Estate of Johnston v. Commissioner
United States Tax Court
Petitioner realized gain upon the involuntary conversion of real property in 1957. At the close of the taxable year 1958 petitioner had entered into an executory contract to purchase replacement property. Under the facts, the burdens and benefits of property ownership did not pass to petitioner until 1959. Held, petitioner did not timely "purchase" the replacement property within the intendment of sec. 1033, I.R.C. 1954.
1Opinion of the Court
OPINION
Tegtjens, Judge:
The Commissioner determined deficiencies in income taxes of petitioners as follows:
Year Deficiency
1957 _$60,353.89
1958 _ 7,139.17
1959 _ 12,249.74
1960 _ 4,640.66
1961 _ 3,508.13
The only issue presented for our determination is whether certain property was “purchased” by Herrick L. Johnston on or before December 31, 1958, so as to constitute qualified replacement property within the provisions of section 1033(a) (3) (A) and (B) of the Internal Revenue Code of 1954,1 so that the gain realized by him on the involuntary conversion of other property in 1957, to the extent of…
2Cases cited8 opinions
- McFeely v. CommissionerSupreme Court of the United States · 1935
- Merrill v. CommissionerUnited States Tax Court · 1963
- Lucile McAulay Filippini, as of the Last Will and Testament of Carra McAulay Deceased v. United StatesCourt of Appeals for the Ninth Circuit · 1963
- George W. S. Swenson and Ruth E. Swenson v. Commissioner of Internal RevenueCourt of Appeals for the Eighth Circuit · 1962
- Swenson v. CommissionerUnited States Tax Court · 1961
3 more not listed; retrieve them via the Exa API.
3Cited by37 opinions
- Baird v. CommissionerUnited States Tax Court · 1977
- Deyoe v. CommissionerUnited States Tax Court · 1976
- Keith v. CommissionerUnited States Tax Court · 2000
- Margaret v. Dettmers, Estate of Herrick L. Johnston, Deceased, and Margaret v. Dettmers, Individually v. Commissioner of Internal RevenueCourt of Appeals for the Sixth Circuit · 1970
- Berger v. CommissionerUnited States Tax Court · 1996
32 more not listed; retrieve them via the Exa API.