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filing status of "married, filing separate", and allowed
petitioner one personal exemption, as well as the standard
deduction.
Rental Income
Petitioner argues that a portion of the rental income he
received from Social Services was for properties he owned jointly
with his wife and therefore half the payments are not his income.
Under New York law, if property is held by a husband and
wife as tenants by the entireties, then each is entitled to one-
half of the rents and profits from such property. Kraus v.
Huelsman, 52 Misc.2d 807, 276 N.Y.S.2d 976 (Sup. Ct. 1967), affd.
287 N.Y.S.2d 365 (App. Div. 1968); Hiles v. Fisher, 39 N.E. 337
(N.Y. 1895); Colabella v. Commissioner, T.C. Memo. 1958-136.
Where, under State law, each property is owned by husband and
wife as tenants by the entireties, one-half of the resulting
income is taxable to each. Greene v. Commissioner, 7 T.C. 142,
152 (1946); Colabella v. Commissioner, supra.
We have found that petitioner and Mrs. Ritter owned 53 Mary
Street and 99-101 Robinson Street properties as tenants by the
entireties. Under New York law, petitioner and Mrs. Ritter were
entitled to share equally the rental income. It is thus
immaterial for tax purposes that petitioner received the rent in
his name only. Greene v. Commissioner, supra.
Accordingly, we hold that $4,105 and $3,838, which
represents half the rental income from the 53 Mary Street and 99-
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