Jack Ammann Photogrammetric Engineers, Inc. v. Commissioner
United States Tax Court
Petitioner acquired its own obligation, which had been treated by the holder thereof as an installment obligation, in a transaction to which section 351 applies. At the time of the exchange the transferor had certain unreported installment gain. Held: Petitioner took the obligation, albeit its own obligation, as an installment obligation and at its transferor's basis.
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Petitioner acquired its own obligation, which had been treated by the holder thereof as an installment obligation, in a transaction to which section 351 applies. At the time of the exchange the transferor had certain unreported installment gain. Held: Petitioner took the obligation, albeit its own obligation, as an installment obligation and at its transferor's basis. When petitioner canceled the obligation, either by the physical act of making appropriate book entries, or by merger of estates of debtor and creditor, it "disposed of" an installment obligation within the meaning of section…
1Opinion of the Court
OPINION.
Dawson, Judge:
Respondent determined deficiencies in petitioner’s income tax for the years 1954, 1955, and 1956 in the amounts of $38,231.69, $18,154.17, and $248,294.09, respectively. By amendment to his answer, respondent redetermined the deficiency for the year 1956 to be $123,762.65. Petitioner’s returns for the years 1954 through 1956, made on the accrual basis and for a calendar year period, were filed with the district director of internal revenue, Austin, Texas.
The facts, completely stipulated by the parties, are not in dispute, and as stipulated are adopted as our findings of…
2Cases cited5 opinions
- Burrell Groves, Inc. v. CommissionerUnited States Tax Court · 1954
- Meagher v. CommissionerUnited States Board of Tax Appeals · 1930
- Nebraska Seed Co. v. United StatesUnited States Court of Claims · 1953
- Wobbers, Inc. v. CommissionerUnited States Board of Tax Appeals · 1932
- Advance Aluminum Castings Corp. v. HarrisonCourt of Appeals for the Seventh Circuit · 1946
3Cited by3 opinions
- Cunningham v. CommissionerUnited States Tax Court · 1965
- Cunningham v. CommissionerUnited States Tax Court · 1965
- Jack Ammann Photogrammetric Engineers, Inc. v. CommissionerUnited States Tax Court · 1962