Jerome Castree Interiors, Inc. v. Commissioner
United States Tax Court
During each of the taxable years at issue, the controlling shareholders of the petitioner met and decided on the amount of the bonus to be received by each of them for the year, but such bonuses were not paid within the taxable year or within 2 1/2 months after the close of the taxable year. Nor was the amount of each bonus entered on the books and records of the corporation, and the controlling shareholders did not report the bonuses until the year of payment.
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During each of the taxable years at issue, the controlling shareholders of the petitioner met and decided on the amount of the bonus to be received by each of them for the year, but such bonuses were not paid within the taxable year or within 2 1/2 months after the close of the taxable year. Nor was the amount of each bonus entered on the books and records of the corporation, and the controlling shareholders did not report the bonuses until the year of payment. Held, under the circumstances, the amount of each bonus was not constructively received during the taxable year or within 2 1/2…
1Opinion of the Court
Simpson, Judge:
The Commissioner determined the following deficiencies in the petitioner’s Federal income taxes:
TYE Oct. 31— Deficiency
1969_ $10,032.08
1970_ 8,998.62
1971_ 8,640.01
The only issue to be decided is whether, for each year at issue, two of the petitioner’s shareholders constructively received bonuses during the period consisting of its taxable year and 2V2 months thereafter, for purposes of section 267 of the Internal Revenue Code of 1954, relating to the denial of certain deductions with respect to transactions between related taxpayers.
FINDINGS OF FACT
Some of the facts have been…
2Cases cited19 opinions
- Ross v. Commissioner of Internal RevenueCourt of Appeals for the First Circuit · 1948
- Fountain v. CommissionerUnited States Tax Court · 1973
- Geiger & Peters, Inc. v. CommissionerUnited States Tax Court · 1957
- Platt Trailer Co. v. CommissionerUnited States Tax Court · 1955
- Gullett v. CommissionerUnited States Board of Tax Appeals · 1935
14 more not listed; retrieve them via the Exa API.
3Cited by18 opinions
- American Air Filter Co. v. CommissionerUnited States Tax Court · 1983
- Martin v. CommissionerUnited States Tax Court · 1991
- Kaw Dehydrating Co. v. CommissionerUnited States Tax Court · 1980
- Moser v. CommissionerUnited States Tax Court · 1989
- Rod Warren Ink v. CommissionerUnited States Tax Court · 1989
13 more not listed; retrieve them via the Exa API.