Jewel Hammerstrom, were husband and wife…
2Cases cited7 opinions
- Poe v. SeabornSupreme Court of the United States · 1930
- Commissioner v. BrownSupreme Court of the United States · 1965
- United States v. MerrillCourt of Appeals for the Ninth Circuit · 1954
- 2 Lexington Ave. Corp. v. CommissionerUnited States Tax Court · 1956
- Dezendorf v. CommissionerCourt of Appeals for the Fifth Circuit · 1963
2 more not listed; retrieve them via the Exa API.
3Cited by5 opinions
- Rome I, Ltd. v. CommissionerUnited States Tax Court · 1991
- Southeastern Mail Transport, Inc. v. CommissionerUnited States Tax Court · 1987
- Hammerstrom v. CommissionerUnited States Tax Court · 1973
- Rome I, Ltd. v. CommissionerUnited States Tax Court · 1991
- Wiese v. CommissionerUnited States Tax Court · 1976