Also known as: tax · taxes · taxed · taxing · taxable · levy
Written by attorneys · grounded in primary & secondary sources — see below
A compulsory contribution levied by a government on individuals or property to fund public expenditures.
Tiana Tan contracts to sell land to Tobias Thomas. Before closing a fire damages the property. Under equitable conversion the tax obligations for the executory period pass to Thomas as equitable owner. Thomas must pay the assessed property taxes even though Tan still holds legal title.
Congress enacts a statute imposing a uniform excise on imported goods to raise revenue for national defense. The legislation falls within the enumerated power to lay and collect taxes. Challengers cannot block the tax on the ground that it exceeds constitutional authority.
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Twin Rivers Bank obtains a judgment against a general partner based on a tax claim against the limited partnership. The bank attempts to execute against the general partner's personal assets. The court denies the levy because the partner is not personally liable and no statutory conditions for permission are met.
TechVista Solutions holds a judgment against a partner based on a tax claim against the partnership. The creditor seeks to levy on the partner's separate property. The court refuses the execution absent a showing that the partner is personally liable or that partnership assets are clearly insufficient.
Upon termination of a trust Theresa Tucker as trustee prepares to distribute assets to remainder beneficiaries. She retains a portion of the trust property to cover anticipated income and property taxes. The reserve prevents personal liability for unpaid tax obligations.
A lawyer is convicted of willfully attempting to evade income taxes. The disciplinary board imposes sanctions on the ground that the criminal conduct reflects adversely on honesty and fitness to practice. The sanction stands independently of the criminal sentence imposed.
Yes. Once a binding contract for the sale of land is formed the buyer is treated as the equitable owner. Tax obligations therefore shift to the buyer even though the seller retains legal title until closing.
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Article I Section 8 authorizes Congress to lay and collect taxes duties imposts and excises to pay debts and provide for the common defense and general welfare subject to the requirement of uniformity for duties imposts and excises.
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A judgment creditor must first obtain a judgment against the partnership and return a writ of execution unsatisfied. Only then may the creditor seek permission to levy on a partner's separate property if partnership assets are clearly insufficient.
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Yes. Upon termination the trustee must distribute trust property expeditiously but may retain a reasonable reserve for the payment of debts expenses and taxes before final distribution.
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Yes. Willful and knowing attempts to evade income taxes constitute criminal conduct that reflects adversely on honesty trustworthiness or fitness as a lawyer. Discipline may be imposed independently of any criminal sentence.
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…may force upon the woman a distressful life and future. Psychological harm may be imminent. Mental and physical health may be taxed by child care. There is also the distress, for all concerned, associated with the unwanted child, and there is the problem of bringing a child into a family already unable, psychologically…