§15 — Effect of changes
190 citing cases
Statute Text — 26 U.S.C. §15
If any rate of tax imposed by this chapter changes, and if the taxable year includes the effective date of the change (unless that date is the first day of the taxable year), then—
tentative taxes shall be computed by applying the rate for the period before the effective date of the change, and the rate for the period on and after such date, to the taxable income for the entire taxable year; and
the tax for such taxable year shall be the sum of that proportion of each tentative tax which the number of days in each period bears to the number of days in the entire taxable year.
For purposes of subsection (a)—
if a tax is repealed, the repeal shall be considered a change of rate; and
the rate for the period after the repeal shall be zero.
For purposes of subsections (a) and (b)—
if the rate changes for taxable years “beginning after” or “ending after” a certain date, the following day shall be considered the effective date of the change; and
if a rate changes for taxable years “beginning on or after” a certain date, that date shall be considered the effective date of the change.
This section shall not apply to any change in rates under subsection (f) of section 1 (relating to adjustments in tax tables so that inflation will not result in tax increases).
If the change referred to in subsection (a) involves a change in the highest rate of tax imposed by section 1 or 11(b), any reference in this chapter to such highest rate (other than in a provision imposing a tax by reference to such rate) shall be treated as a reference to the weighted average of the highest rates before and after the change determined on the basis of the respective portions of the taxable year before the date of the change and on or after the date of the change.
This section shall not apply to any change in rates under subsection (i) of section 1 (relating to rate reductions after 2000).
Treasury Regulations
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Treas. Reg. §1.15-1Changes in rate during a taxable year
(a) Section 21 applies to all taxpayers, including individuals and corporations. It provides a general rule applicable in any case where (1) any rate of tax imposed by chapter 1 of the Code upon the taxpayer is increased or decreased, or any such tax is repealed, and (2) the taxable year includes the effective date of the change, except where that date is the first day of the taxable year. For example, the normal tax on corporations under section 11(b) was decreased from 30 percent to 22 percent in the case of a taxable year beginning after December 31, 1963. Accordingly, the tax for a taxable year of a corporation beginning on January 1, 1964, would be computed under section 11(b) at the new rate without regard to section 21. However, for any taxable year beginning before January 1, 1964, and ending on or after that date, the tax would be computed under section 21. For additional circumstances under which section 21 is not applicable, see paragraph (k) of this section.
(b) In any case in which section 21 is applicable, a tentative tax shall be computed by applying to the taxable income for the entire taxable year the rate for the period within the taxable year before the effective date of change, and another tentative tax shall be computed by applying to the taxable income for the entire taxable year the rate for the period within the taxable year on or after such effective date. The tax imposed on the taxpayer is the sum of—
(1) An amount which bears the same ratio to the tentative tax computed at the rate applicable to the period within the taxable year before the effective date of the change that the number of days in such period bears to the number of days in the taxable year, and
(2) An amount which bears the same ratio to the tentative tax computed at the rate applicable to the period within the taxable year on and after the effective date of the change that the number of days in such period bears to the number of days in the taxable year.
(c) If the rate of tax is changed for taxable years “beginning after” or “ending after” a certain date, the following day is considered the effective date of the change for purposes of section 21. If the rate is changed for taxable years “beginning on or after” a certain date, that date is considered the effective date of the change for purposes of section 21. This rule may be illustrated by the following examples:
(d) If a tax is repealed, the repeal will be treated as a change of rate for purposes of section 21, and the rate for the period after the repeal (for purposes of computing the tentative tax with respect to that period) will be considered zero. For example, the Tax Reform Act of 1969 repealed section 1562, which imposed a 6 percent additional tax on controlled corporations electing multiple surtax exemptions, effective for taxable years beginning after December 31, 1974. For such controlled corporations having taxable years beginning in 1974 and ending in 1975, the rate for the period ending before January 1, 1975, would be 6 percent; the rate for the period beginning after December 31, 1974, would be zero. However, subject to the rules stated in this section, section 21 does not apply to the imposition of a new tax. For example, if a new tax is imposed for taxable years beginning on or after July 1, 1972, a computation under section 21 would not be required with respect to such new tax in the case of taxable years beginning before July 1, 1972, and ending on or after that date. If the effective date of the imposition of a new tax and the effective date of a change in rate of such tax fall in the same taxable year, section 21 is not applicable in computing the taxpayer's liability for such tax for such year unless the new tax is expressly imposed upon the taxpayer for a portion of his taxable year prior to the change in rate.
(e) If a husband and wife have different taxable years because of the death of either spouse, and if a joint return is filed with respect to the taxable year of each, then, for purposes of section 21, the joint return shall be treated as if the taxable years of both spouses ended on the date of the closing of the surviving spouse's taxable year. See section 6013 (c), relating to treatment of joint return after death of either spouse. Accordingly, if a change in the rate of tax is effective during the taxable year of the surviving spouse, the tentative taxes with respect to the joint return shall be computed on the basis of the number of days during which each rate of tax was in effect for the taxable year of the surviving spouse.
(f) Section 21 applies whether or not the taxpayer has a taxable year of less than 12 months. Moreover, section 21 applies whether or not the taxable income for a taxable year of less than 12 months is required to be placed on an annual basis under section 443. If the taxable income is required to be computed under section 443(b) then the tentative taxes under section 21 are computed as provided in paragraph (1) or (2) of section 443(b) and are reduced as provided in those paragraphs. The tentative taxes so computed and reduced are then apportioned as provided in section 21(a)(2) to determine the tax for such taxable year as computed under section 21.
(g) If a taxpayer has made the election under section 441(f) (relating to computation of taxable income on the basis of an annual accounting period varying from 52 to 53 weeks), the rules provided in section 441(f)(2) shall be applicable for purposes of determining whether section 21 applies to the taxable year of the taxpayer. Where a taxpayer has made the election under section 441(f) and where section 21 applies to the taxable year of the taxpayer the computation under section 21(a)(2) shall be made upon the basis of the actual number of days in the taxable year and in each period thereof.
