Averill v. Commissioner
United States Board of Tax Appeals
The petitioner, a man of large resources and actively interested in many businesses operated in his city, devoted the usual business hours of each day to his affairs, maintaining an office and employees. It was his practice to operate each business venture through a corporation and not as a personal venture. Through the failure of one of such corporations he sustained a loss.
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The petitioner, a man of large resources and actively interested in many businesses operated in his city, devoted the usual business hours of each day to his affairs, maintaining an office and employees. It was his practice to operate each business venture through a corporation and not as a personal venture. Through the failure of one of such corporations he sustained a loss. Held that such loss resulted from the business of petitioner and may be considered in computing the amount of a net loss under section 204 of the Revenue Act of 1921.
1Opinion of the Court
*1198OPINION.
Phillips :
The sole issue in this proceeding is whether petitioner sustained a “ net loss ” in 1922 which may be carried forward and applied in 1923 and 1924 under the provisions of section 204 of the Revenue Act of 1921 and section 206 of the 'Revenue Act of 1924. The applicable provisions of these sections are as follows:
Sec. 204. (a) That as used in this section the term “net loss” means only net losses resulting from the operation of any trade or business regularly carried on by the taxpayer * * *.(b) If for any taxable year beginning after December 31, 1920, it appears upon the…
2Cited by4 opinions
- McGowan v. CommissionerUnited States Tax Court · 1964
- Averill v. CommissionerUnited States Board of Tax Appeals · 1930
- Dickinson v. Comm'rUnited States Tax Court · 1945
- Macy v. CommissionerUnited States Tax Court · 1949