Northwest Utilities Sec. Corp. v. Commissioner
United States Board of Tax Appeals
A corporation executed a contract of sale for a large quantity of its capital assets, upon which it was paid a part of the purchase price in cash. Subsequently, it transferred such assets to trustees, who completed the sale by delivery of the assets to the purchaser and collecting the purchase price. Held, that the profits of the sale and income from the corpus, pending liquidation, constituted income of the corporation.
1Opinion of the Court
*526OPINION.
Lansdon :
The petitioner argues that it ceased to exist as a body corporate in 1929, in virtue of its failure to pay the state corporation tax, which omission, under the state laws, subjected its charter to forfeiture. It introduced no evidence at the hearing to establish either that its corporation tax for 1929 was not paid, or, if not, that a forfeiture of its charter rights was invoked by the state of its creation. In the absence of any evidence to support this contention, we sustain the act of the respondent in denying the loss claimed for 1929.
Petitioner contends that the…
2Cases cited8 opinions
- Morgan v. ForbesMassachusetts Supreme Judicial Court · 1920
- O'Brien v. BolandMassachusetts Supreme Judicial Court · 1896
- O. A. Olin Co. v. LambachIdaho Supreme Court · 1922
- Howe v. HaywardMassachusetts Supreme Judicial Court · 1871
- American Sugar Refining Co. v. Newnan Grocery Co.Court of Appeals for the Fifth Circuit · 1922
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3Cited by5 opinions
- Mackay v. CommissionerUnited States Board of Tax Appeals · 1934
- Whitney Realty Co. v. CommissionerUnited States Board of Tax Appeals · 1933
- Merchants Nat'l Bldg. Corp. v. CommissionerUnited States Board of Tax Appeals · 1941
- Northwest Utilities Sec. Corp. v. CommissionerUnited States Board of Tax Appeals · 1933
- Whitney Realty Co. v. CommissionerUnited States Board of Tax Appeals · 1933