O'Brien v. Commissioner
United States Tax Court
1. Petitioners engaged their son to perform accounting and data processing services. He performed these services away from petitioners' place of business, and petitioners did not supervise his work. He provided the services as an independent contractor, not as petitioners' employee.
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1. Petitioners engaged their son to perform accounting and data processing services. He performed these services away from petitioners' place of business, and petitioners did not supervise his work. He provided the services as an independent contractor, not as petitioners' employee. Held, the amount paid by petitioners to their son does not constitute wages qualifying for the new jobs credit allowed under sec. 44B, I.R.C. 1954. 2. Petitioners paid $ 3,050 for labor relating to the construction of a fence. Petitioners claimed a new jobs credit under sec. 44B for this amount. Petitioners also…
1Opinion of the Court
Dawson, Judge:
Respondent determined a deficiency of $450 in petitioners’ Federal income tax for 1977. The issues to be decided are: (1) Whether the amount expended by petitioners for accounting and data processing services performed by their son constitutes wages for purposes of the new jobs credit under section 44B;1 and (2) whether for purposes of determining the investment tax credit under section 38, the basis of new section 38 property should be reduced by the amount of the new jobs credit allocable to wages paid for the construction of the property and capitalized as part of its cost.
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2Cases cited15 opinions
- Welch v. HelveringSupreme Court of the United States · 1933
- United States v. SilkSupreme Court of the United States · 1947
- Crooks v. HarrelsonSupreme Court of the United States · 1930
- Bartels v. BirminghamSupreme Court of the United States · 1947
- Commissioner v. Idaho Power Co.Supreme Court of the United States · 1974
10 more not listed; retrieve them via the Exa API.
3Cited by11 opinions
- Estate of Wallace v. CommissionerUnited States Tax Court · 1990
- Rome I, Ltd. v. CommissionerUnited States Tax Court · 1991
- Gordon T. O'Brien and Derelyse O'Brien v. Commissioner of Internal RevenueCourt of Appeals for the Tenth Circuit · 1985
- Thrifty Oil Co. & Subsidiaries v. CommissionerUnited States Tax Court · 2012
- Willamette Indus. v. CommissionerUnited States Tax Court · 1992
6 more not listed; retrieve them via the Exa API.