Denison v. Commissioner of Internal Revenue

PER CURIAM.

This appeal, in which the Tax Court affirmed the conclusion of the Commissioner of Internal Revenue that for federal tax purposes the petitioner, John P. Denison, *939had no valid partnership with his wife during the taxable years 1942 and 1943, has been fully considered upon the whole record and upon the oral arguments and printed briefs of the parties;

And it appearing that there is substantial evidence to support the findings of fact of the Tax Court, and that these findings are not clearly erroneous, that neither petitioner nor his wife intended to conduct a bona fide, working partnership; that Mrs. Denison neither invested capital in the firm nor contributed to its management; that, as stated in the court’s opinion, the services of Mrs. Denison “constituted not the contribution of a partner but loyal assistance rendered by a wife to help her husband get started in his business”; that the large gross profits realized in 1942 and 1943 were due solely to petitioner’s management, services, and prior contribution of capital; and that he retained absolute command over the use of the firm’s assets and income;

And it appearing that, on its facts, the present case is distinguishable in material aspects from Weizer v. Commissioner, 6 Cir., 165 F.2d 722, and that the decision of the Tax Court is not contrary to any direction of the Supreme 'Court pronounced in Commissioner of Internal Revenue v. Culbertson, 337 U.S. 733, 69 S.Ct. 1210, indicating the proper criteria to be applied in husband and wife partnership tax cases;

The decision of the Tax Court is affirmed.