Spencer v. Tax Appeals Tribunal

Proceeding pursuant to CPLR article 78 (initiated in this Court pursuant to Tax Law § 2016) to review a determination of respondent Tax Appeals Tribunal which sustained a deficiency of personal income tax imposed under Tax Law article 22.

In 1989, petitioner Sash A. Spencer (hereinafter Spencer), a Florida resident, received a guaranteed payment of $1,349,832 for his interest in a New York partnership. Petitioners reported the payment as ordinary income on their 1989 Federal income tax return, but did not do so on their 1989 New York State “nonresident and part-year resident” income tax…