Curtis v. Commissioner
United States Tax Court
Petitioner, member of a brokerage partnership, undertook personally to assure other partners certain minimum drawing accounts each year, whether or not there were sufficient profits. To the extent that he was required to pay these amounts, he was to have a prior claim on partnership profits in any subsequent year when profits were available.
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Petitioner, member of a brokerage partnership, undertook personally to assure other partners certain minimum drawing accounts each year, whether or not there were sufficient profits. To the extent that he was required to pay these amounts, he was to have a prior claim on partnership profits in any subsequent year when profits were available. In 1942 petitioner was required to and did, make such payments, which resulted in his expending over $ 19,000 more than he received from the business. In 1943, the profits of the business being adequate, his prior claim was recognized and his…
1Opinion of the Court
OPINION.
Kern, Judge-.
Respondent determined a deficiency in petitioner’s income tax for the calendar year 1943 in the amount of $18,039.87. The year 1942 is also involved by virtue of the provisions of the Current Tax Payment Act of 1943.
The other adjustments made by respondent having been conceded by petitioner, one basic problem remains: The manner in which petitioner is obliged to treat for income tax purposes the net amount of payments made by him in 1942 to the other members of a partnership, pursuant to his personal guaranty to them of certain minimum drawing accounts, and the receipt by…
2Cases cited6 opinions
- Burnet v. Sanford & Brooks Co.Supreme Court of the United States · 1931
- United States v. S. S. White Dental Manufacturing Co.Supreme Court of the United States · 1927
- Security Flour Mills Co. v. CommissionerSupreme Court of the United States · 1944
- Heiner v. MellonSupreme Court of the United States · 1938
- Baltimore Transfer Co. v. CommissionerUnited States Tax Court · 1947
1 more not listed; retrieve them via the Exa API.
3Cited by8 opinions
- Investors Diversified Services, Inc. v. CommissionerUnited States Tax Court · 1962
- Times Tribune Co. v. CommissionerUnited States Tax Court · 1953
- Farnsworth v. CommissionerUnited States Tax Court · 1958
- Curtis v. CommissionerUnited States Tax Court · 1949
- Farnsworth v. CommissionerUnited States Tax Court · 1958
3 more not listed; retrieve them via the Exa API.