Asthmanefrin Co. v. Commissioner
United States Tax Court
Where, under Oregon law, there was no lien for taxes attached to real estate at the time of the acquisition of such property in April and there was no personal liability for such taxes, the vendee who purchased the property previous to the lien date, and paid the taxes in November of the taxable year, is entitled to deduct such taxes under section 23 (c), I. R. C. 1939, and is not required to add the amount of such taxes to the cost of the property.
1Opinion of the Court
OPINION.
Van Fossan, Judge:
Respondent determined a deficiency of $404.38 in petitioner’s income tax for the year 1949. The deficiency was, in part, consequent on respondent’s holding that the sum of $746.50 expended by petitioner in November and December 1949 for the payment of 1949-1950 real property ad valorem taxes on two parcels of real estate acquired by petitioner in April 1949, should be capitalized as a part of the cost of such property and that such sum was not deductible from gross income as taxes paid. This holding gives rise to the sole issue. A second issue stated in the petition…
2Cases cited6 opinions
- Magruder v. SuppleeSupreme Court of the United States · 1942
- Gillespie Trust v. CommissionerUnited States Tax Court · 1954
- Adda, Inc. v. CommissionerUnited States Tax Court · 1947
- Le Roy v. CommissionerUnited States Tax Court · 1944
- Commissioner of Internal Revenue v. RoyCourt of Appeals for the Second Circuit · 1945
1 more not listed; retrieve them via the Exa API.
3Cited by5 opinions
- Willamette Valley Lumber Co. v. United StatesDistrict Court, D. Oregon · 1966
- Scio Oil & Gas Co. v. CommissionerUnited States Tax Court · 1957
- Goddard v. CommissionerUnited States Tax Court · 1962
- Asthmanefrin Co. v. CommissionerUnited States Tax Court · 1956
- Scio Oil & Gas Co. v. CommissionerUnited States Tax Court · 1957