Sarmir v. Commissioner
United States Tax Court
Petitioner's employer sold the mill at which petitioner was employed and terminated the participation of all employees at the mill in its pension plan. As a result of the termination petitioner's accrued benefits became fully vested and he elected to receive the benefit in the form of a lump-sum payment.
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Petitioner's employer sold the mill at which petitioner was employed and terminated the participation of all employees at the mill in its pension plan. As a result of the termination petitioner's accrued benefits became fully vested and he elected to receive the benefit in the form of a lump-sum payment. Held, terms of the plan make clear distribution was not made on account of petitioner's separation from service within the meaning of sec. 402(a)(2) and must be treated as ordinary income.
1Opinion of the Court
OPINION
Sterrett, Judge:
Respondent determined a deficiency in petitioners’ Federal income tax for the calendar year 1972 in the amount of $233.95. The sole issue for decision is whether a distribution to petitioner Robert M. Sarmir of his entire interest in the Kimberly-Clark Corp. Salaried Employees’ Retirement Plan was made on account of his separation from service of his employer so as to qualify, in part, for treatment as a long-term capital gain pursuant to section 402(a)(2), I.R.C. 1954.1
All of the facts have been stipulated and are so found. The stipulation of facts, together with the…
2Cases cited10 opinions
- Jack E. Golsen and Sylvia H. Golsen v. Commissioner of Internal RevenueCourt of Appeals for the Tenth Circuit · 1971
- Automobile Club of Mich. v. CommissionerSupreme Court of the United States · 1957
- 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
- United States v. William L. Haggart and Marjorie HaggartCourt of Appeals for the Eighth Circuit · 1969
5 more not listed; retrieve them via the Exa API.
3Cited by10 opinions
- Burton v. CommissionerUnited States Tax Court · 1992
- Blyler v. CommissionerUnited States Tax Court · 1977
- Adler v. CommissionerUnited States Tax Court · 1995
- Blyler v. CommissionerUnited States Tax Court · 1977
- Brown v. CommissionerUnited States Tax Court · 1995
5 more not listed; retrieve them via the Exa API.