Braude v. Commissioner
United States Tax Court
1. Held, gain realized from a distribution made possible by writing up assets of a corporation engaged in the construction of an apartment building taxable as ordinary income under section 117(m) of the 1939 Internal Revenue Code and not subject to limitations of section 117(m)(3)(B) and (C). 2. Held, failure to file a declaration of estimated tax not due to reasonable cause.
1Opinion of the Court
Tietjens, Judge:
The Commissioner determined the following deficiencies in income tax and additions to tax for the year 1950:
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The questions for decision are (1) whether the gains from cash distributions made by a corporation are to be treated as ordinary income under section 117 (m) of the Internal Revenue Code of 1939 rather than as long-term capital gain, as reported in the income tax returns, and (2) whether the Commissioner properly determined the addition to tax under section 294(d) (1) (A) for failure to file a declaration of estimated tax.
The Commissioner has conceded that…
2Cases cited4 opinions
- Arthur Glickman Herman Glickman and Ruth Glickman and Aaron Glickmand and Freda Glickman v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1958
- Bouche v. CommissionerUnited States Tax Court · 1952
- Gerber v. CommissionerUnited States Tax Court · 1959
- Short v. CommissionerUnited States Tax Court · 1961
3Cited by2 opinions
- Sorin v. CommissionerUnited States Tax Court · 1964
- Braude v. CommissionerUnited States Tax Court · 1961