Hillard v. Commissioner
United States Tax Court
Held, upon this record, sales of rental vehicles which had been leased for about one-fourth of their useful life were sales of property held primarily for sale to customers in the ordinary course of petitioner's trade or business, and gains from such sales are taxable as ordinary income. Sec. 117(j)(1)(B), I.R.C. 1939.
1Opinion of the Court
OPINION.
Raum, Judge:
Petitioner’s sales of his used rental cars were neither occasional nor casual. They were not a mere incident of his business. They were a steady and continuous source of recurrent income to him and represented an integral part of his so-called rent-a-car business. Cf. John W. Williamson, 18 T.C. 653, 656, affirmed 201 F. 2d 564 (C.A. 4), certiorari denied 345 U.S. 970. These considerations are highly relevant when examined in the light of the congressional purpose in giving preferential treatment to capital gains and in the light of the proper judicial approach to the…
2Cases cited7 opinions
- Burnet v. HarmelSupreme Court of the United States · 1932
- Corn Products Refining Co. v. CommissionerSupreme Court of the United States · 1956
- Philber Equipment Corporation v. Commissioner of Internal RevenueCourt of Appeals for the Third Circuit · 1956
- Philber Equip. Corp. v. Comm'rUnited States Tax Court · 1955
- Williamson v. Commissioner of Internal RevenueCourt of Appeals for the Fourth Circuit · 1953
2 more not listed; retrieve them via the Exa API.
3Cited by4 opinions
- Massey Motors, Inc. v. United StatesSupreme Court of the United States · 1960
- Charlie Hillard and Mary Jane Hillard v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1960
- Hillard v. CommissionerUnited States Tax Court · 1959
- Massey Motors, Inc. v. United StatesSupreme Court of the United States · 1960