Glenn v. Commissioner
United States Tax Court
1. Petitioner in January 1933 transferred his home and other real property of less value to a corporation newly formed by him, in consideration of all of its stock, and hypothecated the stock to obtain listed stock which could be used as collateral with his creditors. Later he transferred life insurance and stock to the corporation. The corporation held the properties, but transacted no business.
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1. Petitioner in January 1933 transferred his home and other real property of less value to a corporation newly formed by him, in consideration of all of its stock, and hypothecated the stock to obtain listed stock which could be used as collateral with his creditors. Later he transferred life insurance and stock to the corporation. The corporation held the properties, but transacted no business. Held, on the facts, that the corporation should not be recognized as a taxable entity separate from the petitioner, and that there was no error in denying loss claimed upon liquidation of the…
1Opinion of the Court
OPINION.
Disney, Judge:
The major difference between the parties on the first issue, loss on liquidation of Investment Corporation, is whether such corporation should be recognized as an entity for the purpose of computing gain or loss to petitioner, resulting from the disposition of his stock of the corporation in liquidation proceedings.
It is the contention of the petitioner that Walhalla Investment Corporation had, and accomplished, a distinct business purpose, that is, to enable him to use its stock to obtain further collateral which petitioner could put up on his existing indebtedness and…
2Cases cited6 opinions
- Gregory v. HelveringSupreme Court of the United States · 1935
- Higgins v. SmithSupreme Court of the United States · 1940
- Moline Properties, Inc. v. CommissionerSupreme Court of the United States · 1943
- Interstate Transit Lines v. CommissionerSupreme Court of the United States · 1943
- Williams v. First Nat. Bank of Pauls ValleySupreme Court of the United States · 1910
1 more not listed; retrieve them via the Exa API.
3Cited by6 opinions
- James E. Caldwell & Co. v. CommissionerUnited States Tax Court · 1955
- Whitfield v. CommissionerUnited States Tax Court · 1950
- Czvizler v. CommissionerUnited States Tax Court · 1953
- Glenn v. CommissionerUnited States Tax Court · 1944
- James E. Caldwell & Co. v. CommissionerUnited States Tax Court · 1955
1 more not listed; retrieve them via the Exa API.