Fitzsimons v. Commissioner
United States Tax Court
The petitioner entered into an oil lease which required her to pay $ 50,000 "rental" in each of the first 2 years of the lease. The lease also provided for payment of delay rentals of one-twelfth of $ 50,000 per year under certain circumstances. The petitioner made the $ 50,000 payments. Held, the two $ 50,000 payments were a bonus not allocable to any particular year and, therefore, not deductible as ordinary and necessary expenses in the year in which paid.
1Opinion of the Court
Fat, Judge:
The Commissioner determined deficiencies in the petitioner’s income taxes of $40,766.73 for the taxable year 1954 and $38,510.13 for the taxable year 1955.
Some of the Commissioner’s proposed adjustments were not contested in the petition. The sole- issue for decision is whether payments of $50,000 in each of the years 1954 and 1955 are ordinary and necessary expenses or are capital expenditures.
FINDINGS OP FACT.
Some of the facts are stipulated and are so found.
The petitioner is a motion picture actress known professionally as Maureen O’Hara. She filed her Federal income tax returns…
2Cases cited15 opinions
- Burnet v. HarmelSupreme Court of the United States · 1932
- Burton-Sutton Oil Co. v. CommissionerSupreme Court of the United States · 1946
- McFaddin v. CommissionerUnited States Tax Court · 1943
- Sunray Oil Co. v. Commissioner of Internal RevenueCourt of Appeals for the Tenth Circuit · 1945
- Baton Coal Co. v. Commissioner of Internal RevenueCourt of Appeals for the Third Circuit · 1931
10 more not listed; retrieve them via the Exa API.
3Cited by6 opinions
- Estate of Broadhead v. CommissionerUnited States Tax Court · 1966
- Tallal v. CommissionerUnited States Tax Court · 1984
- Murphy Corp. v. United StatesDistrict Court, W.D. Arkansas · 1964
- The White Castle Lumber and Shingle Company, Ltd. v. United States of America, Bowie Lumber Company, Limited v. United States of America, Jeanerette Lumber and Shingle Company, Ltd. v. United StatesCourt of Appeals for the Fifth Circuit · 1973
- Fitzsimons v. CommissionerUnited States Tax Court · 1961
1 more not listed; retrieve them via the Exa API.