§101 — Certain death benefits
389 cases·32 followed·30 distinguished·8 questioned·6 criticized·4 limited·6 overruled·303 cited—8% support
Statute Text — 26 U.S.C. §101
Except as otherwise provided in paragraphs (2) and (3), subsection (d), subsection (f), and subsection (j), gross income does not include amounts received (whether in a single sum or otherwise) under a life insurance contract, if such amounts are paid by reason of the death of the insured.
In the case of a transfer for a valuable consideration, by assignment or otherwise, of a life insurance contract or any interest therein, the amount excluded from gross income by paragraph (1) shall not exceed an amount equal to the sum of the actual value of such consideration and the premiums and other amounts subsequently paid by the transferee. The preceding sentence shall not apply in the case of such a transfer—
if such contract or interest therein has a basis for determining gain or loss in the hands of a transferee determined in whole or in part by reference to such basis of such contract or interest therein in the hands of the transferor, or
if such transfer is to the insured, to a partner of the insured, to a partnership in which the insured is a partner, or to a corporation in which the insured is a shareholder or officer.
The term “other amounts” in the first sentence of this paragraph includes interest paid or accrued by the transferee on indebtedness with respect to such contract or any interest therein if such interest paid or accrued is not allowable as a deduction by reason of section 264(a)(4).
The second sentence of paragraph (2) shall not apply in the case of a transfer of a life insurance contract, or any interest therein, which is a reportable policy sale.
For purposes of this paragraph, the term “reportable policy sale” means the acquisition of an interest in a life insurance contract, directly or indirectly, if the acquirer has no substantial family, business, or financial relationship with the insured apart from the acquirer’s interest in such life insurance contract. For purposes of the preceding sentence, the term “indirectly” applies to the acquisition of an interest in a partnership, trust, or other entity that holds an interest in the life insurance contract.
If any amount excluded from gross income by subsection (a) is held under an agreement to pay interest thereon, the interest payments shall be included in gross income.
The amounts held by an insurer with respect to any beneficiary shall be prorated (in accordance with such regulations as may be prescribed by the Secretary) over the period or periods with respect to which such payments are to be made. There shall be excluded from the gross income of such beneficiary in the taxable year received any amount determined by such proration. Gross income includes, to the extent not excluded by the preceding sentence, amounts received under agreements to which this subsection applies.
An amount held by an insurer with respect to any beneficiary shall mean an amount to which subsection (a) applies which is—
held by any insurer under an agreement provided for in the life insurance contract, whether as an option or otherwise, to pay such amount on a date or dates later than the death of the insured, and
equal to the value of such agreement to such beneficiary
as of the date of death of the insured (as if any option exercised under the life insurance contract were exercised at such time), and
as discounted on the basis of the interest rate used by the insurer in calculating payments under the agreement and mortality tables prescribed by the Secretary.
This subsection shall not apply to any amount to which subsection (c) is applicable.
Any amount paid by reason of the death of the insured under a flexible premium life insurance contract issued before
January 1, 1985
shall be excluded from gross income only if—
under such contract—
the sum of the premiums paid under such contract does not at any time exceed the guideline premium limitation as of such time, and
any amount payable by reason of the death of the insured (determined without regard to any qualified additional benefit) is not at any time less than the applicable percentage of the cash value of such contract at such time, or
by the terms of such contract, the cash value of such contract may not at any time exceed the net single premium with respect to the amount payable by reason of the death of the insured (determined without regard to any qualified additional benefit) at such time.
For purposes of this subsection—
The term “guideline premium limitation” means, as of any date, the greater of—
the guideline single premium, or
the sum of the guideline level premiums to such date.
The term “guideline single premium” means the premium at issue with respect to future benefits under the contract (without regard to any qualified additional benefit), and with respect to any charges for qualified additional benefits, at the time of a determination under subparagraph (A) or (E) and which is based on—
the mortality and other charges guaranteed under the contract, and
interest at the greater of an annual effective rate of 6 percent or the minimum rate or rates guaranteed upon issue of the contract.
The term “guideline level premium” means the level annual amount, payable over the longest period permitted under the contract (but ending not less than 20 years from date of issue or not later than age 95, if earlier), computed on the same basis as the guideline single premium, except that subparagraph (B)(ii) shall be applied by substituting “4 percent” for “6 percent”.