(h)(1) Section 21 is applicable only if the rate of tax imposed by chapter 1 changes. Sections in which rates of tax are specified or incorporated by reference include the following: 1, 2, 3, 11, 511, 531, 541, 821, 831, 871, 881, 1201, and 1348 (for taxable years beginning after December 31, 1970). Except as provided in subparagraph (3) of this paragraph, section 21 is not applicable with respect to changes in the law relating to deductions from gross income, exclusions from or inclusions in gross income, or other items taken into account in determining the amount or character of income subject to tax. Moreover, section 21 is not applicable with respect to changes in the law relating to credits against the tax or with respect to changes in the law relating to limitations on the amount of tax. Section 21 is applicable, however, to all those computations specified in the section providing the rate of tax which are implicit in determining the rate. For example, if one of the tax brackets in the tax tables under section 3 were to be changed, section 21 would be applicable to that change. Thus, if the bracket relating to “at least $4,200 but not less than $4,250” for heads of households should be changed to increase or decrease the last sum specified, with corresponding changes being made in subsequent brackets, section 21 would be applicable. The enactment of sections 1561 and 1562 is considered a change in section 11(d) which constitutes a change in rate for the period ending after December 31, 1963. The amendment of section 1561 and the repeal of section 1562 by the Tax Reform Act of 1969 is considered a change in section 11(d) which constitutes a change in rate for the period ending after December 31, 1974. The repeal of the 2 percent additional tax imposed under section 1503 on corporations filing consolidated returns constitutes a change in rate for the period ending after December 31, 1963. The addition to the Code of section 1348 (relating to 50 percent maximum rate on earned income) is a change in rate to which section 21(a) is applicable. The amendment of section 11(d) by the Tax Reduction Act of 1975 which increases to $50,000 the surtax exemption for a taxable year ending during 1975 constitutes a change in rate for such portion of the taxable year (if less than the entire taxable year) as follows December 31, 1974. Similarly, the return of the surtax exemption to $25,000 for a taxable year ending during 1976 constitutes a change in rate for such portion of the taxable year (if less than the entire taxable year) as follows December 31, 1975.
(2) Ordinarily, both the old and the new rates are applied to the same amount of taxable income. However, where the rate of tax is itself taken into account in determining taxable income (for example, the special deduction for Western Hemisphere trade corporations under section 922), the taxable income used in determining the tentative tax employing the rate before the effective date of change shall be determined by reference to that rate of tax, and the taxable income for the purpose of determining the tentative tax employing the rate for the period on and after the effective date of the change shall be determined by reference to the new tax rate.
(3) Section 21 is applicable with respect to changes in the law relating to the standard deduction for individuals provided in part IV of subchapter B and to the deduction for personal exemptions for individuals provided in part V of subchapter B.
(i) If the rate of tax changes more than once during the taxable year, section 21 is applicable to each change in rate. For example, if the rate of normal tax changed for taxable years beginning on or after March 1, 1954, and changed again for taxable years beginning on or after June 1, 1954, section 21 requires computation of 3 tentative taxes for any taxable year which began before March 1, 1954, and ended on or after June 1, 1954: One tentative tax at the rate in effect before the March 1 change; another tentative tax at the rate in effect from March 1 to May 31; and a third tentative tax at the rate in effect from June 1 to the end of the taxable year. The proportion of each such tentative tax taken into account in determining the tax imposed on the taxpayer is computed by reference to the portion of the taxable year before March 1, 1954, by reference to the portion of the taxable year from March 1, 1954, through May 31, 1954, and by reference to the portion of the taxable year from June 1, 1954, to the end of the taxable year, respectively.
(j)(1) If a change in the rate of one tax imposed by chapter 1 of the Code does not affect the amount of other taxes imposed by chapter 1 of the Code the other taxes may be determined without regard to section 21 and section 21 will be applied only to the tax for which a change in rate is made. However, if the change of rate of one tax does affect the amount of other taxes imposed under chapter 1 of the Code, then the computation of the taxes under chapter 1 of the Code so affected shall be made by applying section 21. For example, if section 1201 applies to an individual taxpayer for a taxable year containing the effective date of a change in a rate of tax provided in section 1, then under section 21 the taxpayer must compute a tentative tax for each period for which a different rate of tax is effective under section 1. The tentative tax for each such period as computed under section 1201 will reflect the rate of tax provided by section 1 for such period.
(2) In certain cases chapter 1 of the Code provides that the particular tax to be imposed upon the taxpayer shall be one of several taxes, the basis of selection being the tax that is greater or lesser. See, for example, sections 821 and 1201. If in any such case the rate of any one of these taxes changes, then the tentative taxes computed as provided by section 21 for each period shall be computed employing the tax selected in accordance with the general rule of selection for such a case, at the rate of tax in effect for such period. Thus, if a change in the rate of the alternative tax under section 1201 is such that the alternative tax under section 1201 is applicable if the old rate is used and is not applicable if the new rate is used, one tentative tax will consist of the alternative tax under section 1201 and the other tentative tax will consist of the tax imposed by the other applicable sections of chapter 1 of the Code. The two tentative taxes so computed are then prorated in accordance with section 21(a)(2) and the sum of the proportionate amounts is the tax imposed for the taxable year under chapter 1 of the Code. See the examples in paragraph (n) of this section.
(k) Section 21 does not apply in the following situations:
(1) The provisions of section 21 do not apply to the imposition of the tax surcharge by section 51. The proration rules of section 51(a) apply in the case of a taxable year ending on or after the effective date of the surcharge and beginning before July 1, 1970.
(2) The provisions of section 21 do not apply to the imposition of the minimum tax for tax preferences by section 56. The proration rules of section 301(c) of the Tax Reform Act of 1969 (83 Stat. 586) apply in the case of a taxable year beginning in 1969 and ending in 1970.
(l) In computing the number of days each rate of tax is in effect during the taxable year for purposes of section 21(a)(2), the effective date of the change in rate shall be counted in the period for which the new rate is in effect.
(m) Any credits against tax, and any limitation in any credit against tax, shall be based upon the tax computed under section 21. For credits against tax, see part IV (section 31 and following), subchapter A, chapter 1 of the Code.
(n) The application of section 21 may be illustrated by the following examples: (See also the examples in § 1.1561-2A(a)(3).)
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Treas. Reg. §1.15-1(a)Section 21 applies to all taxpayers, including individuals and corporations.
Section 21 applies to all taxpayers, including individuals and corporations. It provides a general rule applicable in any case where (1) any rate of tax imposed by chapter 1 of the Code upon the taxpayer is increased or decreased, or any such tax is repealed, and (2) the taxable year includes the effective date of the change, except where that date is the first day of the taxable year. For example, the normal tax on corporations under section 11(b) was decreased from 30 percent to 22 percent in the case of a taxable year beginning after December 31, 1963. Accordingly, the tax for a taxable year of a corporation beginning on January 1, 1964, would be computed under section 11(b) at the new rate without regard to section 21. However, for any taxable year beginning before January 1, 1964, and ending on or after that date, the tax would be computed under section 21. For additional circumstances under which section 21 is not applicable, see paragraph (k) of this section.
