Wilkerson v. Commissioner
United States Tax Court
1. A portion of the 2-percent initial service charges or finance fees paid to mortgage bankers who loaned the construction money in FHA take-out loans was compensation for the use of money, or interest. The balance was payment for services. 2. The initial service charges or finance fees were "paid" in the year the borrowers delivered checks in amounts thereof to the lenders although most of the funds were obtained from advances on the mortgage loans.
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1. A portion of the 2-percent initial service charges or finance fees paid to mortgage bankers who loaned the construction money in FHA take-out loans was compensation for the use of money, or interest. The balance was payment for services. 2. The initial service charges or finance fees were "paid" in the year the borrowers delivered checks in amounts thereof to the lenders although most of the funds were obtained from advances on the mortgage loans. The advances were deposited in the borrowers' separate bank accounts over which the borrowers alone had control. 3. The portions of the initial…
1Opinion of the Court
Drennen, Judge:
Respondent determined deficiencies in the Federal income taxes of petitioners as follows:
Docket No. Petitioner Year Deficiency
9565-75 Donald L. Wilkerson and Mary A. Wilkerson .1972 $12,489.00
9566-75 Nick L. Lusich and Jacqueline E. Lusich .1972 5,065.00
9567-75 Lawrence F. Devincenzi .1972 15,781.27
9658-75 F. Albert Kuckoff and Jean M. Kuckhoff .1972 1,545.00
10925-75 Ben Caramella and Cecile Caramella .1971 2,515.00
10926-75 Donald L. Wilkerson and Mary A. Wilkerson .1971 5,821.00
10927-75 Maurice J. Nespor and Anita M. Nespor .1971 1,105.00
10928-75 Theodore E. Selden and Lonnie…
2Cases cited15 opinions
- Deputy, Administratrix v. Du PontSupreme Court of the United States · 1940
- Helvering v. PriceSupreme Court of the United States · 1940
- Spiegel v. CommissionerUnited States Tax Court · 1949
- 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
10 more not listed; retrieve them via the Exa API.
3Cited by58 opinions
- Goodwin v. CommissionerUnited States Tax Court · 1980
- Crown v. CommissionerUnited States Tax Court · 1981
- Beck v. Comm'rUnited States Tax Court · 1980
- Duncan Industries, Inc., etc. v. CommissionerUnited States Tax Court · 1979
- Derr v. CommissionerUnited States Tax Court · 1981
53 more not listed; retrieve them via the Exa API.