Federal Tax

Gross Income: Tax Benefit, Claim of Right and Assignment of Income (Portfolio 502)

  • The Portfolio, Gross Income: Tax Benefit, Claim of Right and Assignment of Income, addresses three areas of gross income that are substantially judicial in origin and nature.

Description

The Bloomberg Tax Portfolio, Gross Income: Tax Benefit, Claim of Right and Assignment of Income, No. 502, addresses three areas of gross income that are substantially judicial in origin and nature. It analyzes in depth the nature, concept, scope, and application of the tax benefit doctrine, the claim of right doctrine, and the assignment of income doctrine.

The tax benefit doctrine excludes from a taxpayer’s gross income any recovery or refund of an amount deducted in a prior taxable year to the extent the deduction did not reduce tax liability.
Under the claim of right doctrine, a taxpayer must include in gross income for the year of receipt any income received under a claim of right free of restrictions.

Under the assignment of income doctrine, gross income from personal services must be included in the gross income of the person who rendered the services. In addition, under that doctrine, gross income from property must be included in the gross income of the person who beneficially owns the property.

The Worksheets include relevant legislative history for provisions discussed in detail and for which regulations have not yet been issued.

Table of Contents

I. Introduction
II. Tax Benefit Doctrine
III. Claim of Right Doctrine
IV. Assignment of Income

maule-james-2015
James Maule
Professor of Law, Emeritus
Villanova University School of Law
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