Public-domain · open source
OpenJurist

5 B.T.A. 198

Hellmers v. Commissioner

United States Board of Tax Appeals

Decided October 27, 1926

United States Board of Tax Appeals · decided 1926-10-27

Decided 1926-10-27

Trammell:

¶1This is a proceeding for the redetermination of a deficiency in income tax for the calendar year 1922 in the amount *199of $41.49. The deficiency arises through the action of the Commissioner in disallowing as an expense or loss $1,087.15, the amount paid in excess of the contract price of building a home.

¶2FINDINGS OF FACT.

¶3The taxpayer, during 1922, entered into a contract with a contractor to build a double house, one-half of which was for rental purposes. The contractor charged the taxpayer approximately $8,100 for the completed house. When completed the house was not worth in excess of $6,800.

¶4The taxpayer took as a deduction in'his income-tax return the difference between $6,800 and the cost which he was required to pay the contractor.

¶5 Judgment will be entered for the Commissioner.

M. J. HELLMERS, PETITIONER, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
Hellmers v. Commissioner
Docket No. 4680.
United States Board of Tax Appeals
5 B.T.A. 198; 1926 BTA LEXIS 2913;
October 27, 1926, Decided
*2913M. J. Hellmers pro se.
Henry Ravenel, Esq., for the respondent.

TRAMMELL

¶6*198 TRAMMELL: This is a proceeding for the redetermination of a deficiency in income tax for the calendar year 1922 in the amount *199 of $41.49. The deficiency arises through the action of the Commissioner in disallowing as an expense or loss $1,037.15, the amount paid in excess of the contract price of building a home.

¶7FINDINGS OF FACT.

¶8The taxpayer, during 1922, entered into a contract with a contractor to build a double house, one-half of which was for rental purposes. The contractor charged the taxpayer approximately $8,100 for the completed house. When completed the house was not worth in excess of $6,800.

¶9The taxpayer took as a deduction in his income-tax return the difference between $6,800 and the cost which he was required to pay the contractor.

¶10Judgment will be entered for the Commissioner.

/5/bta/198 · .json · Public domain