Newman v. Commissioner
United States Tax Court
Held: Interest credited to amounts withheld from the salary of petitioner Paul Newman by the State of New York under the laws of New York providing for retirement payments to employees of the State was not interest on the obligations of a State within the meaning of sec. 103(a)(1), I.R.C. 1954. The amounts of interest credited to the account of petitioner Paul Newman were not constructively received by him in the years when they were credited since during those years he…
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Held: Interest credited to amounts withheld from the salary of petitioner Paul Newman by the State of New York under the laws of New York providing for retirement payments to employees of the State was not interest on the obligations of a State within the meaning of sec. 103(a)(1), I.R.C. 1954. The amounts of interest credited to the account of petitioner Paul Newman were not constructively received by him in the years when they were credited since during those years he could have received the amounts only by resigning from his position and withdrawing all amounts he had contributed under the…
1Opinion of the Court
OPINION
Scott, Judge:
Respondent determined deficiencies in petitioners’ Federal income tax for calendar years 1971 and 1972 of $1,133.25 and $3,503.18, respectively. The sole issue for decision is whether an amount received by petitioners from an annuity under the New York State Employees’ Retirement System equal to the interest earned on petitioners’ accumulated contributions to that system may be excluded from petitioners’ gross income.
All of the facts have been stipulated and are found accordingly.
Petitioners, husband and wife, filed joint Federal' income tax returns for calendar years 1971…
2Cases cited18 opinions
- Birnbaum v. New York State Teachers Retirement SystemNew York Court of Appeals · 1958
- Glassman v. GlassmanNew York Court of Appeals · 1956
- Sgaglione v. LevittNew York Court of Appeals · 1975
- Miller v. Commissioner of Internal RevenueCourt of Appeals for the Fourth Circuit · 1944
- Taylor v. CommissionerUnited States Tax Court · 1943
13 more not listed; retrieve them via the Exa API.
3Cited by3 opinions
- Stewart v. CommissionerUnited States Tax Court · 1982
- Barrett v. Comm'rUnited States Tax Court · 2006
- Newman v. CommissionerUnited States Tax Court · 1977