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117 (1940); Lucas v. Earl, 281 U.S. 111, 114-115 (1930). An item
of income is considered "earned" when the taxpayer has a fixed
and determinable right to the income. Schneider v. Commissioner,
65 T.C. 18, 26-27 (1975). For a right to income to be fixed and
determinable "there can be no substantial contingency to * * *
[the] taxpayer's right of receipt or as to the certainty of the
amount to be received." Schneer v. Commissioner, 97 T.C. 643,
650 (1991). When income has been assigned to another, "The
choice of the proper taxpayer revolves around the question of
which person * * * in fact controls the earning of the income
rather than the question of who ultimately receives the income."
Vercio v. Commissioner, 73 T.C. 1246, 1253 (1980). To determine
who controls the earning of the income in the case before us, we
need only look to the general principle that the gain realized
from the sale of property is taxable to the owner of the
property. See Salvatore v. Commissioner, 434 F.2d 600 (2d Cir.
1970), affg. T.C. Memo. 1970-30.
Petitioner was the only individual with a property interest
in rooms 103 and 141. When petitioner, Palm View, and Seawall
executed the surrender agreement, they agreed on the amount of
moneys petitioner would receive in exchange for vacating rooms
103 and 141. Petitioner obtained a fixed and determinable right
to the income when he vacated rooms 103 and 141 and surrendered
the same to Seawall. Seawall was ready, willing, and able to
disburse the funds to petitioner. Petitioner does not deny that
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