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Treas. Reg. §1.15-1(b)In any case in which section 21 is applicable, a tentative tax shall be computed by applying to the taxable income for the entire taxable year the rate for the period within the taxable year before the effective date of change, and another tentative tax shall be computed by applying to the taxable income for the entire taxable year the rate for the period within the taxable year on or after such effective date.
In any case in which section 21 is applicable, a tentative tax shall be computed by applying to the taxable income for the entire taxable year the rate for the period within the taxable year before the effective date of change, and another tentative tax shall be computed by applying to the taxable income for the entire taxable year the rate for the period within the taxable year on or after such effective date. The tax imposed on the taxpayer is the sum of—
(1) An amount which bears the same ratio to the tentative tax computed at the rate applicable to the period within the taxable year before the effective date of the change that the number of days in such period bears to the number of days in the taxable year, and
(2) An amount which bears the same ratio to the tentative tax computed at the rate applicable to the period within the taxable year on and after the effective date of the change that the number of days in such period bears to the number of days in the taxable year.
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Treas. Reg. §1.15-1(c)If the rate of tax is changed for taxable years “beginning after” or “ending after” a certain date, the following day is considered the effective date of the change for purposes of section 21.
If the rate of tax is changed for taxable years “beginning after” or “ending after” a certain date, the following day is considered the effective date of the change for purposes of section 21. If the rate is changed for taxable years “beginning on or after” a certain date, that date is considered the effective date of the change for purposes of section 21. This rule may be illustrated by the following examples:
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Treas. Reg. §1.15-1(d)If a tax is repealed, the repeal will be treated as a change of rate for purposes of section 21, and the rate for the period after the repeal (for purposes of computing the tentative tax with respect to that period) will be considered zero.
If a tax is repealed, the repeal will be treated as a change of rate for purposes of section 21, and the rate for the period after the repeal (for purposes of computing the tentative tax with respect to that period) will be considered zero. For example, the Tax Reform Act of 1969 repealed section 1562, which imposed a 6 percent additional tax on controlled corporations electing multiple surtax exemptions, effective for taxable years beginning after December 31, 1974. For such controlled corporations having taxable years beginning in 1974 and ending in 1975, the rate for the period ending before January 1, 1975, would be 6 percent; the rate for the period beginning after December 31, 1974, would be zero. However, subject to the rules stated in this section, section 21 does not apply to the imposition of a new tax. For example, if a new tax is imposed for taxable years beginning on or after July 1, 1972, a computation under section 21 would not be required with respect to such new tax in the case of taxable years beginning before July 1, 1972, and ending on or after that date. If the effective date of the imposition of a new tax and the effective date of a change in rate of such tax fall in the same taxable year, section 21 is not applicable in computing the taxpayer's liability for such tax for such year unless the new tax is expressly imposed upon the taxpayer for a portion of his taxable year prior to the change in rate.
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Treas. Reg. §1.15-1(e)If a husband and wife have different taxable years because of the death of either spouse, and if a joint return is filed with respect to the taxable year of each, then, for purposes of section 21, the joint return shall be treated as if the taxable years of both spouses ended on the date of the closing of the surviving spouse's taxable year.
If a husband and wife have different taxable years because of the death of either spouse, and if a joint return is filed with respect to the taxable year of each, then, for purposes of section 21, the joint return shall be treated as if the taxable years of both spouses ended on the date of the closing of the surviving spouse's taxable year. See section 6013 (c), relating to treatment of joint return after death of either spouse. Accordingly, if a change in the rate of tax is effective during the taxable year of the surviving spouse, the tentative taxes with respect to the joint return shall be computed on the basis of the number of days during which each rate of tax was in effect for the taxable year of the surviving spouse.
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Treas. Reg. §1.15-1(f)Section 21 applies whether or not the taxpayer has a taxable year of less than 12 months.
Section 21 applies whether or not the taxpayer has a taxable year of less than 12 months. Moreover, section 21 applies whether or not the taxable income for a taxable year of less than 12 months is required to be placed on an annual basis under section 443. If the taxable income is required to be computed under section 443(b) then the tentative taxes under section 21 are computed as provided in paragraph (1) or (2) of section 443(b) and are reduced as provided in those paragraphs. The tentative taxes so computed and reduced are then apportioned as provided in section 21(a)(2) to determine the tax for such taxable year as computed under section 21.
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Treas. Reg. §1.15-1(g)If a taxpayer has made the election under section 441(f) (relating to computation of taxable income on the basis of an annual accounting period varying from 52 to 53 weeks), the rules provided in section 441(f)(2) shall be applicable for purposes of determining whether section 21 applies to the taxable year of the taxpayer.
If a taxpayer has made the election under section 441(f) (relating to computation of taxable income on the basis of an annual accounting period varying from 52 to 53 weeks), the rules provided in section 441(f)(2) shall be applicable for purposes of determining whether section 21 applies to the taxable year of the taxpayer. Where a taxpayer has made the election under section 441(f) and where section 21 applies to the taxable year of the taxpayer the computation under section 21(a)(2) shall be made upon the basis of the actual number of days in the taxable year and in each period thereof.
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Treas. Reg. §1.15-1(h)§1.15-1(h)
(1) Section 21 is applicable only if the rate of tax imposed by chapter 1 changes. Sections in which rates of tax are specified or incorporated by reference include the following: 1, 2, 3, 11, 511, 531, 541, 821, 831, 871, 881, 1201, and 1348 (for taxable years beginning after December 31, 1970). Except as provided in subparagraph (3) of this paragraph, section 21 is not applicable with respect to changes in the law relating to deductions from gross income, exclusions from or inclusions in gross income, or other items taken into account in determining the amount or character of income subject to tax. Moreover, section 21 is not applicable with respect to changes in the law relating to credits against the tax or with respect to changes in the law relating to limitations on the amount of tax. Section 21 is applicable, however, to all those computations specified in the section providing the rate of tax which are implicit in determining the rate. For example, if one of the tax brackets in the tax tables under section 3 were to be changed, section 21 would be applicable to that change. Thus, if the bracket relating to “at least $4,200 but not less than $4,250” for heads of households should be changed to increase or decrease the last sum specified, with corresponding changes being made in subsequent brackets, section 21 would be applicable. The enactment of sections 1561 and 1562 is considered a change in section 11(d) which constitutes a change in rate for the period ending after December 31, 1963. The amendment of section 1561 and the repeal of section 1562 by the Tax Reform Act of 1969 is considered a change in section 11(d) which constitutes a change in rate for the period ending after December 31, 1974. The repeal of the 2 percent additional tax imposed under section 1503 on corporations filing consolidated returns constitutes a change in rate for the period ending after December 31, 1963. The addition to the Code of section 1348 (relating to 50 percent maximum rate on earned income) is a change in rate to which section 21(a) is applicable. The amendment of section 11(d) by the Tax Reduction Act of 1975 which increases to $50,000 the surtax exemption for a taxable year ending during 1975 constitutes a change in rate for such portion of the taxable year (if less than the entire taxable year) as follows December 31, 1974. Similarly, the return of the surtax exemption to $25,000 for a taxable year ending during 1976 constitutes a change in rate for such portion of the taxable year (if less than the entire taxable year) as follows December 31, 1975.