In computing the guideline single premium or guideline level premium under subparagraph (B) or (C)—
the excess of the amount payable by reason of the death of the insured (determined without regard to any qualified additional benefit) over the cash value of the contract shall be deemed to be not greater than such excess at the time the contract was issued,
the maturity date shall be the latest maturity date permitted under the contract, but not less than 20 years after the date of issue or (if earlier) age 95, and
the amount of any endowment benefit (or sum of endowment benefits) shall be deemed not to exceed the least amount payable by reason of the death of the insured (determined without regard to any qualified additional benefit) at any time under the contract.
The guideline single premium and guideline level premium shall be adjusted in the event of a change in the future benefits or any qualified additional benefit under the contract which was not reflected in any guideline single premiums or guideline level premium previously determined.
For purposes of this subsection—
The terms “flexible premium life insurance contract” and “contract” mean a life insurance contract (including any qualified additional benefits) which provides for the payment of one or more premiums which are not fixed by the insurer as to both timing and amount. Such terms do not include that portion of any contract which is treated under State law as providing any annuity benefits other than as a settlement option.
The term “premiums paid” means the premiums paid under the contract less any amounts (other than amounts includible in gross income) to which section 72(e) applies. If, in order to comply with the requirements of paragraph (1)(A), any portion of any premium paid during any contract year is returned by the insurance company (with interest) within 60 days after the end of a contract year—
the amount so returned (excluding interest) shall be deemed to reduce the sum of the premiums paid under the contract during such year, and
notwithstanding the provisions of section 72(e), the amount of any interest so returned shall be includible in the gross income of the recipient.
The term “applicable percentage” means—
140 percent in the case of an insured with an attained age at the beginning of the contract year of 40 or less, and
in the case of an insured with an attained age of more than 40 as of the beginning of the contract year, 140 percent reduced (but not below 105 percent) by one percent for each year in excess of 40.
The cash value of any contract shall be determined without regard to any deduction for any surrender charge or policy loan.
The term “qualified additional benefits” means any—
guaranteed insurability,
accidental death benefit,
family term coverage, or
waiver of premium.
The payment of a premium which would result in the sum of the premiums paid exceeding the guideline premium limitation shall be disregarded for purposes of paragraph (1)(A)(i) if the amount of such premium does not exceed the amount necessary to prevent the termination of the contract without cash value on or before the end of the contract year.
In computing the net single premium under paragraph (1)(B)—
the mortality basis shall be that guaranteed under the contract (determined by reference to the most recent mortality table allowed under all State laws on the date of issuance),
interest shall be based on the greater of—
an annual effective rate of 4 percent (3 percent for contracts issued before
July 1, 1983
), or
the minimum rate or rates guaranteed upon issue of the contract, and
the computational rules of paragraph (2)(D) shall apply, except that the maturity date referred to in clause (ii) thereof shall not be earlier than age 95.
If the taxpayer establishes to the satisfaction of the Secretary that—
the requirements described in paragraph (1) for any contract year was not satisfied due to reasonable error, and
reasonable steps are being taken to remedy the error,
the Secretary may waive the failure to satisfy such requirements.
The Secretary shall prescribe such regulations as may be necessary or appropriate to carry out the purposes of this subsection.
For purposes of this section, the following amounts shall be treated as an amount paid by reason of the death of an insured:
Any amount received under a life insurance contract on the life of an insured who is a terminally ill individual.
Any amount received under a life insurance contract on the life of an insured who is a chronically ill individual.
If any portion of the death benefit under a life insurance contract on the life of an insured described in paragraph (1) is sold or assigned to a viatical settlement provider, the amount paid for the sale or assignment of such portion shall be treated as an amount paid under the life insurance contract by reason of the death of such insured.
The term “viatical settlement provider” means any person regularly engaged in the trade or business of purchasing, or taking assignments of, life insurance contracts on the lives of insureds described in paragraph (1) if—
such person is licensed for such purposes (with respect to insureds described in the same subparagraph of paragraph (1) as the insured) in the State in which the insured resides, or
in the case of an insured who resides in a State not requiring the licensing of such persons for such purposes with respect to such insured, such person meets the requirements of clause (ii) or (iii), whichever applies to such insured.
