Derby Realty Corp. v. Commissioner
United States Board of Tax Appeals
Petitioner was the legal owner and mortgagor of certain real estate in Michigan, which was sold under foreclosure in 1930 but in respect of which the mortgagor under local law retained for one year from the date of the foreclosure sale the right to redeem, the right of possession, and other rights of substance. Held, that the deductible loss resulting to petitioner from the mortgage foreclosure was sustained in 1931 when the right to redeem expired, not in 1930.
1Opinion of the Court
OPINION.
Arnold:
This case involves a deficiency of $846.07 in petitioner’s income tax for the year 1932, which arises in part on respondent’s disallowance of $19,804.84 ás a net loss in that year carried forward from 1931 and resulting from the sale, in foreclosure of a mortgage, of certain land in 1930. The issue raised on a reserve for future improvements which was disallowed by respondent has apparently been abandoned by the petitioner, leaving as the sole issue the year in which the loss on the foreclosure sale was sustained. Respondent contends that it was the year of the sale, 1930;…
2Cases cited10 opinions
- Lucas v. American Code Co.Supreme Court of the United States · 1930
- United States v. S. S. White Dental Manufacturing Co.Supreme Court of the United States · 1927
- Tyler v. United StatesSupreme Court of the United States · 1930
- Burk-Waggoner Oil Assn. v. HopkinsSupreme Court of the United States · 1925
- Gage v. SanbornMichigan Supreme Court · 1895
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3Cited by10 opinions
- Commissioner of Internal Revenue v. PetermanCourt of Appeals for the Ninth Circuit · 1941
- Securities Mortg. Co. v. CommissionerUnited States Tax Court · 1972
- Nickoll v. CommissionerCourt of Appeals for the Seventh Circuit · 1939
- Great Plains Gasification Assocs. v. Comm'rUnited States Tax Court · 2006
- Commissioner of Internal Revenue v. PetermanCourt of Appeals for the Ninth Circuit · 1941
5 more not listed; retrieve them via the Exa API.