Schultz v. Commission

Edward H. Howell, Judge.

Plaintiffs appeal from a tax commission order assessing an income tax deficiency against them for the tax year 1964.

In August, 1964, the plaintiffs contracted to sell a one-half interest in their automotive machine shop in Tillamook, Oregon. The contract provided for a $5,000 down payment and that the balance be paid as follows:

“3. Second parties further agree to pay first parties, out of the profits of said business the further sum of Eight Thousand ($8,000.00) Dollars in the following manner:

“Each of the parties, Frank Schultz and Thomas Fink, shall devote…