A person meets the requirements of this clause with respect to an insured who is a terminally ill individual if such person—
meets the requirements of sections 8 and 9 of the Viatical Settlements Model Act of the National Association of Insurance Commissioners, and
meets the requirements of the Model Regulations of the National Association of Insurance Commissioners (relating to standards for evaluation of reasonable payments) in determining amounts paid by such person in connection with such purchases or assignments.
A person meets the requirements of this clause with respect to an insured who is a chronically ill individual if such person—
meets requirements similar to the requirements referred to in clause (ii)(I), and
meets the standards (if any) of the National Association of Insurance Commissioners for evaluating the reasonableness of amounts paid by such person in connection with such purchases or assignments with respect to chronically ill individuals.
In the case of an insured who is a chronically ill individual—
Paragraphs (1) and (2) shall not apply to any payment received for any period unless—
such payment is for costs incurred by the payee (not compensated for by insurance or otherwise) for qualified long-term care services provided for the insured for such period, and
the terms of the contract giving rise to such payment satisfy—
the requirements of section 7702B(b)(1)(B), and
the requirements (if any) applicable under subparagraph (B).
For purposes of the preceding sentence, the rule of section 7702B(b)(2)(B) shall apply.
The requirements applicable under this subparagraph are—
those requirements of section 7702B(g) and section 4980C which the Secretary specifies as applying to such a purchase, assignment, or other arrangement,
standards adopted by the National Association of Insurance Commissioners which specifically apply to chronically ill individuals (and, if such standards are adopted, the analogous requirements specified under clause (i) shall cease to apply), and
standards adopted by the State in which the policyholder resides (and if such standards are adopted, the analogous requirements specified under clause (i) and (subject to section 4980C(f)) standards under clause (ii), shall cease to apply).
A payment shall not fail to be described in subparagraph (A) by reason of being made on a per diem or other periodic basis without regard to the expenses incurred during the period to which the payment relates.
For limitation on amount of periodic payments which are treated as described in paragraph (1), see section 7702B(d).
For purposes of this subsection—
The term “terminally ill individual” means an individual who has been certified by a physician as having an illness or physical condition which can reasonably be expected to result in death in 24 months or less after the date of the certification.
The term “chronically ill individual” has the meaning given such term by section 7702B(c)(2); except that such term shall not include a terminally ill individual.
The term “qualified long-term care services” has the meaning given such term by section 7702B(c).
The term “physician” has the meaning given to such term by section 1861(r)(1) of the Social Security Act (42 U.S.C. 1395x(r)(1)).
This subsection shall not apply in the case of any amount paid to any taxpayer other than the insured if such taxpayer has an insurable interest with respect to the life of the insured by reason of the insured being a director, officer, or employee of the taxpayer or by reason of the insured being financially interested in any trade or business carried on by the taxpayer.
Gross income shall not include any amount paid as a survivor annuity on account of the death of a public safety officer (as such term is defined in section 1204 of the Omnibus Crime Control and Safe Streets Act of 1968, as in effect immediately before the enactment of the National Defense Authorization Act for Fiscal Year 2013) killed in the line of duty—
if such annuity is provided, under a governmental plan which meets the requirements of section 401(a), to the spouse (or a former spouse) of the public safety officer or to a child of such officer; and
to the extent such annuity is attributable to such officer’s service as a public safety officer.
Paragraph (1) shall not apply with respect to the death of any public safety officer if, as determined in accordance with the provisions of the Omnibus Crime Control and Safe Streets Act of 1968—
the death was caused by the intentional misconduct of the officer or by such officer’s intention to bring about such officer’s death;
the officer was voluntarily intoxicated (as defined in section 1204 of such Act) at the time of death;
the officer was performing such officer’s duties in a grossly negligent manner at the time of death; or
the payment is to an individual whose actions were a substantial contributing factor to the death of the officer.
Gross income does not include amounts (whether in a single sum or otherwise) paid by an employer by reason of the death of an employee who is a specified terrorist victim (as defined in section 692(d)(4)).
Subject to such rules as the Secretary may prescribe, paragraph (1) shall not apply to amounts which would have been payable after death if the individual had died other than as a specified terrorist victim (as so defined).
Subparagraph (A) shall not apply to incidental death benefits paid from a plan described in section 401(a) and exempt from tax under section 501(a).
For purposes of paragraph (1), the term “employee” includes a self-employed individual (as defined in section 401(c)(1)).
The provisions of this subsection shall apply to any astronaut whose death occurs in the line of duty.