(2) Ordinarily, both the old and the new rates are applied to the same amount of taxable income. However, where the rate of tax is itself taken into account in determining taxable income (for example, the special deduction for Western Hemisphere trade corporations under section 922), the taxable income used in determining the tentative tax employing the rate before the effective date of change shall be determined by reference to that rate of tax, and the taxable income for the purpose of determining the tentative tax employing the rate for the period on and after the effective date of the change shall be determined by reference to the new tax rate.
(3) Section 21 is applicable with respect to changes in the law relating to the standard deduction for individuals provided in part IV of subchapter B and to the deduction for personal exemptions for individuals provided in part V of subchapter B.
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Treas. Reg. §1.15-1(i)If the rate of tax changes more than once during the taxable year, section 21 is applicable to each change in rate.
If the rate of tax changes more than once during the taxable year, section 21 is applicable to each change in rate. For example, if the rate of normal tax changed for taxable years beginning on or after March 1, 1954, and changed again for taxable years beginning on or after June 1, 1954, section 21 requires computation of 3 tentative taxes for any taxable year which began before March 1, 1954, and ended on or after June 1, 1954: One tentative tax at the rate in effect before the March 1 change; another tentative tax at the rate in effect from March 1 to May 31; and a third tentative tax at the rate in effect from June 1 to the end of the taxable year. The proportion of each such tentative tax taken into account in determining the tax imposed on the taxpayer is computed by reference to the portion of the taxable year before March 1, 1954, by reference to the portion of the taxable year from March 1, 1954, through May 31, 1954, and by reference to the portion of the taxable year from June 1, 1954, to the end of the taxable year, respectively.
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Treas. Reg. §1.15-1(j)§1.15-1(j)
(1) If a change in the rate of one tax imposed by chapter 1 of the Code does not affect the amount of other taxes imposed by chapter 1 of the Code the other taxes may be determined without regard to section 21 and section 21 will be applied only to the tax for which a change in rate is made. However, if the change of rate of one tax does affect the amount of other taxes imposed under chapter 1 of the Code, then the computation of the taxes under chapter 1 of the Code so affected shall be made by applying section 21. For example, if section 1201 applies to an individual taxpayer for a taxable year containing the effective date of a change in a rate of tax provided in section 1, then under section 21 the taxpayer must compute a tentative tax for each period for which a different rate of tax is effective under section 1. The tentative tax for each such period as computed under section 1201 will reflect the rate of tax provided by section 1 for such period.
(2) In certain cases chapter 1 of the Code provides that the particular tax to be imposed upon the taxpayer shall be one of several taxes, the basis of selection being the tax that is greater or lesser. See, for example, sections 821 and 1201. If in any such case the rate of any one of these taxes changes, then the tentative taxes computed as provided by section 21 for each period shall be computed employing the tax selected in accordance with the general rule of selection for such a case, at the rate of tax in effect for such period. Thus, if a change in the rate of the alternative tax under section 1201 is such that the alternative tax under section 1201 is applicable if the old rate is used and is not applicable if the new rate is used, one tentative tax will consist of the alternative tax under section 1201 and the other tentative tax will consist of the tax imposed by the other applicable sections of chapter 1 of the Code. The two tentative taxes so computed are then prorated in accordance with section 21(a)(2) and the sum of the proportionate amounts is the tax imposed for the taxable year under chapter 1 of the Code. See the examples in paragraph (n) of this section.
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Treas. Reg. §1.15-1(k)§1.15-1(k)
Section 21 does not apply in the following situations:
(1) The provisions of section 21 do not apply to the imposition of the tax surcharge by section 51. The proration rules of section 51(a) apply in the case of a taxable year ending on or after the effective date of the surcharge and beginning before July 1, 1970.
(2) The provisions of section 21 do not apply to the imposition of the minimum tax for tax preferences by section 56. The proration rules of section 301(c) of the Tax Reform Act of 1969 (83 Stat. 586) apply in the case of a taxable year beginning in 1969 and ending in 1970.
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Treas. Reg. §1.15-1(l)In computing the number of days each rate of tax is in effect during the taxable year for purposes of section 21(a)(2), the effective date of the change in rate shall be counted in the period for which the new rate is in effect.
In computing the number of days each rate of tax is in effect during the taxable year for purposes of section 21(a)(2), the effective date of the change in rate shall be counted in the period for which the new rate is in effect.
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Treas. Reg. §1.15-1(m)Any credits against tax, and any limitation in any credit against tax, shall be based upon the tax computed under section 21.
Any credits against tax, and any limitation in any credit against tax, shall be based upon the tax computed under section 21. For credits against tax, see part IV (section 31 and following), subchapter A, chapter 1 of the Code.
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Treas. Reg. §1.15-1(n)The application of section 21 may be illustrated by the following examples: (See also the examples in § 1.
The application of section 21 may be illustrated by the following examples: (See also the examples in § 1.1561-2A(a)(3).)
190 Citing Cases
Finally, section 15 reaffirmed that “Title (ownership) [of the Dedicated Equipment] shall remain vested in NVT,” though Thermal would bear any risk while it possessed that property.
The term “installment sale” means a disposition of property where at least one payment is to be received after the close of the taxable year in which the disposition occurs. See id. para. (b)(1). Mr. Barney, however, elected out of the installment method, and respondent has denied Mr. Barney’s subsequent request to revoke this prior
§ 15a.453-1(d)(3)(i) (“A taxpayer who reports an amount realized equal to the selling price including the full face amount of any installment obligation on the tax 19 As mentioned supra note 3, petitioners now assert that they did not acquire ownership of the Merck & Co. and Colgate Palmolive FRNs; however, resolution of that dispute is not necessa
of Unified Collective. 13 The “safety valve” permits defendants who meet five requirements to be sentenced without regard to drug-quantity-based mandatory minimum penalty provisions. 2 Gerald F. Uelmen & Alex Kreit, Drug Abuse and the Law Sourcebook § 15:21 (2022). The safety valve is codified in 18 U.S.C. § 3553(f). A defendant can qualify for the safety valve by making a proffer that the five requirements in 18 U.S.C. § 3553(f) are satisfied. 2 Uelmen & Kreit, supra, at § 15:21; see also U.S.
