Lambert's Point Tow Boat Co. v. Commissioner
United States Board of Tax Appeals
1. Claim for special assessment on account of intangible assets acquired by a corporation at the time of its incorporation, but not capitalized, disallowed for lack of proof establishing such right. 2. A high rate of earning during an unusually prosperous year, alone, is not evidence of abnormalities warranting special assessment. 3. Respondent's adjustments of invested capital on account of unpaid Federal taxes for prior years, paid in the taxable year, approved.
1Opinion of the Court
*1362OPINION.
Lansdon:
Petitioner claims a right to special assessment under the provisions of section 328 of the Revenue Acts of 1918 and 1921, upon the ground of abnormalities affecting its invested capital and income during the taxable year. The abnormalities in invested capital, it claims, result from its tailing over at the time of its organization a going business of great value, built up by John Twohy who, in connection therewith, enjoyed a virtual monopoly of the business of docking and undocking vessels at the coal piers from which he operated; and further claims that the good will built up…
2Cases cited3 opinions
- Willcox v. Consolidated Gas Co.Supreme Court of the United States · 1909
- Ryman v. KennedySupreme Court of Georgia · 1913
- Hirschberg v. BacherWisconsin Supreme Court · 1914
3Cited by1 opinion
- Lambert's Point Tow Boat Co. v. CommissionerUnited States Board of Tax Appeals · 1929