Bolton v. Commissioner
United States Tax Court
Ps sold real estate in 1982. They reported interest income but did not report any gain from the sale on their 1982 tax return. Ps reported the sale as a completed transaction on their 1983 tax return. R asserted that Ps made a binding election out of the installment method and were therefore subject to an alternative minimum tax in 1983. Ps want the sale to be reported on the installment method.
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Ps sold real estate in 1982. They reported interest income but did not report any gain from the sale on their 1982 tax return. Ps reported the sale as a completed transaction on their 1983 tax return. R asserted that Ps made a binding election out of the installment method and were therefore subject to an alternative minimum tax in 1983. Ps want the sale to be reported on the installment method. Held, since no election was made on or before the due date of the 1982 return, the installment method applies. Sec. 453(a) and (d), added by sec. 2(a) of the Installment Sales Provision Act of 1980,…
1Opinion of the Court
Everett Bolton and Zona Bolton, Petitioners v. Commissioner of Internal Revenue, Respondent
Bolton v. Commissioner
Docket No. 24803-86
United States Tax Court
92 T.C. 303; 1989 U.S. Tax Ct. LEXIS 22; 92 T.C. No. 17;
February 7, 1989. February 7, 1989, Filed
Decision will be entered under Rule 155.
Ps sold real estate in 1982. They reported interest income but did not report any gain from the sale on their 1982 tax return. Ps reported the sale as a completed transaction on their 1983 tax return. R asserted that Ps made a binding election out of the installment method and were therefore subject to an…
2Cases cited2 opinions
- Gibson v. CommissionerUnited States Tax Court · 1987
- Bolton v. CommissionerUnited States Tax Court · 1989