Code §§ 15-101(a), 15-102(a) (2021). The Estate offered no evidence either before IRS Appeals or in this Court that it recorded the Judgment as contemplated by D.C. law. Nor does the Estate argue that Ms. Washington perfected a lien by any other means, such as by following the procedures described in D.C. Code § 15-301–323. The Estate argues that no reco
esponding to the preliminary award recommendation; (ii) A summary report that states a preliminary computation of the amount of collected proceeds, the recommended award percentage, the recommended award amount (even in cases when the application of section 15 [*15] 7623(b)(2) or section 7623(b)(3) results in a reduction of the recommended award amount to zero), and a list of the factors that contributed to the recommended award percentage; (iii) An award consent form; and (iv) A confidentiality
Judicial Estoppel Petitioner argues that respondent should bejudicially estopped from asserting that the section 15.2 ofthe deed is inconsistent with the proceeds regulation. Petitioner cites a District Court case in which the United States stipulated that the proceeds regulation's perpetuity requirement was satisfied in a clause containing the same text as section 15.2 ofthe deed in the instant case. M Joint Stipulation ofFacts for Purposes ofSummary Judgment, at 4, DMB Realco, LLC v. United St
15A.453-1(b)(2)(v), Temporary Income Tax Regs., 46 Fed. Reg. 10710 (Feb. 4, 1981). Interest is not part ofthe gross profit, and it is excluded from the selling price, the contract price, and the installment sale payment. I_d. subdiv. (ii), 46 Fed. Reg. 10709. The gross profit (realized or to be realized when - 92 - [*92] payment is completed)
Section 15.1 ofthe deed provides that, following ajudicial extinguishment, the donee shall be entitled to a portion ofthe proceeds "at least equal to the perpetual conservation restriction's proportionate value unless otherwise provided by Georgia law at that time." The deed provides: "This easement constitutes a real property interest
Section 15.1 ofthe deed provides that, following ajudicial extinguishment, the donee shall be entitled to a portion ofthe proceeds "at least equal to the perpetual conservation restriction's proportionate value unless otherwise provided by Georgia law at that time." The deed provides: "This easement constitutes a real property interest
15, "[a] division ofa corporation is not a separate entity but is the corporation itself"). There must be something unique to this situation for us to divert from that customary understanding. Accordingly, to reach our holding we - 24 - must examine the creation ofBLREDCo and the authority under which it seeks to be considered an entity separ
15, "[a] division ofa corporation is not a separate entity but is the corporation itself"). There must be something unique to this situation for us to divert from that customary understanding. Accordingly, to reach our holding we - 24 - must examine the creation ofBLREDCo and the authority under which it seeks to be considered an entity separ
.S. citizen working abroad for the U.S. Department ofState pursuant to a PSA, authorized under 22 U.S.C. sec. - 7 - 2669(c), was an employee covered by the statutoryprotections ofthe Age Discrimination in Employment Act of 1967, Pub. L. No. 90-202, sec. 15, 81 Stat. at 607 (codified as amended at 29 U.S.C. sec. 633a (2012))); see also 48 C.F.R. sec. 637.104-71(b) (2017) (defining a PSA as "a method ofemployment using the statutory authority under 22 U.S.C. [sec.] 2669(c)"). Petitioner has cited,
15.6, provides that "[a] captive insurance company may not make a loan to or an investment in its parent company or affiliated persons without prior written approval ofthe Registrar, and any such loan or investment shall be (continued...) - 44 - Commissioner began his omphaloskeptical review. Heritor communicated the information to the St. Ki
15.6, provides that "[a] captive insurance company may not make a loan to or an investment in its parent company or affiliated persons without prior written approval ofthe Registrar, and any such loan or investment shall be (continued...) - 44 - Commissioner began his omphaloskeptical review. Heritor communicated the information to the St. Ki
Section 15A.453- 1(d)(2)(i), Temporary Income Tax Regs., 46 Fed. Reg. 10717 (Feb. 4, 1981), states: "An installment obligation is considered to be property and is subject to valuation * * * without regard to whether the obligation is embodied in a note, an executory contract, or any other instrument, or is an oral promise enforceable under local la
- 55 - [*55] Except as provided in Section 15.03, amend this agreement.
Section 15.1 ofthe 2001 deed oftrust contains standard provisions that any transfer ofany interest in the property was prohibited without the consent ofHillcrest Bank and that a violation ofthe transfer prohibition would result in an event ofdefault. The 2001 deed oftrust also requires any amendment to be in writmg. - 27 - [*27] Through a series o
n that "[t]he intent to grant an easement must be so manifest on the face ofthe instrument . . . that no other construction can be placed on it." Fitzgerald Living Tr., 460 F.3d at 1267 (quoting 25 Am. Jur. 2d Easements And Licenses In Real Property § 15 (2004)). The 1976 Warranty Deed states "Grantors shall have access from remaining property in St. Paul Lode Mining Claim to low water mark ofabove described property." (Emphasis added.) The parties agree that the "low water mark" was located at
The determination is fact specific for each boat, but Coast Guard guidelines suggest that Heitmeier's staffing decisions were not out ofthe ordinary. See, e.g., The U.S. Coast Guard, Marine Safety Manual Vol. III: Marine Industry Personnel, B2-7 (2014), available at http://www.useg.mil/directives/cim/16000-16999/CIM_16000_8B.pdf. This
the $54,507 New York State overpayment is includable in their Federal taxable income, then they are liable for the accuracy-relatedpenalty. - 3 - [*3] Empire Zone Enterprise (QEZE) fortaxes paid on real property in an Empire Zone. See N.Y. Tax Law sec. 15 (McKinney 2014 & Supp. 2015). A business must submit an application in order to become a QEZE. A business may become eligible to claim various targeted tax credits ifits application is accepted, it operates within a designated area, and it mee
have provided no authority contradicting that statement. Moreover: "Generally, in the absence ofa statute otherwise providing, a signature may be affixed by writingby hand, by printing, by stampine, or by various other means." 80 C.J.S., Signatures, sec. 15 (2010) (emphasis added); ç(cid:16)25H4arper v. Commissioner, 99 T.C. 533, 548 (1992) ("A notice ofdeficiency is not invalid because it bears a stamped signature."). Respondent has satisfiedhis obligation under section 6203 to furnish petition
15.002 (West 2002). The parties settled all the issues in the Mantors' individual case except for some items that both parties agreed needed to be dismissed for lack ofjurisdiction, and we severed that individual case after trial. All that's left for us to decide then is whether Mantor and Smith generated bases in their partnership interests w
l ofthis case would lie absent aistipulationto the contrary, selling . expenses are treated as an adjustment to the seller's basis in the property. , Kirschenmann v. Commissioner, 488 F.2d 270, 272 (9th Cir. 1973), rev'g 57 T.C. 524 (1972); see also sec. 15A.453-1(b)(2)(v), Temporary Income Tax Regs., 46 Fed. Reg. 10710 (Feb. 4, 1981). Respondent argues that petitioners have not - 14 - [*14] proven the payments to Mrs. Friedman relate to expenses on the sale ofthe Corona property.9 Mr. Parker cr
We conclude that petitioner does not meet the requirements ofsection 15 (c)(1)(B) or (d)(1)(C)..
