- 34 -
individual would not have been favorable. See Wichita Terminal
Elevator Co. v. Commissioner, 6 T.C. at 1165.
We sustain respondent’s determination that petitioner’s
long-term capital loss on the Eureka Field Nursery Stock is $186
in 1991.
2. Short-Term Capital Loss
Respondent determined that petitioner incurred a bad debt
loss in 1991 of $22,714 due to unpaid shareholder loans by Eureka
Field Nursery when it ceased operations in 1991. On brief,
respondent argues that petitioner’s loss is $33,003.36
In his petition, petitioner asserted that respondent erred
in determining the amount of nonbusiness bad debt in 1991, but he
makes no arguments in his brief regarding this issue. Petitioner
asserts in his reply brief that respondent concedes the amount
stated, $22,714, but that the true amount in dispute is $60,36837
as set forth in “Petitioner’s Recap, Exhibit 1 hereto.” However,
36The amount of the loss is based on a $55,567 outstanding
shareholder loan reported on Schedule L of Eureka’s 1990 income
tax return with two modifications: An increase of $4,800 in 1990
and a decrease of $27,365 in 1991.
Petitioner does not dispute the $4,800 increase in
shareholder loans to $60,367 in 1990, and the $27,365 decrease in
shareholder loans in 1991 was stipulated by the parties. Thus,
the total loss is $33,003 ($55,567 + $4,800 = $60,367 - $27,365 =
$33,002. We note a $1 difference.).
37Apparently, petitioner neglected to reduce the total loan
amount due of $60,367 by the stipulated loan repayments totaling
$27,365. See supra note 36.
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