Wheelock v. Commissioner
United States Tax Court
Held, where capital rather than labor and services predominates in the production of income, the tax liability for such income follows ownership. Cf. Blair v. Commissioner, 300 U.S. 5; Lyman A. Stanton, 14 T. C. 217, affd.
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Held, where capital rather than labor and services predominates in the production of income, the tax liability for such income follows ownership. Cf. Blair v. Commissioner, 300 U.S. 5; Lyman A. Stanton, 14 T. C. 217, affd. (C. A. 7) 189 F. 2d 297, and held, where petitioners acquired by parol agreement a legal part ownership of certain oil and gas leases and producing wells, and all parties at interest recognized petitioners' ownership, respondent, for lack of privity, cannot question petitioners' title because of the statute of frauds. Cf. Francis M. Camp, 21 B. T. A. 962; Abraham Greenspon,…
1Opinion of the Court
OPINION.
Johnson, Judge:
The facts are not in dispute. Whether in the taxable years petitioners are taxable upon one-sixteenth of the distributable income from the Bammel properties, as they contend, or upon one-eighth, as the respondent has determined, depends upon the effect given to the deed from petitioners to their son, J. N. Wheelock, Jr.
Petitioners contend that this warranty deed conveyed title to one-half of their one-eighth interest in the oil leases and property therein described and that J. N. Wheelock, Jr., thereby became the owner of same and the income therefrom, and such income…
2Cases cited5 opinions
- Blair v. CommissionerSupreme Court of the United States · 1937
- Burnet v. LeiningerSupreme Court of the United States · 1932
- Schultz v. ScottCourt of Appeals of Texas · 1919
- Stanton v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 1951
- MacIas v. MacIasCourt of Appeals of Texas · 1941
3Cited by6 opinions
- Estate of O'Daniel v. United StatesCourt of Appeals for the Fifth Circuit · 1993
- Baxter v. CommissionerUnited States Tax Court · 1982
- United States v. Gordon P. Haynes and Essie M. HaynesCourt of Appeals for the Fifth Circuit · 1956
- United States v. Gordon P. Haynes and Essie M. HaynesCourt of Appeals for the Fifth Circuit · 1956
- Wheelock v. CommissionerUnited States Tax Court · 1951
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