Community Mausoleum Co. v. Commissioner
United States Board of Tax Appeals
The right acquired by a purchaser of space in a mausoleum is realty and the vendor of such space may elect to report on the installment basis where the initial payment does not exceed 40 percent of the selling price. In such sales the portion of the sales price to be collected by a trustee and held as a perpetual care fund should be excluded from both contract price and gross profit.
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The right acquired by a purchaser of space in a mausoleum is realty and the vendor of such space may elect to report on the installment basis where the initial payment does not exceed 40 percent of the selling price. In such sales the portion of the sales price to be collected by a trustee and held as a perpetual care fund should be excluded from both contract price and gross profit. On sales where the initial payment exceeds 40 percent, which are to be reported on the accrual basis, the perpetual care fund is to be excluded from gross income in the year of sale.
1Opinion of the Court
COMMUNITY MAUSOLEUM COMPANY, PETITIONER, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
Community Mausoleum Co. v. Commissioner
Docket No. 70384.
United States Board of Tax Appeals
33 B.T.A. 19; 1935 BTA LEXIS 818;
September 10, 1935, Promulgated
The right acquired by a purchaser of space in a mausoleum is realty and the vendor of such space may elect to report on the installment basis where the initial payment does not exceed 40 percent of the selling price. In such sales the portion of the sales price to be collected by a trustee and held as a perpetual care fund should be excluded from both…
2Cases cited1 opinion
- Community Mausoleum Co. v. CommissionerUnited States Board of Tax Appeals · 1935