Joell Co. v. Commissioner
United States Board of Tax Appeals
1. A corporation in 1926 took a conveyance of real estate, subject to a mortgage, in consideration of execution of a lease to the grantor and another for life at an annual rental of $1 and assumption of all taxes and interest.
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1. A corporation in 1926 took a conveyance of real estate, subject to a mortgage, in consideration of execution of a lease to the grantor and another for life at an annual rental of $1 and assumption of all taxes and interest. Held, taxes and interest for the years 1935 and 1936 are deductible from gross income and were not capital expenditures; held, further, that though the corporation was in business the leased property was not used in trade or business and depreciation thereon was not deductible under section 23(c)(1) of the Revenue Act of 1934. 2. In 1931 the corporation, as to other…
1Opinion of the Court
OPINION.
Disney:
In this proceeding income and excess profits taxes are involved, deficiencies having been determined as follows:
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The questions presented are as to propriety of certain deductions under section 23 (b) and (c), Revenue Act of 1934, and a credit for dividend payments within the meaning of section 26 (c) (2) of the Revenue Act of 1936.
All facts were stipulated, are found as stipulated, and may be summarized as follows:
Petitioner, a Pennsylvania corporation engaged in the business of owning and operating real estate, was organized in 1926. It filed its income tax…
2Cited by8 opinions
- Rogan v. Walter Wanger Pictures, Inc.Court of Appeals for the Ninth Circuit · 1944
- Goddard v. CommissionerUnited States Tax Court · 1962
- Scofield v. Valley Pipe Line Co.Court of Appeals for the Fifth Circuit · 1943
- Cregg v. CommissionerUnited States Tax Court · 1983
- Havener v. CommissionerUnited States Tax Court · 1964
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