Rude v. Commissioner
United States Tax Court
Held, that petitioner is not entitled to a nonbusiness bad debt deduction for the year 1959 because she has not proved that a debtor-creditor relationship was created when her husband received an undivided interest in real property purchased with funds from her separate estate.
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Held, that petitioner is not entitled to a nonbusiness bad debt deduction for the year 1959 because she has not proved that a debtor-creditor relationship was created when her husband received an undivided interest in real property purchased with funds from her separate estate. Held, further, that the worthlessness of petitioner's right of contribution against her former husband for Federal income taxes paid on a joint return for 1951 did not give rise to a deductible nonbusiness bad debt in the year 1961.
1Opinion of the Court
Dawson, Judge:
Respondent determined the following income tax deficiencies against petitioner:
Year Deficiency
1960 _$6, 879.18
1961_ 18,252.72
1962 _ 1,648.84
Certain issues have been conceded by the parties, thus leaving for our decision the following questions:(1) Was the petitioner entitled to a $100,000 nonbusiness bad debt deduction in the year 1959 for a debt the petitioner claims her former husband owed her for the purchase of his interest in real property and which allegedly became worthless in that year ? If so, was the petitioner entitled to a capital loss carryover from 1959 to 1960 and…
2Cases cited8 opinions
- Dolan v. CommissionerUnited States Tax Court · 1965
- Clark v. CommissionerUnited States Tax Court · 1952
- Mercil v. CommissionerUnited States Tax Court · 1955
- Edward Katzinger Co. v. COMMISSIONER OF INT. REVENUECourt of Appeals for the Seventh Circuit · 1942
- Grossman v. CommissionerUnited States Board of Tax Appeals · 1927
3 more not listed; retrieve them via the Exa API.
3Cited by41 opinions
- Estate of Reynolds v. CommissionerUnited States Tax Court · 1970
- Arrigoni v. CommissionerUnited States Tax Court · 1980
- Bloomfield v. CommissionerUnited States Tax Court · 1969
- Tippin v. CommissionerUnited States Tax Court · 1995
- Estate of Labombarde v. CommissionerUnited States Tax Court · 1972
36 more not listed; retrieve them via the Exa API.