Pierce v. Commissioner
United States Tax Court
Pursuant to a New Jersey court order, petitioner Martha Pierce was required to pay $ 20,000 to petitioner John Pierce because of her conversion of certain shares of their jointly owned stock. This same court order required petitioner John Pierce to pay petitioner Martha Pierce $ 20,000 as "accumulated alimony" for the approximate 2-year period prior to the entry of the order. Petitioners never actually exchanged these $ 20,000 sums.
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Pursuant to a New Jersey court order, petitioner Martha Pierce was required to pay $ 20,000 to petitioner John Pierce because of her conversion of certain shares of their jointly owned stock. This same court order required petitioner John Pierce to pay petitioner Martha Pierce $ 20,000 as "accumulated alimony" for the approximate 2-year period prior to the entry of the order. Petitioners never actually exchanged these $ 20,000 sums. Held, under the facts, petitioner John Pierce, by offsetting the $ 20,000 amounts against each other, is considered to have paid $ 20,000 to petitioner Martha…
1Opinion of the Court
Forrester, Judge:
In these consolidated cases, respondent has determined the following deficiencies:
Docket No. Taxable year Deficiency
1519-74_ 1966 $6,380.11
1967 120.00
1655-74 10,705.47 ZD ZD 05
931.39 ZD 05
The two issues presented for our decision are as follows:(1) Whether an amount of $20,000, which a New Jersey State court ordered John Pierce to pay Martha Pierce as “accumulated alimony,” is includable in Martha Pierce’s 1966 gross income under section 711 and deductible by John Pierce under section 215; and(2) Whether John or Martha Pierce is entitled to a claimed dependency exemption for…
2Cases cited16 opinions
- Elizabeth H. Bardwell v. Commissioner of Internal RevenueCourt of Appeals for the Tenth Circuit · 1963
- Vance v. CommissionerUnited States Tax Court · 1961
- Bardwell v. CommissionerUnited States Tax Court · 1962
- Thompson v. CommissionerUnited States Tax Court · 1968
- Labay v. CommissionerUnited States Tax Court · 1970
11 more not listed; retrieve them via the Exa API.
3Cited by17 opinions
- Capodanno v. CommissionerUnited States Tax Court · 1978
- Tyrer v. CommissionerUnited States Tax Court · 1981
- Hall v. CommissionerUnited States Tax Court · 1976
- Coltman v. CommissionerUnited States Tax Court · 1978
- Bodine v. CommissionerUnited States Tax Court · 1984
12 more not listed; retrieve them via the Exa API.