Steur v. Commissioner
United States Tax Court
Prior to August 1940 petitioner purchased tobacco for H. Duys & Co., in Holland and the Dutch East Indies, on a commission of 3 per cent of purchases, plus an annual salary of $ 10,000. In August 1940 petitioner and Duys entered into a new contract providing for the payment of the sum of 3 per cent commission and $ 10,000 salary, plus a bonus of 25 per cent of the net profit on the sales of tobacco bought by the petitioner and sold by Duys; Duys, however, to have a credit…
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Prior to August 1940 petitioner purchased tobacco for H. Duys & Co., in Holland and the Dutch East Indies, on a commission of 3 per cent of purchases, plus an annual salary of $ 10,000. In August 1940 petitioner and Duys entered into a new contract providing for the payment of the sum of 3 per cent commission and $ 10,000 salary, plus a bonus of 25 per cent of the net profit on the sales of tobacco bought by the petitioner and sold by Duys; Duys, however, to have a credit thereon of the amount of the 3 per cent commission on purchases. The amount of net profit -- and hence the amount of…
1Opinion of the Court
OPINION.
Van Fossan, Judge:
The respondent bases his inclusion of the $56,-211.21 bonus in the petitioner’s taxable income on the fact that the petitioner became a resident alien prior to the date on which he received that sum from Duys, pursuant to the contract of August 1940.
The petitioner contends that he possessed a claim against Duys for the amount in controversy, fully accrued, when he was a nonresident alien for services performed entirely by him while abroad, and that, therefore, he was not taxable thereon. He indulges in an elaborate analysis of the taxing statutes relating to the…
2Cited by2 opinions
- Joseph Van Der Elst v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1955
- Steur v. CommissionerUnited States Tax Court · 1946