Tele-Communications v. Commissioner
United States Tax Court
Petitioner purchased cable television systems and amortized the amount attributable to the franchise cost under sec. 1253(d)(2), I.R.C.Held, a cable television franchise is properly included in the sec. 1253(b)(1) definition of franchise; thus the cost of the cable television franchise properly established by petitioner is amortizable.
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Petitioner purchased cable television systems and amortized the amount attributable to the franchise cost under sec. 1253(d)(2), I.R.C.Held, a cable television franchise is properly included in the sec. 1253(b)(1) definition of franchise; thus the cost of the cable television franchise properly established by petitioner is amortizable. Held, further, when a business is conducted pursuant to a de facto monopolistic franchise granted it by a governmental body and it has no bona fide competition, it cannot have any goodwill separate and distinct from the value of its monopolistic franchise.…
1Opinion of the Court
GOFFE, Judge:
The Commissioner determined deficiencies in petitioner’s Federal income tax for the taxable year 1978 in the amount of $897,436. In addition to disputing the deficiency, petitioner claims an overpayment of $318,239 for that year.
The issues for decision are whether a cable television franchise is a “franchise” for purposes of section 1253,1 or whether the cable television franchises acquired by petitioner have a “limited life,” thus making such franchises eligible for amortization under section 167. If we decide that petitioner is entitled to amortize the franchises, we must…
2Cases cited47 opinions
- Welch v. HelveringSupreme Court of the United States · 1933
- Immigration & Naturalization Service v. Cardoza-FonsecaSupreme Court of the United States · 1987
- Consumer Product Safety Commission v. GTE Sylvania, Inc.Supreme Court of the United States · 1980
- United States v. American Trucking AssociationsSupreme Court of the United States · 1940
- Tennessee Valley Authority v. HillSupreme Court of the United States · 1978
42 more not listed; retrieve them via the Exa API.
3Cited by28 opinions
- Capitol Fed. Sav. & Loan Ass'n v. CommissionerUnited States Tax Court · 1991
- Frazee v. CommissionerUnited States Tax Court · 1992
- Tele-Communications, Inc. v. Commissioner of Internal RevenueCourt of Appeals for the Tenth Circuit · 1993
- Estate of Cristofani v. CommissionerUnited States Tax Court · 1991
- Post-Newsweek Cable, Inc. v. Board of ReviewSupreme Court of Iowa · 1993
23 more not listed; retrieve them via the Exa API.