Brink v. Commissioner
United States Tax Court
Petitioner in 1958 paid an amount in compromise of assessed income taxes, additions to tax, and interest and accrued but unassessed interest of her husband's estate, her own liability, and the liability of her daughter as transferee. The amount paid was less than the primary liabilities for assessed income taxes and additions to tax, excluding duplicate and transferee assessments.
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Petitioner in 1958 paid an amount in compromise of assessed income taxes, additions to tax, and interest and accrued but unassessed interest of her husband's estate, her own liability, and the liability of her daughter as transferee. The amount paid was less than the primary liabilities for assessed income taxes and additions to tax, excluding duplicate and transferee assessments. Held, since there is no showing that any portion of the amount paid in compromise was for interest on petitioner's liability, no portion of the payment is deductible by petitioner as interest paid in 1958.
1Opinion of the Court
OPINION.
Scott, Judge:
Respondent determined a deficiency in petitioner’s income tax for the year 1958 in the amount of $52,625.77. By amended answer, he claimed an increased deficiency of $1,841.11, mailing a total deficiency here involved of $54,466.88.
The issue for decision is whether petitioner is entitled to deduct all or any part of a payment made in compromise of a liability for assessed income tases, additions to tax and interest, and accrued but unassessed interest, where the amount paid was less than the total liability for the assessed income taxes and additions to tax.
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2Cases cited11 opinions
- Raytheon Production Corp. v. Commissioner of Int. Rev.Court of Appeals for the First Circuit · 1944
- Dean v. CommissionerUnited States Tax Court · 1961
- Commissioner of Internal Revenue v. SmithCourt of Appeals for the Second Circuit · 1953
- Smith v. CommissionerUnited States Tax Court · 1951
- Petit v. CommissionerUnited States Tax Court · 1947
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3Cited by16 opinions
- Davenport Recycling Assocs. v. CommissionerUnited States Tax Court · 1998
- Himmelwright v. CommissionerUnited States Tax Court · 1988
- Quinones v. CommissionerUnited States Tax Court · 1988
- Alt v. CommissionerUnited States Tax Court · 1994
- Nestle Holdings, Inc. v. CommissionerUnited States Tax Court · 2000
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