Richards v. Commissioner
United States Tax Court
Pursuant to a union agreement which provided for the establishment of a newly created pension plan by the petitioners' corporate employer, petitioners received a distribution of one-half of their respective interests in an existing Profit Sharing Retirement Plan previously established by their corporate employer, the undistributed one-half interests remaining as continuing portions to be transferred to the Pension Plan Trust.
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Pursuant to a union agreement which provided for the establishment of a newly created pension plan by the petitioners' corporate employer, petitioners received a distribution of one-half of their respective interests in an existing Profit Sharing Retirement Plan previously established by their corporate employer, the undistributed one-half interests remaining as continuing portions to be transferred to the Pension Plan Trust. Approximately 4 weeks later petitioners' corporate employer sold all of its operating assets to another corporation; petitioners continued to work as employees of the…
1Opinion of the Court
OPINION
Hoyt, Judge:
The Commissioner determined deficiencies in the petitioners’ Federal income taxes for the calendar year 1967 in the following amounts:
Petitioners Pocket No. Peficienc
Ward T. Richards and Mary Richards_ 3304-69 $414. 36
Homer N. Ackerman and Betty Ackerman_ 4057-69 511. 50
The above consolidated cases present a common issue: Whether certain amounts received by the petitioners as distributions from a profit-sharing retirement plan are taxable to petitioners as ordinary income or as long-term capital gain under section 402(a) (2).2
All of the facts have been stipulated and such…
2Cases cited4 opinions
- United States v. Ophelia Johnson and Ophelia R. Johnson, as Under the Last Will and Testament of Clifford L. Johnson, DeceasedCourt of Appeals for the Fifth Circuit · 1964
- Miller v. CommissionerUnited States Tax Court · 1954
- Gittens v. CommissionerUnited States Tax Court · 1968
- Stewart v. CommissionerUnited States Tax Court · 1969
3Cited by1 opinion
- Richards v. CommissionerUnited States Tax Court · 1971