Martin v. Commissioner
United States Tax Court
Ps were key management employees of K. K created a deferred compensation plan (old plan) for key management employees, in which Ps participated. Under old plan, benefits were payable only in 10 equal annual installments. In 1981, K adopted a shadow stock plan (new plan) and offered it to employees participating in the old plan. Electing employees in new plan were required to surrender units held in old plan and exchange them for shares of shadow stock in new plan.
Read the full summary
Ps were key management employees of K. K created a deferred compensation plan (old plan) for key management employees, in which Ps participated. Under old plan, benefits were payable only in 10 equal annual installments. In 1981, K adopted a shadow stock plan (new plan) and offered it to employees participating in the old plan. Electing employees in new plan were required to surrender units held in old plan and exchange them for shares of shadow stock in new plan. Under new plan a lump-sum payment was made unless participants elected to receive payment in 10 annual installments. The election…
1Opinion of the Court
GERBER, Judge:
Respondent determined a deficiency in petitioners George C. Martin and Geraldine L. Martin’s 1981 Federal income tax in the amount of $372,508.89. Respondent determined a deficiency in petitioners Richard T. Bick and Jean Bick’s 1981 Federal income tax in the amount of $592,008 and a $29,600.40 addition to tax under section 6653(a)(1),1 plus an additional amount equal to 50 percent of the interest due on $207,505 under section 6653(a)(2).
After concessions, the deficiencies remaining in dispute are solely attributable to respondent’s determination that petitioners are in…
2Cases cited18 opinions
- Ross v. Commissioner of Internal RevenueCourt of Appeals for the First Circuit · 1948
- E. J. Benes & Co. v. CommissionerUnited States Tax Court · 1964
- Commissioner of Internal Revenue v. OatesCourt of Appeals for the Seventh Circuit · 1953
- Elmer J. Benes and Frances M. Benes, E. J. Benes & Company, Inc. v. Commissioner of Internal RevenueCourt of Appeals for the Sixth Circuit · 1966
- Basila v. CommissionerUnited States Tax Court · 1961
13 more not listed; retrieve them via the Exa API.
3Cited by18 opinions
- Ames v. CommissionerUnited States Tax Court · 1999
- Childs v. CommissionerUnited States Tax Court · 1994
- Maines v. Comm'rUnited States Tax Court · 2015
- Jombo v. Comm'rUnited States Tax Court · 2002
- Sainte Claire Corp. v. CommissionerUnited States Tax Court · 1997
13 more not listed; retrieve them via the Exa API.