Bolton v. Commissioner
United States Tax Court
Ps sold real estate in 1982. They reported interest income but did not report any gain from the sale on their 1982 tax return. Ps reported the sale as a completed transaction on their 1983 tax return. R asserted that Ps made a binding election out of the installment method and were therefore subject to an alternative minimum tax in 1983. Ps want the sale to be reported on the installment method.
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Ps sold real estate in 1982. They reported interest income but did not report any gain from the sale on their 1982 tax return. Ps reported the sale as a completed transaction on their 1983 tax return. R asserted that Ps made a binding election out of the installment method and were therefore subject to an alternative minimum tax in 1983. Ps want the sale to be reported on the installment method. Held, since no election was made on or before the due date of the 1982 return, the installment method applies. Sec. 453(a) and (d), added by sec. 2(a) of the Installment Sales Provision Act of 1980,…
1Opinion of the Court
Parr, Judge:
Respondent determined a deficiency in petitioners’ 1983 Federal income tax in the amount of $11,350.62. As originally presented, the issues to be decided were whether Mr. and Mrs. Bolton, petitioners, had elected out of the installment sale provisions by reporting gain from the sale of real estate in full on their 1983 tax return; and if so, whether the Boltons could subsequently elect the installment sale method. After consideration, however, the issue we must decide is whether the Boltons’ election on their 1983 return to treat the real estate sale as a completed transaction can…
2Cases cited1 opinion
- Gibson v. CommissionerUnited States Tax Court · 1987
3Cited by8 opinions
- Barrett v. CommissionerUnited States Tax Court · 1996
- Bolton v. CommissionerUnited States Tax Court · 1989
- Champy v. CommissionerUnited States Tax Court · 1994
- Delucchi v. Franchise Tax BoardCalifornia Court of Appeal · 2009
- Estate of Wilkinson v. CommissionerUnited States Tax Court · 1993
3 more not listed; retrieve them via the Exa API.