In the case of an employer-owned life insurance contract, the amount excluded from gross income of an applicable policyholder by reason of paragraph (1) of subsection (a) shall not exceed an amount equal to the sum of the premiums and other amounts paid by the policyholder for the contract.
In the case of an employer-owned life insurance contract with respect to which the notice and consent requirements of paragraph (4) are met, paragraph (1) shall not apply to any of the following:
Any amount received by reason of the death of an insured who, with respect to an applicable policyholder—
was an employee at any time during the 12-month period before the insured’s death, or
is, at the time the contract is issued—
a director,
a highly compensated employee within the meaning of section 414(q) (without regard to paragraph (1)(B)(ii) thereof), or
a highly compensated individual within the meaning of section 105(h)(5), except that “35 percent” shall be substituted for “25 percent” in subparagraph (C) thereof.
Any amount received by reason of the death of an insured to the extent—
the amount is paid to a member of the family (within the meaning of section 267(c)(4)) of the insured, any individual who is the designated beneficiary of the insured under the contract (other than the applicable policyholder), a trust established for the benefit of any such member of the family or designated beneficiary, or the estate of the insured, or
the amount is used to purchase an equity (or capital or profits) interest in the applicable policyholder from any person described in clause (i).
For purposes of this subsection, the term “employer-owned life insurance contract” means a life insurance contract which—
is owned by a person engaged in a trade or business and under which such person (or a related person described in subparagraph (B)(ii)) is directly or indirectly a beneficiary under the contract, and
covers the life of an insured who is an employee with respect to the trade or business of the applicable policyholder on the date the contract is issued.
For purposes of the preceding sentence, if coverage for each insured under a master contract is treated as a separate contract for purposes of sections 817(h), 7702, and 7702A, coverage for each such insured shall be treated as a separate contract.
For purposes of this subsection—
The term “applicable policyholder” means, with respect to any employer-owned life insurance contract, the person described in subparagraph (A)(i) which owns the contract.
The term “applicable policyholder” includes any person which—
bears a relationship to the person described in clause (i) which is specified in section 267(b) or 707(b)(1), or
is engaged in trades or businesses with such person which are under common control (within the meaning of subsection (a) or (b) of section 52).
The notice and consent requirements of this paragraph are met if, before the issuance of the contract, the employee—
is notified in writing that the applicable policyholder intends to insure the employee’s life and the maximum face amount for which the employee could be insured at the time the contract was issued,
provides written consent to being insured under the contract and that such coverage may continue after the insured terminates employment, and
is informed in writing that an applicable policyholder will be a beneficiary of any proceeds payable upon the death of the employee.
For purposes of this subsection—
The term “employee” includes an officer, director, and highly compensated employee (within the meaning of section 414(q)).
The term “insured” means, with respect to an employer-owned life insurance contract, an individual covered by the contract who is a United States citizen or resident. In the case of a contract covering the joint lives of 2 individuals, references to an insured include both of the individuals.
Treasury Regulations
- Treas. Reg. §Treas. Reg. §1.101-1 Exclusion from gross income of proceeds of life insurance contracts payable by reason of death
- Treas. Reg. §Treas. Reg. §1.101-1(a) §1.101-1(a)
- Treas. Reg. §Treas. Reg. §1.101-1(b) Transfers of life insurance policies.
- Treas. Reg. §Treas. Reg. §1.101-1(c) Reportable policy sale—(1) In general.
- Treas. Reg. §Treas. Reg. §1.101-1(d) Substantial relationship—(1) Substantial family relationship.
- Treas. Reg. §Treas. Reg. §1.101-1(e) Interest in a life insurance contract—(1) Definition.
- Treas. Reg. §Treas. Reg. §1.101-1(f) Definitions.
- Treas. Reg. §Treas. Reg. §1.101-1(g) Examples.
- Treas. Reg. §Treas. Reg. §1.101-1(i) Treatment of policy interest transferred to Partnership F.
- Treas. Reg. §Treas. Reg. §1.101-1(v) §1.101-1(v)
- Treas. Reg. §Treas. Reg. §1.101-2 Employees' death benefits
- Treas. Reg. §Treas. Reg. §1.101-2(a) If such amounts are paid under an annuity contract purchased by an employer which is an organization referred to in section 170(b)(1)(A) (ii) or (vi) or which is a religious organization (other than a trust) and which is exempt from tax under section 501(a).
