Brown v. Commissioner
United States Tax Court
Lessor, on the cash basis, agreed in lease contract to contribute a specified amount toward the cost of improvements to be made by lessee on leased premises, one-half of such contribution to be credited to lessee from rental due and owing by it under lease. Held, amounts thus withheld by lessee from rents constituted taxable income to lessor during the years involved.
1Opinion of the Court
OPINION.
Raum, Judge:
The petitioner contends that she was required to include in gross income for 1948 and 1949, as rental income, only the amounts actually received in cash from Sachs. In support of her contention she argues that she has consistently reported her income and kept her books on the cash basis; that on this basis she is required to account for income when and only when it is received; that in the lease she granted her tenant, Sachs, an abatement of, reduction of, or limitation upon the rental otherwise due thereunder; that she had no legal right to receive from Sachs as rent any…
2Cases cited12 opinions
- Lucas v. EarlSupreme Court of the United States · 1930
- Helvering v. HorstSupreme Court of the United States · 1940
- Old Colony Trust Co. v. CommissionerSupreme Court of the United States · 1929
- United States v. Kirby Lumber CoSupreme Court of the United States · 1931
- Douglas v. WillcutsSupreme Court of the United States · 1935
7 more not listed; retrieve them via the Exa API.
3Cited by9 opinions
- Fisher Cos. v. CommissionerUnited States Tax Court · 1985
- Isidore Brown and Gladys J. Brown v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 1955
- Tyrer v. CommissionerUnited States Tax Court · 1981
- Fifteen Hundred Walnut Street Corp. v. CommissionerUnited States Tax Court · 1955
- Bissey v. CommissionerUnited States Tax Court · 1994
4 more not listed; retrieve them via the Exa API.