Kleberg v. Commissioner
United States Board of Tax Appeals
Ordinary and necessary expenses incurred by executors in carrying on operation of ranch of estate, from date of decedent's death to end of calendar year, were claimed as deductions in computing net income for the period but disallowed by respondent because the same items were also claimed, and allowed, as miscellaneous administration expenses in determining estate tax due.
Read the full summary
Ordinary and necessary expenses incurred by executors in carrying on operation of ranch of estate, from date of decedent's death to end of calendar year, were claimed as deductions in computing net income for the period but disallowed by respondent because the same items were also claimed, and allowed, as miscellaneous administration expenses in determining estate tax due. Held, whether or not such amounts were properly allowed in computing estate tax, their deduction in computing income tax is determined solely by provisions of the income tax statute, and under the provisions of the income…
1Opinion of the Court
*98OPINION.
Matthews:
The income tax deficiency involved is $22,375.31 for the year 1926. The petitioners also claim an overpayment of $11,364 for the same year.
The sole matter in controversy is the deductibility in 1926 as a statutory net loss, under section 206 (a)(1), (b), and (g) of the Bevenue Act of 1926, of $155,820.68 claimed by petitioners to have *99been sustained in 1925. Whether there was such a net loss depends in turn upon the deductibility from-petitioners’ gross income for 1925 of items in the aggregate of $241,574.69, representing cost of ranch operations during this taxable-period,…
2Cases cited6 opinions
- Lang v. CommissionerSupreme Court of the United States · 1933
- Widener v. CommissionerUnited States Board of Tax Appeals · 1927
- Tide Water Oil Co. v. CommissionerUnited States Board of Tax Appeals · 1934
- Lang v. CommissionerUnited States Board of Tax Appeals · 1931
- Carpenter v. CommissionerUnited States Board of Tax Appeals · 1932
1 more not listed; retrieve them via the Exa API.
3Cited by13 opinions
- Burrow Trust v. CommissionerUnited States Tax Court · 1963
- Helvering v. HighlandCourt of Appeals for the Fourth Circuit · 1942
- Estate of Ballard v. CommissionerUnited States Tax Court · 1985
- Murphy v. CommissionerUnited States Tax Court · 1964
- Burrow Trust v. CommissionerUnited States Tax Court · 1963
8 more not listed; retrieve them via the Exa API.