We understand the principle there to be that "stock" described in section 15D4(a)(4) has a limited claim on the earnings and equity ofthe issuer and, thus, is more akin to debt than to equity.
- 4 - Under section 152 (c) ( ) (A) the~term "qualifying child" means an individual "who bears a relationship to the taxpayer described in-paragraph (2 )1"7.6 i Anrirndividuah bears as-relationship to' a taxpayer for.purposes ofesection 15-2(c) (1):(A) if the indigidual, is 2"a child of the taapayer or a descendant«of asuch a.child" or, "atbrothet sister stépbrother, orfstepsister of the .taxpayer or a descendant of any such relative .
ion 6015(f), we apply a de novo standard of review and a de novo scope of review. A de novo standard of review means that the reviewing court must make an "'independent determination of the issues.'" 3 Childress & Davis, Federal Standards of Review, sec. 15.02, at 15-3 to 15-5 (4th ed. 2010) (quoting United States v. First City Natl. Bank, 386 U.S. - 20 - 361, 368 (1967)). Accordingly, we shall consider petitioner's request for relief under section 6015(f) on the merits. V. Rev. Proc. 2003-61 Th
ment has no merit. The statutes, caselaw, and regulations governing installment sales clearly make installment- method reporting the default method absent an affirmative election. See sec. 453(d) (1); Bolton v. Commissioner, 92 T.C. 303, 306 (1989); sec. 15a.453-1(d) (1), Temporary Income Tax Regs., 46 Fed. Reg. 10717 (Feb. 4, 1981). Notably, respondent provides no legal authority to support his argument. - 17 - during that year." To determine the capital gain, the seller multiplies- the total a
s (subject matter) jurisdiction is raised in the original action, * * * there is no reason why the determination of the issue should not therefore be conclusive Tinder the usual rules of issue preclusion.’” (quoting Restatement (second) of Judgments sec. 15, cmt. c at 154 (Tent. Draft No. 6, 1979) (emphasis supplied)). Privity for invoking collateral estoppel is supplied by sec. 6226(c)(1) (specifying that “each person who was a partner in such partnership at any time during such year shall be t
We hold it did not ; (2) whether Howard Slater (petitioner) participated in a nonqualified deferred compensation plan under section 409A .
15.705(a) (2004); 46 C.F.R. sec. 15.705(a) (2005). - 5 - 2. The Types of Work Days and the Frequency of Each Type Madsen lived in Bellingham, Washington. During ~2004 and 2005, all of Madsen's work was done while she was traveling away from her home.. We base our.description of each of her days of work on stipulated work schedules for 2004 an
Accordingly, we conclude that petitioner is entitled to a dependency exemption deduction for JT for 2006 because JT is petitioner's qualifying child within the definition of section 15;2 (c) Earned Income Credit .Subject to certain limitations, an eligible individual is allowed a tax credit calculated as a percentage of the individual's earned income .
Section 24(c)(1) defines the term "qualifying child" as "a qualifying child of the taxpayer (as defined in section 15,2(c)) who has.
Therefore, we hold that Mr .
The issues we c nsider turn on whether either o petitioner's daughte s was a dependent as defined in section 15 for .20031.
tax credit for each qualifying child of a taxpayer (as defined under section 15,2(c)) who i s under.17 years of age .
Section 15A.453-1(d)(3)(i), Temporary Income Tax Regs., 46 Fed. Reg. 10718 (Feb. 4, 1981), provides, in pertinent part: A taxpayer who reports an amount realized equal to the selling price including the full face amount of any installment obligation on the tax return filed for the taxable year in which the installment sale occurs will be considered
- 4 - While section 15~2 (e) provides for certain exceptions to thi s rule , none of t] ose exceptions applies to this .
ree. As described above, section 152(e) pröVides that the custodial parent is entitled to the exemption unless the noncustodial parent fits within one of the exceptions. We previously explained that petitioners do not come within the exception under section 15.2(e)(2). Petitioners do not fit within any of the other exceptions.3 +1 For the reasons set forth herein, respondent's determination is sustained. Reviewed and adopted as the r port of the Small Tax Case Division. Decision will be entered
The Manager shall not have any liability for the return of each Member’s capital contribution, which return shall be payable solely from the assets of the Company at the absolute discretion of the Manager, subject to the requirements of the Act and Section 15 hereof. * * * * * * * 18. Exculpation and Indemnification. a. No Member, Manager, Officer, employee or agent of the Company and no employee, representative, agent, shareholder or Affiliate of the Member or the Manager (collectively, the “Co
The Manager shall not have any liability for the return of each Member’s capital contribution, which return shall be payable solely from the assets of the Company at the absolute discretion of the Manager, subject to the requirements of the Act and Section 15 hereof. 18. Exculpation and Indemnification. a. No Member, Manager, Officer, employee or agent of the Company and no employee, representative, agent, shareholder or Affiliate of the Member or the Manager (collectively, the “Covered Persons
decision reached by the administrative agency; that is, the reviewing court may substitute its judgment for that of the agency (even if such court’s scope of review is the administrative record). See 2 Childress & Davis, Federal Standards of Review, sec. 15.02, at 15-3 – 15-4 (3d ed. 1999). - 44 - petitioner contends.3 Following respondent’s lead, the majority opinion and concurring opinion largely frame that issue in terms of whether the judicial review provisions of the Administrative Procedur
Disability Section Section 15 of the trust agreement (the disability section) 4 Sec.
