Gooch v. Commissioner
United States Tax Court
Petitioner claimed a dependency credit for his mother who had rent and other income substantially in excess of the $ 500 gross income limitation on dependents.
Read the full summary
Petitioner claimed a dependency credit for his mother who had rent and other income substantially in excess of the $ 500 gross income limitation on dependents. Held, that under section 23 of the Internal Revenue Code such items as taxes, maintenance, and the allowance for depreciation are deductions from gross income in determining statutory net income and not from total or gross receipts in determining statutory gross income, and the gross income of petitioner's mother being more than $ 500, petitioner is not entitled, under section 25 (b) (1) (D) of the Code, to the dependency credit…
1Opinion of the Court
OPINION.
TüRNer, Judge:
Credits against net income, like deductions from gross income, are matters of legislative grace, and are allowable only where the conditions which have been prescribed by Congress have been met and satisfied. In the case of dependents, which as defined by section 25 (b) of the statute2 includes the mother of a taxpayer, the credit is available only if the taxpayer has supplied over one-half of the dependent’s support and the gross income of the dependent was less than $500.
Congress has also specified what it means by gross income. In section 22 (a) of the Internal…
2Cited by11 opinions
- Clark v. CommissionerUnited States Tax Court · 1957
- Frank Scarangella v. Commissioner of Internal RevenueCourt of Appeals for the Third Circuit · 1969
- John H. Gooch v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 1957
- Hilldun Corp. v. CommissionerUnited States Tax Court · 1967
- Scarangella v. CommissionerUnited States Tax Court · 1969
6 more not listed; retrieve them via the Exa API.