L. C. Bohart Plumbing & Heating Co. v. Commissioner
United States Tax Court
B Corp. adopted a plan of liquidation pursuant to which it distributed all of its assets to its sole shareholder within 24 months of adopting the plan. B Corp. did not designate any part of the distribution as a dividend. On its final Federal income tax return B Corp. did not identify itself as a personal holding company nor did it attach thereto Schedule PH which is required in the case of a personal holding company.
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B Corp. adopted a plan of liquidation pursuant to which it distributed all of its assets to its sole shareholder within 24 months of adopting the plan. B Corp. did not designate any part of the distribution as a dividend. On its final Federal income tax return B Corp. did not identify itself as a personal holding company nor did it attach thereto Schedule PH which is required in the case of a personal holding company. In the following year an agent of the Internal Revenue Service tentatively determined that B Corp. was a personal holding company and had undistributed personal holding company…
1Opinion of the Court
OPINION
Raum, Judge:
The Commissioner determined a deficiency of $19,611 in petitioner’s Federal income tax for its taxable period ended February 28, 1969. Petitioner is a personal holding company, subject to the 70-percent tax imposed by section 541, I.R.C. 1954, with respect to its undistributed personal holding company income. Under section 545, a personal holding company may reduce its undistributed personal holding company income by an amount equal to its dividends paid deduction, as described in section 561. At issue is whether, under section 316(b)(2)(B)(ii), the controlling definition…
2Cases cited27 opinions
- Commissioner v. South Texas Lumber Co.Supreme Court of the United States · 1948
- Bingler v. JohnsonSupreme Court of the United States · 1969
- Brewster v. GageSupreme Court of the United States · 1930
- Sanford v. CommissionerUnited States Tax Court · 1968
- William F. Sanford v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1969
22 more not listed; retrieve them via the Exa API.
3Cited by12 opinions
- Doggett v. CommissionerUnited States Tax Court · 1976
- Bell Realty Trust v. CommissionerUnited States Tax Court · 1976
- Horstmier v. CommissionerUnited States Tax Court · 1983
- Grasavage v. CommissionerUnited States Tax Court · 1979
- Warren E. And Marion F. Fletcher v. United StatesCourt of Appeals for the Ninth Circuit · 1982
7 more not listed; retrieve them via the Exa API.