Guggenheimer v. Commissioner of Internal Revenue

SWAN, Circuit Judge.

This appeal involves income tax deficiencies for the years 1943 and 1944. The taxpayers were husband and wife and they filed joint income tax returns. For convenience the husband will hereafter be referred to as the taxpayer. 1 The principal question presented is whether a loss incurred in 1945 upon the sale of improved real estate is a net operating loss which can be carried back, pursuant to section 122(b) as limited by-section 122(d) of the Code, 26 U.S.C.A. § 122, to reduce net income for the years 1944 and 1943. The Commissioner disallowed the carry-back and the Tax…