- Treas. Reg. §Treas. Reg. §1.101-2(b) §1.101-2(b)
- Treas. Reg. §Treas. Reg. §1.101-2(c) If such “total payment” is paid in full within one taxable year of the payee beginning after December 31, 1957.
- Treas. Reg. §Treas. Reg. §1.101-2(d) Nonforfeitable rights.
- Treas. Reg. §Treas. Reg. §1.101-2(e) Annuity payments.
- Treas. Reg. §Treas. Reg. §1.101-2(f) Distributions on behalf of a self- employed individual.
- Treas. Reg. §Treas. Reg. §1.101-2(i) The exclusion from gross income provided by section 101(b) does not apply to amounts, paid as an annuity, with respect to which the employee possessed, immediately before his death, a nonforfeitable right to receive the amounts while living, or to amounts paid as an annuity in lieu thereof.
- Treas. Reg. §Treas. Reg. §1.101-2(v) Where more than one beneficiary, or more than one death benefit, is involved, the exclusion provided by section 101(b) shall be apportioned to the various beneficiaries and benefits in accordance with the proportion that the present value of each benefit bears to the total present value of all the benefits.
- Treas. Reg. §Treas. Reg. §1.101-3 Interest payments
- Treas. Reg. §Treas. Reg. §1.101-3(a) Applicability of section 101(c).
- Treas. Reg. §Treas. Reg. §1.101-3(b) Determination of “present value”.
- Treas. Reg. §Treas. Reg. §1.101-4 Payment of life insurance proceeds at a date later than death
- Treas. Reg. §Treas. Reg. §1.101-4(a) In general.
- Treas. Reg. §Treas. Reg. §1.101-4(b) Amount held by an insurer.
389 Citing Cases
57-47, supra, are not materially distinguishable from the.instant case.
Unlike the definition of the term “insolvent” in section 101(26) of the 1978 Bankruptcy Act, 11 U.S.C.
But the right is confined to the soil in its natural condition.
Instead, petitioner argues that the annuity payments are under the purview of section 101(b) and therefore are not taxable. Prior to repeal, section 101(b) read as follows: (b) EMPLOYEES’ DEATH BENEFITS.-- (1)General Rule.--Gross income does not include amounts received (whether in a single sum or otherwise) by the beneficiaries or the estate of an employee, if such amounts are paid by or on behalf of an employer and are paid by reason of the death of the employee. * * * However, this subsection
915 (1966), 16 U.S.C. secs. 470 and 470a (1994). - 1199 - distributed to not more than 10 charitable or educational institutions, to be selected by the trustee and the County Judge of Orange County, Florida. The District Court upheld a charitable deduction under section 2055. United States v. Leonhardt, supra, is distinguishable
ve the entire income tax from invalidation. Because we hold that petitioners have failed to persuade us as to the first of these three items, we do not explore the second and third items. items specifically excluded from gross income, see part III (sec. 101 and following). A. Different Categories of Income Nothing in the text of the constitutional provisions requires all income categories to be treated identically, or requires all income categories to be added together or of.fset, in the case of
ve the entire income tax from invalidation. Because we hold that petitioners have failed to persuade us as to the first of these three items, we do not éxplore the second and third items. items specifically excluded from gross income, see part III (sec. 101 and following). A. Different Categories of Income Nothing in the text of the constitutional provlslons requires all income categories to be treated identically, or requires all income categories to be added together or offset, in the case of
348, 1160. 24 The Secretary has promulgated regulations under section 41. Petitioners do not challenge the validity of these Treasury regulations. 42 [*42] (ii) the application of which is intended to be useful in the development of a new or improved business component of the taxpayer, and (C) substantially all of the activitie
As with other Jefferson Lab employees, 6 The designations for the pertinent varieties of nonimmigrant visas are derived from the respective subparagraphs, clauses, and subclauses of subsection (a)(15) (defining “immigrant” as “every alien” and listing the exceptions) in section 101 (“Definitions”) of the Immigration and Nationality Act, ch.
