Cowden v. Commissioner
United States Tax Court
1. During 1951 petitioners, who reported their income on the cash receipts and disbursements basis, executed to an oil company a mineral lease on lands situated in Texas in which petitioners held mineral interests.
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1. During 1951 petitioners, who reported their income on the cash receipts and disbursements basis, executed to an oil company a mineral lease on lands situated in Texas in which petitioners held mineral interests. A part of the consideration to petitioners for the execution of the lease was a fixed bonus or advance royalty in the amount of $ 511,192.50. The lessee was ready, able, and willing to pay to petitioners the entire amount of the bonus on execution of the lease in 1951 but in deference to the wishes of one of the petitioners agreed to pay petitioners a small portion of the bonus in…
1Opinion of the Court
Withey, Judge:
The respondent has determined deficiencies in the income tax of petitioners as follows:
_Amount_
Taxpayer 1951 1952
Prank, Sr., and Gladys Cowden-$126, 624.97 $52,307.20
Prank, Jr., and June Cowden_ 24,060.05 5,907.12
Courtney Cowden_ 32, 971. 07 -
Courtney and Margaret Cowden- 5,949. 56
Elizabeth Ann Cowden Walter- 27, 279. 82 8,296. 66
The issues to be determined are as follows:
1. Where, under a mineral lease and accompanying written agreements executed in 1951, the major portion of an oil bonus or advance royalty was payable in 1952 and 1953, did respondent err in determining that…
2Cases cited8 opinions
- Burnet v. HarmelSupreme Court of the United States · 1932
- Bedell v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1929
- Humphrey v. CommissionerUnited States Board of Tax Appeals · 1935
- Kleberg v. CommissionerUnited States Board of Tax Appeals · 1941
- Barnsley v. CommissionerUnited States Tax Court · 1959
3 more not listed; retrieve them via the Exa API.
3Cited by18 opinions
- Cowden v. CommissionerCourt of Appeals for the Fifth Circuit · 1961
- Warren Jones Co. v. CommissionerUnited States Tax Court · 1973
- Schniers v. CommissionerUnited States Tax Court · 1977
- Watson v. CommissionerUnited States Tax Court · 1978
- Frost v. CommissionerUnited States Tax Court · 1969
13 more not listed; retrieve them via the Exa API.