Burgess v. Commissioner
United States Tax Court
1. Petitioner, on a cash basis, owed a creditor approximately $ 200,000, with interest thereon at 2 per cent due in advance. About 2 1/2 months prior to maturity the creditor billed him with the interest due upon renewal. Some time prior to the due date of the note petitioner borrowed $ 4,000 from the same creditor.
Read the full summary
1. Petitioner, on a cash basis, owed a creditor approximately $ 200,000, with interest thereon at 2 per cent due in advance. About 2 1/2 months prior to maturity the creditor billed him with the interest due upon renewal. Some time prior to the due date of the note petitioner borrowed $ 4,000 from the same creditor. He then deposited his creditor's check for that sum in his bank, commingling it with his other funds, and gave his check for $ 4,219.33 covering interest in advance on both loans. He also paid other bills. During the period between the receipt of the proceeds of the $ 4,000 loan…
1Opinion of the Court
OPINION.
Van Fossan, Judge:
The first issue presents a purely factual question — Did the petitioner pay to Archer & Co. the sum of $4,219.33 as interest on his indebtedness to that company, or did he, as respondent has held, pay the interest by giving a note which remained unpaid at the end of the year and constituted an addition to the original debt? It is agreed that the petitioner borrowed the $4,000 from the same creditor to whom he owed the larger loan. The only controversy is whether the petitioner actually made a cash payment of interest to Archer & Co. in the total sum of $4,219.33, or…
2Cases cited1 opinion
- Cleaver v. CommissionerUnited States Tax Court · 1946
3Cited by50 opinions
- Eli D. Goodstein v. Commissioner of Internal Revenue, Commissioner of Internal Revenue v. Eli D. GoodsteinCourt of Appeals for the First Circuit · 1959
- Nat Harrison Assoc., Inc. v. CommissionerUnited States Tax Court · 1964
- Goodstein v. CommissionerUnited States Tax Court · 1958
- G. Douglas Burck and Marjorie W. Burck v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1976
- Burck v. CommissionerUnited States Tax Court · 1975
45 more not listed; retrieve them via the Exa API.