6 The designations for the pertinent varieties of nonimmigrant visas are derived from the respective subparagraphs, clauses, and subclauses of subsection (a)(15) (defining “immigrant” as “every alien” and listing the exceptions) in section 101 (“Definitions”) of the Immigration and Nationality Act, ch.
ties, interest, and other amounts collected based on information provided by Whistleblower” were “$179,672.20” and that the recommended award percentage was 1%, subject to a modest reduction under the Budget Control Act of 2011, Pub. L. No. 112-25, §§ 101–103, 125 Stat. 240, 241–46, as amended by the American Taxpayer Relief Act of 2012, Pub. L. No. 112-240, § 901, 126 Stat. 2313, 2370. The Report cited section 7623(b)(2) to justify the amount of the award and did not analyze the claim numbers i
l Archives and Record Service was transferred to the National Archives and Records Administration, which was established as an independent agency in the executive branch. National Archives and Records Administration Act of 1984, Pub. L. No. 98-497, sec. 101, 98 Stat. at 2280 (codified as amended at 44 U.S.C. sec. 2102 (2018)); National Archives and Records Administration Act of 1984, sec. 103(a), 98 Stat. at 2283. 50 Codified as amended at 44 U.S.C. sec. 1504 (Supp. IV 2017). 51 Codified as amen
730, 750–52 (1989) (applying common law agency principles to determine whether person was employee within the meaning of copyright law); Billy-Bob Teeth, Inc.
§ 101.501(a)(1), (7) (West 2011). Petitioners provided neither the list of ownership percentages nor the written statement, and that information is not otherwise contained within Co-Working’s articles of organization. Additionally, petitioners assert that, during taxable year 2011, they, on Getify’s behalf, made capital contributions to Co-Working
oner’s review. The Summary Report determined 2 Sequestration is a measure by which Congress enforces mandatory spending cuts across most government programs and agencies during the budgetary process. Budget Control Act of 2011, Pub. L. No. 112-25, §§ 101–103, 125 Stat. 240, 241–46, amended by American Taxpayer Relief Act of 2012, Pub. L. No. 112-240, § 901, 126 Stat. 2313, 2370 (codified as amended at 2 U.S.C. § 901(a) (2012)). The applicability of the sequestration and the sequestration percent
st government programs and agencies during the budgetary process. Sequestration applies to all nonexempt direct spending when Congress fails to enact certain budgetary legislation for the fiscal year. Budget Control Act of 2011, Pub. L. No. 112-25, §§ 101–103, 125 Stat. 240, 241–46, as amended by American Taxpayer 20 [*20] correctly explains how payments in excess of $10,000 are subject to a federal income tax withholding amount,16 reflecting a net payment amount (after withholdings) to be recei
Peti- tioner's counter-parties had contingent rights to payment from him because he was obligated to return their advances (with a premium) ifthe litigation they supported was successful. The counter-parties thus had "claims" against his estate for bank- ruptcy purposes, as the bankruptcy court reasoned. - 26 - [*26] For tax purpos
101 (2018) (defining "fixed" in the context oftitle 17). Petitioner does not contend, and the Court does not find, that the processed seismic data is an original work ofauthorship protected by U.S. copyright law. Rather, the processed data is more akin to a useful article, a category to which Congress has not extended copyright protection.2° T
rovide accurate information and documents on time", "to keep records", and "to pay taxes on time". NTA 2007 report at 488-489. -21- publish a TBOR along the lines proposed by Ms. Olson. H.R. 5716, 110th Cong., sec. 2 (2008); H.R. 5047, 111th Cong., sec. 101 (2010); S. 3215, 111th Cong., sec. 101 (2010); H.R. 6050, 112th Cong., sec. 101 (2012); S. 3355, 112th Cong., sec. 101 (2012). Each ofthose bills stated that the proposed TBOR would "not create or confer any rights or obligations not otherwis
101(b)(1), 88 Stat. at 2358. There is no reason to believe - 29 - that the Congress which enacted FETIA 35 years later focused on the clause in section 6305(a) excluding interest and additions to tax, let alone that it considered (but decided against) providing such an exclusion in section 6201(a)(4).¹² C. Tax Loss vs. Civil Tax Liability The
101(b)(1), 88 Stat. at 2358. There is no reason to believe - 29 - that the Congress which enacted FETIA 35 years later focused on the clause in section 6305(a) excluding interest and additions to tax, let alone that it considered (but decided against) providing such an exclusion in section 6201(a)(4).¹² C. Tax Loss vs. Civil Tax Liability The
101(c)(1), 95 Stat. at 183. ¹#The observation, in dictum, ofthe U.S. District Court for the Southern District ofOhio in Hubbard-Ragsdale, 15 F.2d at 411, that the use ofcapital by law firms and similar service businesses is "merely incidental" does not establish that a law firm that in fact has significant capital need not provide its owners w
rn for the economy, Congress enacted section 168(k), which granted a "special allowance" for qualified property acquired after September 10, 2001, and before January 1, 2005. See Job Creation and Worker Assistance Act of 2002, Pub. L. No. 107-147, sec. 101, 116 Stat. at 22. Section 167(a) offered a depreciation deduction for qualified property "for the taxable year in which such property is placed in service" which included an allowance equal to 30% ofthe adjusted basis ofthe qualified property
Petitioner contends that the dismissal ofthe instant cases would not violate the automatic stay under 11 U.S.C. sec. 362(a)(8) because 11 U.S.C. sec. 362(a)(8) stays the commencement or continuation ofan action, but not its dismissal. We are guided by the decisions ofa number ofother courts that have considered whether 3We note, howev
1401 (2006) (specifying who shall be nationals and citizens ofthe United States at birth); see also id.
