Markle v. Commissioner
United States Tax Court
1. Deductions. -- Held, petitioner did not sustain his burden of proving distributions or advances to wholly owned corporation to enable it to pay certain indebtednesses and real estate taxes were allowable as business bad debts or losses incurred in transactions entered into for profit.
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1. Deductions. -- Held, petitioner did not sustain his burden of proving distributions or advances to wholly owned corporation to enable it to pay certain indebtednesses and real estate taxes were allowable as business bad debts or losses incurred in transactions entered into for profit. Held, further, respondent did not sustain burden of proving affirmative allegation that advances were contributions to capital. 2. Basis. -- Held, on the facts, basis of petitioner's interest in trust was original amount of investment therein.
1Opinion of the Court
OPINION.
Tietjens, Judge:
The first issue, which is common to all three taxable years, involves the question of' whether petitioner is entitled to deductions for all or any part of his disbursements to the Sales Company in the amounts of $5,058.39 in 1943, $3,226.60 in 1944, and $2,879.31 in 1945. Petitioner’s primary contention is that those amounts were paid by him as a guarantor and constituted business bad debts deductible in full under section 23 (k) (1), Internal Revenue Code. On the other hand, respondent contends that the disbursements were not made by the petitioner as a guarantor;…
Also in this document: Dissent.
2Cases cited18 opinions
- Deputy, Administratrix v. Du PontSupreme Court of the United States · 1940
- Burnet v. ClarkSupreme Court of the United States · 1932
- Helvering v. ReynoldsSupreme Court of the United States · 1941
- Maguire v. CommissionerSupreme Court of the United States · 1941
- Boissevain v. CommissionerUnited States Tax Court · 1951
13 more not listed; retrieve them via the Exa API.
3Cited by9 opinions
- Arrigoni v. CommissionerUnited States Tax Court · 1980
- Larchmont Foundation, Inc. v. CommissionerUnited States Tax Court · 1979
- Thomas v. CommissionerUnited States Tax Court · 1981
- Arrigoni v. CommissionerUnited States Tax Court · 1980
- Estate of Rapoport v. CommissionerUnited States Tax Court · 1982
4 more not listed; retrieve them via the Exa API.