Daniel F. Keller and Marilyn F. Keller v. Commissioner of Internal Revenue

McKAY, Circuit Judge.

This is an appeal from an en banc decision of the United States Tax Court, Keller v. Commissioner, 77 T.C. 1014 (1981), in which a ten-member majority held that income attributable to petitioner’s medical practice was taxable to his wholly-owned professional corporation rather than to him as an individual.

Petitioner, Daniel F. Keller, is a licensed physician who specializes in pathology and is licensed as a pathologist. In 1973 Dr. Keller incorporated Keller, Inc. under the Oklahoma Professional Corporation Act. At all times he was the sole shareholder and sole director…