Continental Nut Co. v. Commissioner
United States Tax Court
Property taxes were assessed against the petitioner, and petitioner's property was "sold" to the State of California pursuant to California law. During the period for the payment of the taxes in redemption of the property, the petitioner by law remained in possession and control of the property and was not restricted in its use thereof.
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Property taxes were assessed against the petitioner, and petitioner's property was "sold" to the State of California pursuant to California law. During the period for the payment of the taxes in redemption of the property, the petitioner by law remained in possession and control of the property and was not restricted in its use thereof. Held, the sale of the property to the State pursuant to California law did not effect a payment of a contested tax liability within the meaning of sec. 461(f), I.R.C. 1954.
1Opinion of the Court
OPINION
Qtjealy, Judge:
Respondent determined a deficiency in the Federal income tax return of the petitioner for the taxable year 1970 in the amount of $76,194.83.
The sole issue for determination is whether petitioner may properly accrue and deduct under section 461(f)1 certain property taxes which were in dispute during the years involved.
All of the facts have been stipulated, and the case was submitted for decision under Rule 122 of the Court’s Rules of Practice and Procedure.
Petitioner is a California corporation with its legal address in Chico, Calif. Petitioner kept its books and filed…
2Cases cited6 opinions
- United States v. AndersonSupreme Court of the United States · 1926
- United States v. Consolidated Edison Co. of NYSupreme Court of the United States · 1961
- In Re Application of SeickCalifornia Court of Appeal · 1920
- Weber v. WellsCourt of Appeals for the Ninth Circuit · 1946
- Glunt v. City & County of San FranciscoCalifornia Court of Appeal · 1969
1 more not listed; retrieve them via the Exa API.
3Cited by3 opinions
- Davies v. CommissionerUnited States Tax Court · 1993
- Continental Nut Co. v. CommissionerUnited States Tax Court · 1974
- Davies v. CommissionerUnited States Tax Court · 1993