Hamilton Nat'l Bank v. Commissioner
United States Board of Tax Appeals
The amount of the principal of a promissory note payable on or before July 7, 1930, representing profit on a sale returnable on the installment basis, and interest thereon, is held to have been constructively received in 1929, where the agent of the maker in 1929 tendered payment in cash, and, upon refusal of the holder to accept payment, of his own volition deposited the amount in a savings account in his own name as trustee, and delivered to an officer of the bank the…
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The amount of the principal of a promissory note payable on or before July 7, 1930, representing profit on a sale returnable on the installment basis, and interest thereon, is held to have been constructively received in 1929, where the agent of the maker in 1929 tendered payment in cash, and, upon refusal of the holder to accept payment, of his own volition deposited the amount in a savings account in his own name as trustee, and delivered to an officer of the bank the passbook and a check drawn to the order of the payee dated January 10, 1930, for the amount deposited and bank interest to…
1Opinion of the Court
*66OPINION.
MuedocK:
Both parties agree that the use of the installment method of reporting the profit from the sale in 1927 is proper. There is no difference between them as to any figures. The sole question is, When was the decedent in receipt of the principal and interest on the note for income tax purposes? He died before this proceeding was instituted and his testimony is not available. The note was not produced and we do not know its precise terms or the date of cancellation. However, the petitioner concedes that it was payable “ on or before ” July 7, 1930. The petitioner makes several…
2Cases cited5 opinions
- Corliss v. BowersSupreme Court of the United States · 1930
- Brander v. CommissionerUnited States Board of Tax Appeals · 1925
- Chipley v. CommissionerUnited States Board of Tax Appeals · 1932
- Security First Nat'l Bank v. CommissionerUnited States Board of Tax Appeals · 1933
- Loose v. CommissionerUnited States Board of Tax Appeals · 1929
3Cited by5 opinions
- Webber v. CommissionerUnited States Tax Court · 2015
- Hill v. Comm'rUnited States Tax Court · 2010
- Sainte Claire Corp. v. CommissionerUnited States Tax Court · 1997
- Hamilton Nat'l Bank v. CommissionerUnited States Board of Tax Appeals · 1933
- SWF Real Estate LLC v. Comm'rUnited States Tax Court · 2015