Larson v. Commissioner
United States Tax Court
Petitioners owned limited partnership interests in two real estate syndications organized under the California Uniform Limited Partnership Act. The sole general partner in each partnership was a corporation, independent of the limited partners, organized for the purpose of promoting and managing such syndications. Under State law, the partnerships would be dissolved by the bankruptcy of the general partner.
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Petitioners owned limited partnership interests in two real estate syndications organized under the California Uniform Limited Partnership Act. The sole general partner in each partnership was a corporation, independent of the limited partners, organized for the purpose of promoting and managing such syndications. Under State law, the partnerships would be dissolved by the bankruptcy of the general partner. The general partner invested no funds in the partnerships and its interests were subordinated to those of the limited partners. The limited partners had the right to vote to remove the…
1DissentQuealy, J.
I do not question that a literal application of respondent’s regulations would require me to concur with the opinion of the majority. However, I am unwilling to be bound by regulations which are patently erroneous, even though respondent may not be prepared to disaffirm those regulations. I think it is the duty of the Court to decide a case in accordance with the law, and where the law is clear, the regulations must give way to the law.
That the law is clear is amply evidenced by the fact that the original opinion in this case was adopted after review by the Court. Phillip G. Larson, docket…
2Cases cited48 opinions
- Helvering v. CliffordSupreme Court of the United States · 1940
- Meinhard v. SalmonNew York Court of Appeals · 1928
- Commissioner v. TowerSupreme Court of the United States · 1946
- Morrissey v. CommissionerSupreme Court of the United States · 1935
- Burk-Waggoner Oil Assn. v. HopkinsSupreme Court of the United States · 1925
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