Wood v. Commissioner
United States Tax Court
1. Petitioner, trading in whiskey warehouse receipts for his own account, is entitled to capital gains treatment under section 117 (a) of the Internal Revenue Code. 2. In 1945 petitioner sold certain real estate lots he had acquired in December 1940 from a real estate corporation in exchange for all of his stock in such corporation.
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1. Petitioner, trading in whiskey warehouse receipts for his own account, is entitled to capital gains treatment under section 117 (a) of the Internal Revenue Code. 2. In 1945 petitioner sold certain real estate lots he had acquired in December 1940 from a real estate corporation in exchange for all of his stock in such corporation. Held, lots were not held primarily for sale to customers in the ordinary course of petitioner's trade or business and he is entitled to capital gains treatment under section 117 (a) of the Internal Revenue Code.
1Opinion of the Court
OPINION.
ErcE, Judge:
The gain from the sale of certain whiskey warehouse receipts in 1944 and of certain real estate in 1945 by petitioner was determined by respondent to be ordinary income. Petitioner contends the sales were sale? of capital assets under section 117 (a) of the Internal Eevenue Code and that the gains therefrom were reported properly as capital gams. Since the sales involved different taxable years and different classes of property, we will discuss each issue separately.
Whiskey Warehouse Receipts
The applicable statutory provision in effect during the taxable years in question…
2Cases cited4 opinions
- Thrift v. CommissionerUnited States Tax Court · 1950
- Farley v. CommissionerUnited States Tax Court · 1946
- Taney v. Penn National Bank of ReadingSupreme Court of the United States · 1914
- Dale v. PattisonSupreme Court of the United States · 1914
3Cited by61 opinions
- Cedar Valley Distillery, Inc. v. CommissionerUnited States Tax Court · 1951
- King v. CommissionerUnited States Tax Court · 1987
- Andrew Crispo Gallery, Inc. v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1994
- Kemon v. CommissionerUnited States Tax Court · 1951
- Sam Frank, Jr., and Esther Frank, Willie L. McNatt and Helen C. McNatt v. Commissioner of Internal RevenueCourt of Appeals for the Eighth Circuit · 1963
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