
    Appeal of W. B. PACKMAN.
    Docket No. 734.
    Submitted July 15, 1925.
    Decided September 8, 1925.
    
      W. B. Packman, pro se.
    
      John D. Foley, Esq., for the Commissioner.
    Before Graupner, Trammell, and Phillips.
    Taxpayer appeals from the determination of a deficiency of $647.70 income tax for 1920.
    FINDINGS OE PACT.
    During the year 1919 taxpayer purchased a one-third interest in a farm known as the Wangen farm. In the same year a contract was entered into for the sale of these premises. The contract was carried out in 1920, the details of the consideration for the sale of the fee being as follows:
    Cash received in 1919-$1, 000
    Cask received in 1920---■— 12, 441
    First mortgage assumed by purchaser-16, 000
    Second mortgage given by purchaser as part payment on this property
    running for five years at 6 per cent-10, 000
    Total consideration--- 39, 441
    The Commissioner fixed the fair market value of the second mortgage at par and determined the profit to the taxpayer on his one-third interest to be $2,810.
    During the year 1919 taxpayer purchased a one-half interest in a farm known as the Alden farm. In the same year a contract was entered into for the sale of these premises. The contract was carried out in 1920, the details of the consideration for the sale of the fee being as follows:
    Cash received in 1919_ _ $1, 000
    Cash received in 1920_ 5, 535
    First mortgage assumed by purchaser_•_15, 000
    Second mortgage due in five years at 5%' per cent given by purchaser as part payment of property_ 7, 000
    Total consideration 28, 535
    
      The Commissioner fixed the fair market value of the second mortgage at par and determined the profit to the taxpayer on his one-half interest to be $1,550.
    During the year 1919 taxpayer purchased a one-half interest in a farm known as the Hoeck farm. In the same year a contract was entered into for the sale of these premises. The contract was carried out in 1920, the details of the consideration for the sale of the fee being as follows:
    Cash received in 1919_$1, 000
    Cash received in 1920-- 5, 800
    First mortgage assumed by purchaser_14,200
    Second mortgage assumed by purchaser_ 2, 000
    Third mortgage due in five years at 6 per cent given by purchaser as
    part payment of property_ 4, 000
    Total consideration_:_ 27, 000
    The Commissioner fixed the fair market value of the third mortgage at par and determined the profit to the taxpayer on his one-half interest to be $4,541.
    During the year 1920 taxpayer also sold property known as the Berggren farm in which he owned a one-half interest. As a part -of the consideration taxpayer received an unsecured note of the purchaser of $2,500, the value of which was fixed by the Commissioner at its face amount, and the profit to the taxpayer determined to be $1,258.88.
    DECISION.
    The determination of the Commissioner is approved.
   OPINION.

Phillips:

Taxpayer alleges that the Commissioner committed error in fixing the value of the real estate mortgages and the note received by the taxpayer upon these sales at their face value, and in determining the profit accordingly, but at the hearing no •competent evidence of the fair market value of these mortgages or the note was offered.

Taxpayer also claimed that the money to finance these transactions was furnished by his wife’s father upon the understanding that one-half of the profit should be the property of Mrs. Packman. The testimony, however, is insufficient satisfactorily to establish such an agreement.

Aiutndbll not participating.  