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Citing Suffolk County Patrolmen’s Association v.
Commissioner, 77 T.C. 1314 (1981), petitioner next argues that
the time and effort spent in the solicitation of advertising for
The Constabulary should not be considered in deciding whether its
trade or business is regularly carried on. Petitioner points to
our conclusion in that case that "nowhere in the regulations or
the legislative history of the tax on unrelated business income
is there any mention of time apart from the duration of the event
itself." Id. at 1323. Petitioner also points to the opinion of
the Tenth Circuit Court of Appeals in NCAA that the basketball
tournament "must be considered the actual time span of the
business activity sought to be taxed here". NCAA v.
Commissioner, 914 F.2d at 1423.
Petitioner argues that, even if BWE’s and McKnight’s
activities are attributed to petitioner, the mere employment of
an independent commercial firm does not itself render the trade
or business "regularly carried on" within the meaning of section
1.513-1(c)(1), Income Tax Regs. Finally, petitioner argues that
its intermittent activities were not conducted with the
5(...continued)
magazine and to sell advertising space therein on its behalf, was
found to be an active participant in the publication of the
magazine because it could appoint the executive editor, prepare
editorials and feature articles, oversee and control
solicitations of business listings, and control the bank account
and the reprint of articles.
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