son v. Commissioner, 118 T.C. 106, 113 (2002), affd. 353 F.3d 1181 (10th Cir. 2003). Section 6015 does not provide that re- spondent bears the burden of proof under section 6015(g)(2). We conclude that petitioner bears the burden of proof under that section. 15Petitioner argues, in the alternative, that respondent should be precluded from relying on sec. 6015(g)(2) because respondent did not raise that provision in respondent’s plead- ings. We reject petitioner’s alternative argument regarding s
ly to form two general partnerships, S and O. The partnerships engaged in financial transactions that were intended to satisfy the requirements of a contingent installment sale under I.R.C. sec. 453. Relying on the ratable basis recovery rules under sec. 15A.453-1(c), Temporary Income Tax Regs., 46 Fed. Reg. *This opinion supplements our previously filed Memorandum Opinion in Saba Pship. v. Commissioner, T.C. Memo. 1999-359, vacated and remanded 273 F.3d 1135 (D.C. Cir. 2001). - 2 - 10709 (Feb.
ly to form two general partnerships, S and O. The partnerships engaged in financial transactions that were intended to satisfy the requirements of a contingent installment sale under I.R.C. sec. 453. Relying on the ratable basis recovery rules under sec. 15A.453-1(c), Temporary Income Tax Regs., 46 Fed. Reg. *This opinion supplements our previously filed Memorandum Opinion in Saba Pship. v. Commissioner, T.C. Memo. 1999-359, vacated and remanded 273 F.3d 1135 (D.C. Cir. 2001). - 2 - 10709 (Feb.
r documents. Mecom v. (continued...) - 21 - in California, petitioner’s residence,7 see Smalley v. Baker, 69 Cal. Rptr. 521, 527 (Ct. App. 1968); Cal. Prob. Code sec. 812 (West Supp. 2002), and in most other States, see 1 Restatement, Contracts 2d, sec. 15 (1981), although a “compulsion” or “irresistible impulse” standard has been applied on occasion, see Faber v. Sweet Style Manufacturing Corp., 242 N.Y.S.2d 763 (Sup. Ct. 1963). Undue influence, taking advantage of a contracting party’s impaire
15A.453-1(b)(3)(i), Temporary Income Tax Regs., 46 Fed. Reg. 48920 (Oct. 5, 1981). In the context of a deferred exchange where cash or a cash equivalent provides security for the transfer of replacement property and is held in an escrow account or trust, the question arises whether, for purposes of applying the installment sale rules of sectio
See also Alaska Stat.
15A.453-1(d)(3)(i), Temporary Income Tax Regs., 46 Fed. Reg. 10718 (Feb. 4, 1981). Once made, an election cannot be revoked without the consent of the Secretary. Sec. 453(d)(3). Petitioner concedes that she reported the full amount realized from the sale of her residence on her 1995 tax return. She argues, however, that this was not a valid el
ary obligor”, guarantees the corporation’s obligations, may have been intended to create in petitioner (and his father) joint and several liability with the corporation for - 18 - repayment of the loan. See Restatement 3d, Suretyship and Guaranty, sec. 15 (1996) (Restatement). Nevertheless, petitioner’s guarantor (suretyship) status indicates that, as between the corporation and the petitioner, it is the corporation which ought to perform the underlying obligation or bear the cost of performance
defines an installment sale as "a disposition of property-where at least 1 payment is to be received after the close of the taxable year in which the disposition occurs." In pertinent part, section 453(f)(4) provides: "Receipt of a bond or other evidence of indebtedness which--(A) is payable on demand * * * shall be treated as receipt of payment." Section 15a.453-1(e)(1)(i), Temporary Income Tax Regs., 46 Fed.
Code Ann. sec. 5.01 (Vernon 1993). Under Texas law, community property consists of all property acquired by either spouse during marriage, except for property acquired by gift, devise, or descent, or (with certain exceptions) in recovery for personal injuries sustained by a spouse in marriage. Tex. Fam. Code Ann. sec. 5.01. Prope
We hold, therefore, that the profits arising from the - 23 - sale in question were income to the taxpayer in the year 1918.” Parish-Watson & Co.
osition of property on the installment method is made by the due date of the taxpayer's return for the year in which the disposition occurs and in the manner prescribed by the appropriate tax forms for that return. See Bolton v. Commissioner, supra; sec. 15A.453-1T(d)(3), Temporary Income Tax Regs., 46 Fed. Reg. 10718 (Feb. 4, 1981). Specifically, a taxpayer who reports an amount realized which - 4 - equals the selling price and includes the full face amount of any installment obligations receiv
Section 15 of the purchase agreement similarly stated: “TRAINING: Seller shall train buyer in the operation of the business”. On August 14, 1993, petitioners sent a letter to memorialize completion of this training which reads in part: “As of August 13, 1993, Sharon has completed the training with Priti in accordance with the requirements of our Pu
and O sold their PPNs and CDs for cash (80 percent) and LIBOR notes (20 percent). These transactions were intended to satisfy the requirements of a contingent installment sale under I.R.C. sec. 453. Relying on the ratable basis recovery rules under sec. 15A.453-1(c), Temporary - 2 - Income Tax Regs., 46 Fed. Reg. 10711 (Feb. 4, 1981), the partnerships applied one-sixth of their bases in the PPNs and CDs in computing their "gains" on the sales of the PPNs and CDs. Due to a large disparity in the
15.51(c) (West 1990); Justin Belt Co. v. Yost, 502 S.W.2d 681 (Tex. 1974). Thus we conclude the Noncompete Agreement reflected economic reality. Did the Parties Allocate $300,000 to the Covenant Not To Compete? The final and most difficult question concerns whether petitioner has shown that petitioner and Wagner agreed to allocate $300,000 to
The Trustee and any Successor Trustee hereunder shall have the fiduciary powers enumerated in Section 15-102 of the Estates and Trusts Article, Annotated Code of Maryland, as amended from time to time, specifically including the right to employ appropriate assistance in the administration of the Trust, including accountants, attorneys and invest- ment advisors.
partnership’s $170,267 gain on the 1991 sale of Store 5 as follows: $200,000 sales price for Store 5 less partnership’s depreciated tax basis in Store 5 and in the associated videos of $29,733 equals $170,267. - 13 - Law of Federal Income Taxation, sec. 15.05, at 21, 15.22, at 57 (1997 rev.). Although petitioners object to this adjustment to the partnership’s income for 1991, petitioners provide no basis for their objection. We sustain respondent’s adjustment. Rental Income During the years in i
and O sold their PPNs and CDs for cash (80 percent) and LIBOR notes (20 percent). These transactions were intended to satisfy the requirements of a contingent installment sale under I.R.C. sec. 453. Relying on the ratable basis recovery rules under sec. 15A.453-1(c), Temporary - 2 - Income Tax Regs., 46 Fed. Reg. 10711 (Feb. 4, 1981), the partnerships applied one-sixth of their bases in the PPNs and CDs in computing their "gains" on the sales of the PPNs and CDs. Due to a large disparity in the
lso determined in the deficiency notice that petitioner is liable for (1) additions to tax for fraud under section 6653(b)(1)(A) and (B) for 1987,16 (2) an addition to tax for fraud under section 6653(b) for 1988,17 and (3) a penalty for fraud under section 15 In the alternative, respondent contends that petitioner's return for 1990 is subject to the 6-year period of limitations applicable under sec.
