Ben Ginsburg Co. v. Commissioner
United States Board of Tax Appeals
Affiliated corporations filing a consolidated return under the provisions of the Revenue Act of 1926 are entitled to use as a deduction in determining consolidated net income for 1927 the loss of one of the group in 1926 when not affiliated, even although such last-named corporation still has a net loss in 1927 - (Alabama By-Products Corporation et al.,18 B.T.A. 919, followed).
1Opinion of the Court
*82OPINION.
Black:
This proceeding was submitted upon the pleadings. All the facts alleged by the petitioner are admitted by the respondent in his answer. The sole issue is whether petitioner is entitled to have $48,340.16, net loss of Mendelson <& Sussman Co. in 1926, used as a deduction in determining net income of the affiliated group in 1927.
The Revenue Act of 1926, section 206 (b), provides:
If, for any taxable year, it appears upon the production of evidence satisfactory to the Commissioner that any taxpayer has sustained a net loss, the amount thereof shall be allowed as a deduction in…
2Cited by4 opinions
- Ben Ginsburg Co. v. CommissionerUnited States Board of Tax Appeals · 1930
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