, 1885 WL 4179 (1885); see also Large v. Clinchfield Coal Co., 387 S.E.2d 783, 786 (Va. 1990), and a right of way over the lands has been retained by the grantor, Powell, 60 S.E.2d at 899 (citing 1 Minor on Real Property (2d ed.), 1 Ribble, at 140, sec. 101); Jennings, 21 S.E.2d 769. These easements by necessity pass to the successors in title of the building, and they will not be extinguished by the destruction of the building but will survive and adhere to the new building the owner of the des
* * * Moreover, §§ 101 through 136 employ the same construction [as section 108] to exclude various items from gross income : "Gross income does not include .
* * * Moreover, §§ 101 through 136 employ the same construction [as section 108] to exclude various items from gross income : "Gross income does not include .
Section 61(a) provides that gross income means all income from whatever source derived, including "Interest" and "Income from life insurance ." Sec .
101 (1999); Fla. Stat. Ann. - 13 - sec. 826.01 (West 2006). While we believe that the State of Florida had no reason to suspect that the Florida marriage was void ab initio, we do not find that the subsequent annulment gave validity to either the marriage entered into in Florida or the cohabitation of petitioner and Mr. Khalil Aly in Delaware
101(10) (1994) (definition of “creditor”); id. sec. 502(a) (general rule regarding allowance of claims against the bankruptcy estate). Accordingly, if the debtor makes the sec. 1398(d)(2) election, his tax liability for the first short taxable year becomes an allowable claim against the bankruptcy estate as a claim arising prior to the bankrup
101(10) (1994) (definition of “creditor”); id. sec. 502(a) (general rule regarding allowance of claims against the bankruptcy estate). Accordingly, if the debtor makes the sec. 1398(d)(2) election, his tax liability for the first short taxable year becomes an allowable claim against the bankruptcy estate as a claim arising prior to the bankrup
essarily mean that the individual’s abode is in the United States. 20Sec. 911(d)(9) originally was designated sec. 911(d)(7) in sec. 111(a) of the Economic Recovery Tax Act of 1981, Pub. L. 97- 34, 95 Stat. 194. It was redesignated sec. 911(d)(8) by sec. 101(c)(1) of the Technical Corrections Act of 1982, Pub. L. 97- 448, 96 Stat. 2366, and then further redesignated sec. 911(d)(9) by sec. 1233(b) of TRA 1986, 100 Stat. 2564. 21Furthermore, the regulations would be valid under the (continued...)
101(10) (1994) (definition of “creditor”); id. sec. 502(a) (general rule regarding allowance of claims against the bankruptcy estate). Accordingly, if the debtor makes the sec. 1398(d)(2) election, his tax liability for the first short taxable year becomes an allowable claim against the bankruptcy estate as a claim arising prior to the bankrup
Respondent points out that section 101(b)(5) of the NGPA of 1978 provided that if any natural gas qualified under more than one provision of the NGPA, the provision which allowed the highest price applied.
