AMW Investments, Inc. - Page 18

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          1977 individual income tax return did not report a sale of either           
          of the properties, and petitioner did not make any payments on              
          either of the properties until 1989.  Petitioner focuses on the             
          fact that it recorded debt on its books in connection with the              
          transfer.  We are not impressed.  Under the facts at hand,                  
          petitioner’s accounting entry lends little (if any) support for a           
          finding of debt.  See Raymond v. United States, supra at 191.               
          This is particularly true, given the fact that the parties did              
          not deal at arm's length.                                                   
               This factor is neutral.                                                
               ii.   Fixed Maturity Date                                              
               The presence of a fixed maturity date weighs toward debt,              
          but is not dispositive of a debtor-creditor relationship.                   
          American Offshore, Inc. v. Commissioner, 97 T.C. 579, 602 (1991).           
          The presence of a fixed maturity date may be offset by other                
          facts in the record.                                                        
               Although the Second Clarksville note bore a maturity date of           
          November 3, 1982, petitioner made no payments on this note until            
          1989.  Petitioner also made no payments for the Mishawaka                   
          property until 1989.  The timing of these payments indicates that           
          a debtor-creditor relationship was not contemplated by petitioner           
          and Mr. Mohney.  The presence of the fixed maturity date on the             
          Second Clarksville note is further downplayed by the fact that              
          Mr. Mohney did not pursue collection or inquire as to payment.              

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