Estate of Finder v. Commissioner
United States Tax Court
1. Held: That real estate lots sold in the year in question constituted property held primarily for sale to customers in the ordinary course of trade or business, and that the gain therefrom is taxable as ordinary income.
Read the full summary
1. Held: That real estate lots sold in the year in question constituted property held primarily for sale to customers in the ordinary course of trade or business, and that the gain therefrom is taxable as ordinary income. Section 1237 of the Internal Revenue Code of 1954 is not applicable since other lots in the tract of land had previously been held by the individuals or their partnership primarily for sale to customers in the ordinary course of trade or business; two of such other lots continued to be so held in the year in question; and substantial improvements were made upon the tract of…
1Opinion of the Court
Atkins, Judge:
Respondent determined deficiencies in income tax of petitioners in Docket Nos. 74592 and 74593 in the respective amounts of $651.70 and $3,037.92 for the taxable year 1954. The issues are: (1) Whether gain upon the sale of real estate lots constituted long-term capital gain, as contended by the petitioners, or ordinary income from sale of property held primarily for sale to customers in the ordinary course of trade or business, as determined by the respondent, and (2) whether the respondent properly disallowed a portion of depreciation claimed upon a hotel property.
FINDINGS OF…
2Cases cited26 opinions
- Welch v. HelveringSupreme Court of the United States · 1933
- New Colonial Ice Co. v. HelveringSupreme Court of the United States · 1934
- Helvering v. TaylorSupreme Court of the United States · 1935
- Corn Products Refining Co. v. CommissionerSupreme Court of the United States · 1956
- Commissioner v. P. G. Lake, Inc.Supreme Court of the United States · 1958
21 more not listed; retrieve them via the Exa API.
3Cited by51 opinions
- Giddio v. CommissionerUnited States Tax Court · 1970
- Estate of Horvath v. CommissionerUnited States Tax Court · 1973
- Figueiredo v. CommissionerUnited States Tax Court · 1970
- Rockwell v. CommissionerUnited States Tax Court · 1972
- Conforte v. CommissionerUnited States Tax Court · 1980
46 more not listed; retrieve them via the Exa API.