Abeid v. Comm'r
United States Tax Court
P, a nonresident alien residing in Israel during 1997, 1998, and 1999 (years in issue), became entitled to 20 annual payments of $ 722,000 each by virtue of a 1992 purchase of a $ 1 ticket that won a lottery sponsored by the State of California. P received a payment of $ 722,000 from the California State Lottery in each of the years in issue. P filed U.S. Federal income tax returns for those years in which he took the position that the payments were not subject to U.S. tax.
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P, a nonresident alien residing in Israel during 1997, 1998, and 1999 (years in issue), became entitled to 20 annual payments of $ 722,000 each by virtue of a 1992 purchase of a $ 1 ticket that won a lottery sponsored by the State of California. P received a payment of $ 722,000 from the California State Lottery in each of the years in issue. P filed U.S. Federal income tax returns for those years in which he took the position that the payments were not subject to U.S. tax. R determined that the payments were subject to U.S. tax under sec. 871(a)(1)(A), I.R.C., resulting in a deficiency for…
1Opinion of the Court
OPINION
Gale, Judge:
This case is before us on the parties’ cross-motions for summary judgment under Rule 121.1 The issue for decision is whether certain payments received by petitioner from a lottery operated by the State of California (California State Lottery) are exempt from U.S. taxation pursuant to the Income Tax Convention, Nov. 20, 1975, U.S.-Isr., Hein’s No. KAV 971 (U.S.-Israel Income Tax Treaty or treaty).
Summary judgment is intended to expedite litigation and avoid unnecessary and expensive trials. Fla. Peach Corp. v. Commissioner, 90 T.C. 678, 681 (1988). Summary judgment may be…
2Cases cited15 opinions
- Sundstrand Corporation v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 1994
- Sundstrand Corp. v. CommissionerUnited States Tax Court · 1992
- Florida Peach Corp. v. CommissionerUnited States Tax Court · 1988
- Commissioner v. WemyssSupreme Court of the United States · 1945
- F. L. McClanahan v. United StatesCourt of Appeals for the Fifth Circuit · 1961
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3Cited by10 opinions
- Sang J. Park v. CommissionerUnited States Tax Court · 2011
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- Estate of Bongard v. Comm'rUnited States Tax Court · 2005
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