Vastola v. Commissioner
United States Tax Court
Held: A royalty provision requiring petitioner to execute nonrecourse promissory notes payable solely out of coal production and secured only by mining rights under a coal sublease, as well as to pay cash and to execute a recourse promissory note, is not a "minimum royalty provision" within the meaning of sec. 1.612-3(b)(3), Income Tax Regs. Respondent's motion for partial summary judgment granted.
1Opinion of the Court
OPINION
Tannenwald, Judge:
Respondent determined deficiencies in petitioner’s Federal income taxes for taxable years 1977 and 1978 of $83,164.63 and $27,267.85, respectively. The case is before this Court on respondent’s motion for partial summary judgment under Rule 1211 on the issue of whether petitioner may deduct her claimed losses for the years in issue to the extent they resulted from alleged advanced minimum royalty payments.
At the time she filed her petition in this case, petitioner resided in Colts Neck, New Jersey. Petitioner filed Federal income tax returns, on which she elected the…
2Cases cited21 opinions
- United States v. SullivanSupreme Court of the United States · 1927
- Thor Power Tool Co. v. CommissionerSupreme Court of the United States · 1979
- Security Flour Mills Co. v. CommissionerSupreme Court of the United States · 1944
- Commissioner v. TuftsSupreme Court of the United States · 1983
- Estate of Baron v. CommissionerUnited States Tax Court · 1984
16 more not listed; retrieve them via the Exa API.
3Cited by36 opinions
- Rose v. CommissionerUnited States Tax Court · 1987
- Capek v. CommissionerUnited States Tax Court · 1986
- Oneal v. CommissionerUnited States Tax Court · 1985
- Hagler v. CommissionerUnited States Tax Court · 1986
- Jack Brown and Clara Brown v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1986
31 more not listed; retrieve them via the Exa API.