Vaughan v. Commissioner
United States Board of Tax Appeals
ACCOUNTING - CALENDAR OR FISCAL YEAR BASIS. - Petitioner was a member of a partnership which regularly filed returns of income as for a calendar year, but in each instance computed such income over a period ending subsequent to the calendar year, closing its books for the computation of income sometimes on one date and sometimes another.
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ACCOUNTING - CALENDAR OR FISCAL YEAR BASIS. - Petitioner was a member of a partnership which regularly filed returns of income as for a calendar year, but in each instance computed such income over a period ending subsequent to the calendar year, closing its books for the computation of income sometimes on one date and sometimes another. Petitioner, making his return on the basis of a calendar year, regularly included his proportionate share of the partnership earnings as reported by the partnership for such calendar year. Held that the partnership income for 1920 should be computed on the…
1Opinion of the Court
*479OPINION.
Trussell :
The agreed facts in this proceeding show that the firm of J. W. Vaughan & Co. was in existence prior to the calendar year 1919 and that it had always reported its income as for a calendar year, but in no instance did the income returned represent that earned for a period ending with the last day of the calendar year. It is not shown on what date it first closed its books after beginning-business, but on January 31,1919, it closed its books and computed its income to that date from some prior date not disclosed and returned it as income for the calendar year 1918. Whether the…
2Cited by2 opinions
- Parks-Chambers, Inc. v. CommissionerUnited States Board of Tax Appeals · 1942
- Vaughan v. CommissionerUnited States Board of Tax Appeals · 1930