Assmann v. Commissioner
United States Tax Court
Decedent inherited from her husband, in 1936, a house and lot which had by them been used as homestead. She removed from the property within a few days, and told her son to rent or sell it. It was forthwith listed for sale. No effort was ever made to rent and it was never rented. About seven months later the house was razed because of advice that the property would be more readily salable vacant, and in order to save taxes. In 1948 the vacant property was sold.
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Decedent inherited from her husband, in 1936, a house and lot which had by them been used as homestead. She removed from the property within a few days, and told her son to rent or sell it. It was forthwith listed for sale. No effort was ever made to rent and it was never rented. About seven months later the house was razed because of advice that the property would be more readily salable vacant, and in order to save taxes. In 1948 the vacant property was sold. Held, the property was a capital asset and the Commissioner did not err in limiting the loss under section 117 (a) (1) and (d) ( 2)…
1Opinion of the Court
OPINION.
Disney, Judge:
Our only, problem here is whether or not the real estate sold was a capital asset, within the intendment of section 117 (a) of the Internal Revenue Code.1 The answer will determine whether the loss taken by Maria Assmann upon the sale is to be limited, under section 117 (d) (2) 2 to $1.000,3 as determined by the Commissioner. There is no disagreement as to basis or amount received upon sale.
We need not again detail the facts set forth above. The gist of the petitioners’ contention is that the property sold having been inherited, its tax status was then neutral, that its…
2Cases cited4 opinions
- Campbell v. CommissionerUnited States Tax Court · 1945
- Wright v. CommissionerUnited States Tax Court · 1947
- Marx v. CommissionerUnited States Tax Court · 1945
- Carnrick v. CommissionerUnited States Tax Court · 1947
3Cited by11 opinions
- Horrmann v. CommissionerUnited States Tax Court · 1951
- Crawford v. CommissionerUnited States Tax Court · 1951
- Kobernat v. CommissionerUnited States Tax Court · 1972
- Assmann v. CommissionerUnited States Tax Court · 1951
- Crawford v. CommissionerUnited States Tax Court · 1951
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