Tyndall and his wife resided on a farm until 1960, when they gave the farm to their two sons. In 1953, Tyndall had formed a partnership with his sons called Tyndall farms, from which he received income as a partner, which he declared as self-employment income on his tax filings.

Tyndall turned 65 in 1960 and began drawing social security retirement benefits. He continued to generate self-employment income, both from Tyndall farms, as well as from a tobacco warehouse and later, as a lessee of another farm.

His income from self-employment was high enough to trigger deductions from his social security retirement benefits. He conceded that his income from the rental farm he operated gave rise to work deductions. However, he contested the inclusion of his income from Tyndall farms partnership on the grounds that he rendered no personal services to the partnership.

This argument was not found to be persuasive because he may well have rendered supervisory and/or advisory services to the partnership. This fact, coupled with his admitted work on a rented farm, was sufficient to trigger work deductions.

See Social Security Ruling (SSR) 68-6(c).

This material should not be construed as legal advice for any particular fact situation, but is intended for general informational purposes only. For advice specific to any individual situation, an experienced attorney should be contacted.