Durkheimer Inv. Co. v. Commissioner
United States Board of Tax Appeals
Pursuant to the terms of a 30-year lease entered into in 1910, the lessee, as additional rent for the premises, erected a new building on the leased property. In 1925 the parties terminated the instrument and executed a new lease for a term of 99 years. In 1932 the lessor terminated the lease because of default of the lessee and acquired repossession of the premises, including the building erected under the terms of the first lease.
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Pursuant to the terms of a 30-year lease entered into in 1910, the lessee, as additional rent for the premises, erected a new building on the leased property. In 1925 the parties terminated the instrument and executed a new lease for a term of 99 years. In 1932 the lessor terminated the lease because of default of the lessee and acquired repossession of the premises, including the building erected under the terms of the first lease. Held, that repossession of the property did not result in a realization of taxable income to the lessor in 1932 of the value of improvements erected by the lessee.
1Opinion of the Court
DURKHEIMER INVESTMENT COMPANY, PETITIONER, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
Durkheimer Inv. Co. v. Commissioner
Docket No. 83290.
United States Board of Tax Appeals
36 B.T.A. 423; 1937 BTA LEXIS 717;
August 4, 1937, Promulgated
Pursuant to the terms of a 30-year lease entered into in 1910, the lessee, as additional rent for the premises, erected a new building on the leased property. In 1925 the parties terminated the instrument and executed a new lease for a term of 99 years. In 1932 the lessor terminated the lease because of default of the lessee and acquired repossession of the…
2Cases cited5 opinions
- Miller v. GearinCourt of Appeals for the Ninth Circuit · 1919
- Cryan v. WardellDistrict Court, N.D. California · 1920
- Slack v. CommissionerUnited States Board of Tax Appeals · 1937
- Morphy v. CommissionerUnited States Board of Tax Appeals · 1937
- Durkheimer Inv. Co. v. CommissionerUnited States Board of Tax Appeals · 1937