Gross v. Commissioner
United States Tax Court
Intrafamily partnership transaction held to result in taxable gift under I. R. C., section 1002.
1Opinion of the Court
OPINION.
Opper, Judge-.
From the beginning, consideration of the vexed question of family partnerships has assumed that there might be two sources of partnership income — capital and the personal services of the partners. In the income tax field, contributions of the latter in a “vital” or managerial capacity are acceptable as evidence of the reality of the business operation in the determination of taxability. See Commissioner v. Tower, 327 U. S. 280; Lusthaus v. Commissioner, 327 U. S. 293. Conversely, a business which relies for its income on the activity of one or some of the partners can…
2Cases cited7 opinions
- Commissioner v. TowerSupreme Court of the United States · 1946
- Lusthaus v. CommissionerSupreme Court of the United States · 1946
- Commissioner v. WemyssSupreme Court of the United States · 1945
- Smith v. ShaughnessySupreme Court of the United States · 1943
- Jones v. CommissionerUnited States Tax Court · 1943
2 more not listed; retrieve them via the Exa API.
3Cited by4 opinions
- Shepherd v. CommissionerUnited States Tax Court · 2000
- Cobb v. CommissionerUnited States Tax Court · 1985
- Gross v. CommissionerUnited States Tax Court · 1946
- J.C. Shepherd v. CommissionerUnited States Tax Court · 2000