Birkin v. Commissioner
United States Board of Tax Appeals
1. Under the Sixteenth Amendment and section 213 of the Revenue Act of 1918, defining gross income, income includes the entire gain realized upon the sale of goods in the ordinary course of business in this country, irrespective of where an increment in value has its situs. 2. The capital or labor from which income is derived in this country need not be within the territorial jurisdiction of the United States in order that the income may be taxed. 3. Where goods are…
Read the full summary
1. Under the Sixteenth Amendment and section 213 of the Revenue Act of 1918, defining gross income, income includes the entire gain realized upon the sale of goods in the ordinary course of business in this country, irrespective of where an increment in value has its situs. 2. The capital or labor from which income is derived in this country need not be within the territorial jurisdiction of the United States in order that the income may be taxed. 3. Where goods are manufactured abroad by nonresident alien individuals and sold in this country, the entire profit constitutes "gross income from…
1Opinion of the Court
*404 OPINION.
Sterniiagein :
The petitioners are British subjects who in 1919 sold in the United States goods which they manufactured in Great Britain. They were subject to tax under the Revenue Act of 1918.
Section 213, after setting forth in (a) the items included in the term gross income and in (b) the items excluded, treats of nonresident alien individuals in (c), as follows:
In the case of nonresident alien individuals, gross income includes only the gross income from sources within the United States, including interest on bonds, notes, or other interest-bearing obligations of residents,…
2Cases cited8 opinions
- Eisner v. MacOmberSupreme Court of the United States · 1920
- Underwood Typewriter Co. v. ChamberlainSupreme Court of the United States · 1920
- Merchants' Loan & Trust Co. v. SmietankaSupreme Court of the United States · 1921
- Lynch v. HornbySupreme Court of the United States · 1918
- Bradford Electric Light Co. v. ClapperSupreme Court of the United States · 1932
3 more not listed; retrieve them via the Exa API.
3Cited by4 opinions
- Briskey Co. v. CommissionerUnited States Board of Tax Appeals · 1934
- Billwiller v. CommissionerUnited States Board of Tax Appeals · 1928
- Birkin v. CommissionerUnited States Board of Tax Appeals · 1926
- East Coast Oil Co., S. A. v. CommissionerUnited States Board of Tax Appeals · 1934