Glazer v. Commissioner
United States Tax Court
The X partnership, in the business of constructing and selling houses in a certain tract, had 24 remaining uncompleted houses, which however were 80 percent completed and all of which were under contracts of sale to ultimate purchasers. The partners at that point purported to sell their partnership interests to their attorney and simultaneously agreed to complete the construction of the houses.
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The X partnership, in the business of constructing and selling houses in a certain tract, had 24 remaining uncompleted houses, which however were 80 percent completed and all of which were under contracts of sale to ultimate purchasers. The partners at that point purported to sell their partnership interests to their attorney and simultaneously agreed to complete the construction of the houses. They claimed that the profit realized on the alleged sale was capital gain under section 741, I.R.C. 1954. Held, (1) that, under the facts of record, petitioners did not in substance make any sale of…
1Opinion of the Court
OPINION
Raum, Judge:
The Commissioner determined the following deficiencies in income tax for the year 1959:
Taxpayer Deficiency Additions to tax, sec. 6654, I.R.C. 1954
Herman and Mollie Glazer....... $14,709.60 2 $307.96
Forrest B. Fleisher.... 2,368.52
Estate of David Fleisher, deceased, Frances E. Fleisher, executrix, Frances E. Fleisher — .... 661.84
The only issue remaining for decision is whether the gain to the petitioners arising from the purported sale of their interests in a partnership is to be treated as ordinary income or capital gain. All of the facts have been stipulated.
Petitioners…
2Cases cited12 opinions
- Gregory v. HelveringSupreme Court of the United States · 1935
- Commissioner v. Court Holding Co.Supreme Court of the United States · 1945
- Higgins v. SmithSupreme Court of the United States · 1940
- Knetsch v. United StatesSupreme Court of the United States · 1960
- Commissioner v. P. G. Lake, Inc.Supreme Court of the United States · 1958
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3Cited by12 opinions
- Schmitz v. CommissionerUnited States Tax Court · 1968
- Coupe v. Comm'rUnited States Tax Court · 1969
- Harry C. v. United StatesUnited States Court of Claims · 1967
- Thatcher v. CommissionerUnited States Tax Court · 1973
- Logan v. CommissionerUnited States Tax Court · 1968
7 more not listed; retrieve them via the Exa API.