101(c)(1), 95 Stat. 172, 183. (repealing sec. 804(a) of the Tax Reform Act of 1969). 30 In 1986, Congress repealed the income averaging provisions almost entirely (exception carved out for farming income). Tax Reform Act of 1986, Pub. L. 99-514, sec. 141(a), 100 Stat. 2085, 2117. Congress believed that changes to the individual income tax prov
hat (1) accepts demand deposits or deposits that the depositor may withdraw by check or similar means for payment to third parties and (2) engages in the business of making commercial loans. See 12 U.S.C. sec. 1841(c)(1) (1994), as amended by CEBA, sec. 101, 101 Stat. 554-557. Congress maintained certain express exclusions from the definition of the term “bank” and provided certain, additional limited exceptions for, among other institutions, credit card banks. See 12 U.S.C. sec. 1841(c)(2) (199
itary subsistence and uniform allowances and other amounts received as commutation of quarters are excluded from gross income. See sec. 1.61-2(b), Income Tax Regs. - 4 - The Reserve Officers' Training Corps Vitalization Act of 1964, Pub. L. 88-647, sec. 101, 78 Stat. 1063 (codified as amended at 10 U.S.C. section 2031 (1994)) provided for the establishment of JROTC units at public and private schools. Retired commissioned or noncommissioned officers may serve as instructors and administrators in
7806(b) (No inference, implication, etc., as to legal effects to be drawn from arrangement, classification, location, grouping, descriptive (continued...) - 36 - There’s a significant difference between COD under section 108, on the one hand, and items such as life insurance proceeds under section 101 and tax-exempt bond interest under section 103, on the other.
ng items:" and then lists 15 items specifically included in gross income. Section 61(b) provides: "For items specifically included in gross income, see part II (sec. 71 and following). For items specifically excluded from gross income, see part III (sec. 101 and following)." Section 79 uses the same articulation as section 83 in providing that the cost of employees' group-term life insurance "shall be included in the gross income" of employees. The same is true for reimbursed moving expenses und
1242 (1970), 21 U.S.C. secs. 801-971). On October 5, 1992, petitioners filed a Notice of Claim, claiming an interest in the seized real property, and an Answer to Complaint for Forfeiture in Rem and Demand for Jury Trial. On December 7, 1992, petitioners and the United States signed a Stipulation of Dismissal and Settlement Agree
There’s a significant difference between COD under section 108, on the one hand, and items such as life insurance proceeds under section 101 and tax-exempt bond interest under section 103, on the other.
ng items:” and then lists 15 items specifically included in gross income. Section 61(b) provides: “For items specifically included in gross income, see part II (sec. 71 and following). For items specifically excluded from gross income, see part III (sec. 101 and following).” Section 79 uses the same articulation as section 83 in providing that the cost of employees’ group term life insurance “shall be included in the gross income” of employees. The same is true for reimbursed moving expenses und
101 (1994) (a nonexclusive license is not within the definition of the term “transfer of copyright ownership”). Petitioner possessed all of the significant benefits and burdens of ownership with respect to those magnetic tapes. NTI simply did not retain a residuary interest in the NTI software load commensurate with an interest typically retai
101, 1983-1 C.B. at 745. The component method of depreciation is not permitted under ACRS. Sec. 168(f)(1).25 The component method of depreciation is 25 Sec. 168(f) provides in pertinent part as follows: SEC. 168(f) Special rules for application of this section. --For purposes of this section-- (1) Components of section 1250 class property.-- (
relating to interest) or sections 61(a)(10) and 101 (relating to insurance). Respondent argues that, as an illustration, death benefits are first realized under section 61(a)(10) and then certain death benefits are excluded, i.e., not recognized, by section 101. Respondent argues that no such realization occurs in the case of discharge of indebtedness. Section 61 requires that certain amounts be included in income, i.e., items of income. Specifically, section 61(a)(12) requires that income from
101, 1983-1 C.B. at 745. The component method of depreciation is not permitted under ACRS. Sec. 168(f)(1). The component method of depreciation is a method of depreciation that “fragments an item of property, often a building, into its elements (e.g., shell, plumbing, and wiring) and applies individual useful lives and salvage values to each s
101, 1983-1 C.B. at 745. The component method of depreciation is not permitted under ACRS. Sec. 168(f)(1).25 The component method of depreciation is 25 Sec. 168(f) provides in pertinent part as follows: SEC. 168(f) Special rules for application of this section. --For purposes of this section-- (1) Components of section 1250 class property.-- (
101 (1994) (a nonexclusive license is not within the definition of the term “transfer of copyright ownership”). Petitioner possessed all of the significant benefits and burdens of ownership with respect to those magnetic tapes. NTI simply did not retain a residuary interest in the NTI software load commensurate with an interest typically retai