Martin v. Commissioner
United States Tax Court
Petitioners were Conrail employees who lost their jobs in 1982 as a result of enactment of the Northeast Rail Service Act (NERSA). They received benefits under the employee protection provisions enacted as part of NERSA. Held, such benefits are includable in gross income under sec. 61(a), I.R.C. 1954. Held, further, such benefits are not unemployment compensation within the meaning of sec. 85, I.R.C. 1954.
1DissentParr, J.
I respectfully dissent from that portion of the majority’s opinion which holds that title VII benefits are includable in petitioners’ gross income. I believe that 45 U.S.C. section 797d(b) (1976) excludes these amounts from gross income, and in so doing carries out the intent of Congress in enacting NERSA.
It is true that section 61(a) taxes all income except that which is specifically exempted, and that such exemptions are construed narrowly. It is clear, however, that 45 U.S.C. section 797d(b) does properly carve out an exemption from gross income for the benefits at issue herein.
The plain,…
2Cases cited6 opinions
- Commissioner v. DubersteinSupreme Court of the United States · 1960
- Stockton Harbor Industrial Company v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1954
- Beggy v. CommissionerUnited States Tax Court · 1955
- Sutherland v. United StatesDistrict Court, W.D. Pennsylvania · 1987
- Herbert v. United StatesDistrict Court, S.D. New York · 1987
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