Hoven v. Commissioner
United States Tax Court
1. Held, for purposes of determining his holding period under sec. 1222, I.R.C. 1954, petitioner acquired ownership of the real property in question when he entered into a "Contract of Sale" on Sept. 23, 1963; at that time, he acquired an unconditional right to the delivery of the deeds of title upon payment of the remainder of the purchase price, and he assumed the burdens and benefits of ownership. 2. Held, further, of the cost basis of $ 130,000 for two parcels, $ 96,800…
Read the full summary
1. Held, for purposes of determining his holding period under sec. 1222, I.R.C. 1954, petitioner acquired ownership of the real property in question when he entered into a "Contract of Sale" on Sept. 23, 1963; at that time, he acquired an unconditional right to the delivery of the deeds of title upon payment of the remainder of the purchase price, and he assumed the burdens and benefits of ownership. 2. Held, further, of the cost basis of $ 130,000 for two parcels, $ 96,800 is allocable to one tract and $ 33,200 is allocable to the other.
1Opinion of the Court
Feati-ieeston, Judge:
Respondent determined deficiencies in petitioners’ income tax and additions to tax under sections 6651(a)1 and 6653 (a), as follows:
[[Image here]]
The following issues are presented for decision:2(1) Whether petitioners “held” certain real property “for more than 6 months” and, consequently, on its sale realized long-term capital gain within the meaning of section 1222 (3); and(2) What part of the lump-sum purchase price paid for two parcels of land is allocable to each for the purpose of computing their- respective cost bases under section 1012.
FINDINGS OF FACT
Vernon…
2Cases cited13 opinions
- McFeely v. CommissionerSupreme Court of the United States · 1935
- Ide v. LeiserMontana Supreme Court · 1890
- Merrill v. CommissionerUnited States Tax Court · 1963
- Floyd R. Clodfelter and Enna L. Clodfelter v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1970
- Clodfelter v. CommissionerUnited States Tax Court · 1967
8 more not listed; retrieve them via the Exa API.
3Cited by13 opinions
- Penn-Dixie Steel Corp. v. CommissionerUnited States Tax Court · 1978
- Fasken v. CommissionerUnited States Tax Court · 1979
- Guardian Indus. Corp. v. CommissionerUnited States Tax Court · 1991
- Tensaw Land & Timber Co. v. United StatesUnited States Court of Claims · 1988
- Borrelli v. CommissionerUnited States Tax Court · 1972
8 more not listed; retrieve them via the Exa API.