15, does not denote physical or emotional harm to a person.) In Zimmerman v. HBO Affiliate Group, 834 F.2d 1163, 1169 (3d Cir. 1987), the Court of Appeals held in this regard as follows: A plaintiff seeking recovery under RICO must allege injury "in his business or property" caused by violation of the Act. In Reuter v. Sonotone, 442 U.S. 330,
the Dealerships nor the contract holders had access to the reserves or the right to control the actions of the Escrow Trustees. The escrow arrangement was therefore not an agency relationship. See generally 1 Restatement, supra sec. 8; Bogert, supra sec. 15, at 163, 168-169, 172-176. Cf. McCrory v. Commissioner, 69 F.2d 688, 689 (5th Cir. 1934), affg. 25 B.T.A. 994 (1932). We are satisfied that the PLRF accounts would qualify as trusts under general principles of law as well as the law of the pa
the Dealerships nor the contract holders had access to the reserves or the right to control the actions of the Escrow Trustees. The escrow arrangement was therefore not an agency relationship. See generally 1 Restatement, supra sec. 8; Bogert, supra sec. 15, at 163, 168-169, 172-176. Cf. McCrory v. Commissioner, 69 F.2d 688, 689 (5th Cir. 1934), affg. 25 B.T.A. 994 (1932). We are satisfied that the PLRF accounts would qualify as trusts under general principles of law as well as the law of the pa
the Dealerships nor the contract holders had access to the reserves or the right to control the actions of the Escrow Trustees. The escrow arrangement was therefore not an agency relationship. See generally 1 Restatement, supra sec. 8; Bogert, supra sec. 15, at 163, 168-169, 172-176. Cf. McCrory v. Commissioner, 69 F.2d 688, 689 (5th Cir. 1934), affg. 25 B.T.A. 994 (1932). We are satisfied that the PLRF accounts would qualify as trusts under general principles of law as well as the law of the pa
15A.453-1(b)(3)(i), Temporary Income Tax Regs., 46 Fed. Reg. 10710 (Feb. 4, 1981). Taxpayers are not entitled to report gain under the installment method if they directly or indirectly control the sales proceeds or receive the economic benefit therefrom. Roberts v. Commissioner, 643 F.2d 654, 656 (9th Cir. 1981) (citing Rushing v. Commissioner
15A.453-1(b)(3)(i), Temporary Income Tax Regs., 46 Fed. Reg. 10710 (Feb. 4, 1981). Taxpayers are not entitled to report gain under the installment method if they directly or indirectly control the sales proceeds or receive the economic benefit therefrom. Roberts v. Commissioner, 643 F.2d 654, 656 (9th Cir. 1981) (citing Rushing v. Commissioner
rns connected thereto were the result of a - 2 - carefully crafted and faithfully executed sequence of sophisticated and costly financial maneuvers that left little to chance or market opportunities. P used the contingent payment sale provisions of sec. 15a.453-1(c), Temporary Income Tax Regs., 46 Fed. Reg. 10711 (Feb. 4, 1981), to report the sale for Federal income tax purposes. In accordance therewith, P reported a large capital gain in the year of sale; most of this gain was allocated to A. I
property on the installment method is made by the due date of the taxpayer's return for the year in which the disposition occurs, and in the manner prescribed by the appropriate tax forms for that return. See Bolton v. Commissioner, supra; see also sec. 15A.453-1(d)(3), Temporary Income Tax Regs., 46 Fed. Reg. 10718 (Feb. 4, 1981). Specifically, a taxpayer who reports an amount realized equal to the selling price including the full face amount of any installment obligation on the tax return fil
15A.453-1(d)(3), Temporary Income Tax Regs., 46 Fed. Reg. 10718 (Feb. 4, 1981); see also Bolton v. Commissioner, 92 T.C. 303, 305-306 (1989). Respondent contends that petitioner’s disposition of the shares falls squarely within the definition of an installment sale, and, therefore, petitioners must report gain pursuant to the installment metho
Code Ann. sec. 5.01 (West 1993). Under that system, each spouse has a vested interest in, and is the owner of, one-half of all such property. Johnson v. Commissioner, 72 T.C. 340, 343 (1979). Consequently, a spouse is liable for the Federal income tax on the portion of any income that is community property. Id. A spouse, however,
s an installment sale under section 453.19 The installment method is not available for dispositions of personal property of a kind required to be included in the inventory of the taxpayer on hand at the close of the taxable year. Sec. 453(b)(2)(B); sec. 15A.453-1(b)(4), Temporary Income Tax Regs., 46 Fed. Reg. 10710 (Feb. 4, 1981). The installment method is also not available for a dealer disposition, sec. 453(b)(2)(A), which includes any disposition of real property held by the taxpayer for sal
s an installment sale under section 453.19 The installment method is not available for dispositions of personal property of a kind required to be included in the inventory of the taxpayer on hand at the close of the taxable year. Sec. 453(b)(2)(B); sec. 15A.453-1(b)(4), Temporary Income Tax Regs., 46 Fed. Reg. 10710 (Feb. 4, 1981). The installment method is also not available for a dealer disposition, sec. 453(b)(2)(A), which includes any disposition of real property held by the taxpayer for sal
MHLC and the Borrower agree that, except as otherwise provided in Section 15 hereof, payments due under the Note shall be made by the Lessee's payment of the rentals and other amounts due or to become due (including, without limitation amounts due as Stipulated Loss Value) under the Lease directly to MHLC; provided, however, that nothing contained herein shall be deemed to alter or diminish the Borrower's absolut
MHLC and the Borrower agree that, except as otherwise provided in Section 15 hereof, payments due under the Note shall be made by the Lessee's payment of the rentals and other amounts due or to become due (including, without limitation amounts due as Stipulated Loss Value) under the Lease directly to MHLC; provided, however, that nothing contained herein shall be deemed to alter or diminish the Borrower's absolut