1980 Tax Ct. Memo LEXIS 436 | Tax Ct. | 1980
MEMORANDUM OPINION
HALL,
All of the facts have been stipulated and are found accordingly.
Petitioners resided in Danville, California, when they filed their return.
On April 21, 1976, petitioners sold certain rental property for $72,142.08. Petitioners' basis in the property at the time of sale was $27,298.78. Petitioners realized $44,843.30 long-term capital gain on the sale which they reported on their joint return. Petitioners deducted 50%1980 Tax Ct. Memo LEXIS 436">*437 of this long-term capital gain, $22,421.65, as a capital gain deduction under section 1202. 1 Petitioners did not report this gain as an item of tax preference under section 57(a)(9)(A), nor did petitioners' return reflect the inclusion of the minimum tax with respect to this item.
At the time petitioners sold their rental property they were not under any compulsion to do so.
The sole issue presented is whether the amendments to the minimum tax provisions under the Tax Reform Act of 1976, enacted in October 1976, are retroactively applicable to petitioners' sale of their rental property in April 1976. This identical issue was decided for respondent in our recent case of
For the reasons stated in
Footnotes
1. All section references are to the Internal Revenue Code of 1954, as in effect during the year in issue.↩