Eastern Machinery Co. v. Under Secretary of War
United States Tax Court
1. The action of the Bureau of Internal Revenue in determining the reasonableness of salaries for petitioner's officers is not binding in a renegotiation case. 2. The petitioner's excessive profits are here redetermined in the amount originally determined by the respondent, the petitioner having failed to sustain its burden to show that they were less in amount and the respondent having failed to sustain his burden to show that they were greater in amount.
1Opinion of the Court
OPINION.
ARtjndell, Judge-.
Except for the includibility of sales to the Defense Plant Corporation, there was apparent agreement between the petitioner and the respondent, in the administrative stage of this proceeding, as to the gross amount of petitioner’s renegotiable sales. Petitioner now concedes that, under National Electric Welding Machines Co., 10 T. C. 49, Defense Plant sales are renegotiable, and it is therefore willing to stand by the figure of $406,691.65 as representing its renegotiable sales. The respondent admits in his answer that he used that figure in making his determination,…
2Cases cited1 opinion
- Nat'l Elec. Welding Machs. Co. v. StimsonUnited States Tax Court · 1948
3Cited by4 opinions
- A. C. Ball Co. v. United StatesUnited States Court of Claims · 1976
- Waltham Screw Co. v. Renegotiation BoardUnited States Tax Court · 1958
- Eastern Machinery Co. v. Under Secretary of WarUnited States Tax Court · 1949
- Waltham Screw Co. v. Renegotiation BoardUnited States Tax Court · 1958