Victory Housing, Inc. v. Commissioner
United States Tax Court
Petitioner, a corporation engaged in the business of owning and renting defense housing, at some time early in the year 1946, decided to sell 82 of its 212 housing units.
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Petitioner, a corporation engaged in the business of owning and renting defense housing, at some time early in the year 1946, decided to sell 82 of its 212 housing units. Petitioner sold the 82 houses during a 6-month period with 42 of them being sold during the fiscal year ending in 1946. Held, the houses sold by petitioner during the fiscal year 1946 were property held primarily for sale to customers in the ordinary course of business, and the gain realized by petitioner was taxable as ordinary income and not as capital gain. Held, further, that a house sold by petitioner during its fiscal…
1Opinion of the Court
OPINION.
Black, Judge:
The question in this proceeding is whether the gain from the sale of houses by petitioner during the fiscal years is taxable as capital gain as petitioner contends or as ordinary income as the respondent contends. The applicable statutes are contained in section 117(a) and section 117(j) of the Internal Revenue Code. During the taxable years before us section 117(j) (1) of the Code reads as follows:
SEC. 117. CAPITAL GAINS AND LOSSES.
*******(j) Gaiks from Losses from Involuntary Conversion and from the Sale or Exchange of Certain Property Used in the Trade or Business.—(1)…
2Cases cited6 opinions
- MAULDIN v. COMMISSIONER OF INTERNAL REVENUE (Two Cases)Court of Appeals for the Tenth Circuit · 1952
- Rollingwood Corp. v. Commissioner of Internal Revenue. Bohannon v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1951
- Mauldin v. CommissionerUnited States Tax Court · 1951
- Richards v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1936
- King v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1951
1 more not listed; retrieve them via the Exa API.
3Cited by12 opinions
- Crabtree v. CommissionerUnited States Tax Court · 1953
- Cohn v. CommissionerUnited States Tax Court · 1953
- Bildwell, Inc. v. CommissionerUnited States Tax Court · 1952
- Cohn v. CommissionerUnited States Tax Court · 1953
- Cohn v. CommissionerUnited States Tax Court · 1953
7 more not listed; retrieve them via the Exa API.