Home      Login


Revenue Ruling 2002-69 Concludes That LILOs Confer a Future Interest in Property, Not a Current Leasehold Interest  


Author:  James R. Shorter, Jr..


Source: Volume 20, Number 04, Summer 2003 , pp.327-361(35)




Journal of Taxation of Investments

next article > |return to table of contents

Abstract: 

The Ruling bases the future interest vs. current leasehold interest conclusion on a substance of over form analysis, under which the rights and obligations under the Head Lease and Sublease are offset because they are “of the same nature.” The Ruling relies primarily on a series of cases in which the courts, applying the doctrine of substance over form, recharacterize the timing of the parties’ contractual obligations or the obligations themselves.

Keywords: 

Affiliations:  1: Thacher Proffitt & Wood.

Subscribers click here to open full text in PDF.
Non-subscribers click here to purchase this article. $45

next article > |return to table of contents