Falkoff v. Commissioner
United States Tax Court
During 1966 petitioner was a partner in Empire, which in turn held a 22 1/2-percent limited partnership interest in Venture. From March of 1962 until June of 1966, the only other partner in Venture was ODE, a subsidiary of Interstate. On or about June 2, 1966, a group of investors acquired a portion of ODE's partnership interest in Venture and loaned Venture $ 3,500,000. None of the partners in Venture incurred any personal liability as a result of the loans.
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During 1966 petitioner was a partner in Empire, which in turn held a 22 1/2-percent limited partnership interest in Venture. From March of 1962 until June of 1966, the only other partner in Venture was ODE, a subsidiary of Interstate. On or about June 2, 1966, a group of investors acquired a portion of ODE's partnership interest in Venture and loaned Venture $ 3,500,000. None of the partners in Venture incurred any personal liability as a result of the loans. Venture distributed $ 274,275 to Empire. At about the same time, Empire received a loan of $ 500,000 from Jupiter, the parent…
1Opinion of the Court
FeatherstoN, Judge:
Respondent determined a deficiency of $104,-937.46 in petitioners’ income tax for 1966. The issues remaining for decision are as follows:(1) Whether petitioners’ pro rata share of the proceeds of a purported loan of $500,000 by the Jupiter Corp. to Empire Properties, a partnership of which petitioner Milton Falkoff was a member, was taxable income;(2) Whether petitioners’ pro rata share of a $274,275 distribution to Empire Properties from Venture, a partnership in which Empire Properties was a limited partner, was taxable as ordinary income; and(3) In the event the $274,275…
2Cases cited6 opinions
- Mayerson v. CommissionerUnited States Tax Court · 1966
- Stilwell v. CommissionerUnited States Tax Court · 1966
- Arlen v. Comm'rUnited States Tax Court · 1967
- The Estate of Robert B. Dupree, Robert P. Dupree, Independent v. United StatesCourt of Appeals for the Fifth Circuit · 1968
- Jamison v. United StatesDistrict Court, N.D. California · 1968
1 more not listed; retrieve them via the Exa API.
3Cited by18 opinions
- Minnis v. CommissionerUnited States Tax Court · 1979
- Covil Insulation Co. v. CommissionerUnited States Tax Court · 1975
- Frierdich v. CommissionerUnited States Tax Court · 1989
- Jupiter Corp. v. United StatesUnited States Court of Claims · 1983
- Burton v. CommissionerUnited States Tax Court · 1975
13 more not listed; retrieve them via the Exa API.