Barnett Banks of Florida, Inc. and Subsidiaries - Page 16

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          powers in determining whether accounting methods used by a                  
          taxpayer clearly reflect income.  Commissioner v. Hansen, 360               
          U.S. 446, 467 (1959).                                                       
               Where accrual method taxpayers have received advance                   
          payments for services and have unrestricted access to those                 
          funds, courts have upheld respondent's determinations that these            
          payments are to be included in income in the year of receipt.               
          Schlude v. Commissioner, 372 U.S. 128 (1963); American Automobile           
          Association v. United States, 367 U.S. 687 (1961);  Automobile              
          Club of Michigan v. Commissioner, 353 U.S. 180 (1957); RCA Corp.            
          v. United States, 664 F.2d 881 (2d Cir. 1981); Angelus Funeral              
          Home v. Commissioner, 407 F.2d 210 (9th Cir. 1969), affg. 47 T.C.           
          391 (1967); S. Garber, Inc. v. Commissioner, 51 T.C. 733 (1969);            
          Popular Library, Inc. v. Commissioner, 39 T.C. 1092 (1963).  But            
          cf. Artnell Co. v. Commissioner, 400 F.2d 981 (7th Cir. 1968),              
          revg. and remanding 48 T.C. 411 (1967); Boise Cascade Corp. v.              
          United States, 208 Ct. Cl. 619, 530 F.2d 1367 (1976); Collegiate            
          Cap & Gown Co. v. Commissioner, T.C. Memo. 1978-226.  While                 
          respondent focuses on such cases, particularly the Supreme                  
          Court's Schlude-American Automobile Association-Automobile Club             
          of Michigan trilogy, petitioner does not challenge them.                    
          Petitioner instead relies upon exceptions thereto that respondent           
          has chosen to make administratively.                                        
               Petitioner's case is squarely based on Rev. Proc. 71-21,               
          1971-2 C.B. 549, the use of which it says should be available to            




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