Legal Opinion

Estate of Ellsasser v. Commissioner

United States Tax Court

Decided November 19, 1973No. Docket No. 8047-71PublishedCited by 14 opinions

Sec. 1402(a) of the 1954 Code defines "net earnings from self-employment" as including an individual's distributive share of income from a "trade or business carried on by a partnership of which he is a member." Held, these provisions were intended to apply to a limited partner, and such distributive share therefore constitutes "self-employment income" subject to tax under sec. 1401.

1Opinion of the Court

OPINION

Raumc, Judge:

The Commissioner determined the following deficiencies in income tax:

Tear 'Amount

1967 _$215.93

1968 _ 403.20

At issue is whether the distributive share of partnership income al-locable to a limited partner who contributes no services to the business of the partnership constitutes “net earnings from self-employment” under section 1402 (a) of the Internal Revenue Code of 1954. The facts have been stipulated.

At the time of his death on June 5, 1970, and at all times relevant herein, William J. Ellsasser was a resident of the District of Columbia, as was his wife, Charlotte C.…

2Cases cited17 opinions

  1. Commissioner v. South Texas Lumber Co.Supreme Court of the United States · 1948
  2. Bingler v. JohnsonSupreme Court of the United States · 1969
  3. Brewster v. GageSupreme Court of the United States · 1930
  4. Sanford v. CommissionerUnited States Tax Court · 1968
  5. William F. Sanford v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1969

12 more not listed; retrieve them via the Exa API.

3Cited by14 opinions

  1. Frankel v. CommissionerUnited States Tax Court · 1973
  2. Hornaday v. CommissionerUnited States Tax Court · 1983
  3. L. C. Bohart Plumbing & Heating Co. v. CommissionerUnited States Tax Court · 1975
  4. Brandschain v. CommissionerUnited States Tax Court · 1983
  5. Stevenson v. CommissionerUnited States Tax Court · 1989

9 more not listed; retrieve them via the Exa API.

Showing a preview — retrieve the full document via the Exa API.

Powered by the Exa API