Smith v. Commissioner
United States Tax Court
This case, originally decided in 55 T.C. 260, is before the Court on remand from the U.S. Court of Appeals for the Fifth Circuit (457 F. 2d 797) for reconsideration in the light of the subsequent opinion of the Supreme Court in United States v. Generes, 405 U.S. 93 (1972). Upon such reconsideration it is held: 1. Debts owing petitioners from Smith Petroleum which became worthless in 1965 were nonbusiness debts, deductible as such. 2. Debts owing petitioners from Smith…
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This case, originally decided in 55 T.C. 260, is before the Court on remand from the U.S. Court of Appeals for the Fifth Circuit (457 F. 2d 797) for reconsideration in the light of the subsequent opinion of the Supreme Court in United States v. Generes, 405 U.S. 93 (1972). Upon such reconsideration it is held: 1. Debts owing petitioners from Smith Petroleum which became worthless in 1965 were nonbusiness debts, deductible as such. 2. Debts owing petitioners from Smith Petroleum for advances made after Smith Petroleum ceased doing business at the end of 1965 which became worthless in 1966 were…
1Opinion of the Court
OPINION
Deennen, Judge:
In an opinion filed November 3, 1970 (55 T.C. 260), this Court concluded that the losses incurred by petitioner Oddee Smith from debts of Smith Petroleum Service, Inc., becoming worthless in 1965 and 1966 were proximately related to petitioner’s trade or business and were deductible as business bad debts under section 166(a) (1), I.E.C. 1954; and decision was entered in accordance therewith on December 3,1970. In so concluding, we applied the “significant motivation” test as the measure in determining whether the losses were proximately related to petitioner’s business…
2Cases cited6 opinions
- Jack E. Golsen and Sylvia H. Golsen v. Commissioner of Internal RevenueCourt of Appeals for the Tenth Circuit · 1971
- United States v. GeneresSupreme Court of the United States · 1972
- William W. Steinhort and Mildred Steinhort v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1964
- Smith v. CommissionerUnited States Tax Court · 1970
- Levitt & Sons v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1947
1 more not listed; retrieve them via the Exa API.
3Cited by64 opinions
- Putoma Corp. v. CommissionerUnited States Tax Court · 1976
- Gould v. CommissionerUnited States Tax Court · 1975
- Shinefeld v. CommissionerUnited States Tax Court · 1976
- Benak v. CommissionerUnited States Tax Court · 1981
- Davenport v. CommissionerUnited States Tax Court · 1978
59 more not listed; retrieve them via the Exa API.