Philadelphia Carpet Co. v. United States

WELSH, District Judge.

This suit was brought to secure a refund of undistributed profit taxes paid by the plaintiff for the years 1936 and 1937. The facts as set forth in a stipulation of the parties are adopted as the findings of the Court. Those essential to a determination of the cause are restated briefly as follows:

1. The Philadelphia Carpet Company is a Pennsylvania corporation organized in 1904 with an authorized capital of $100,-000.

2. On November 1, 1912 the outstanding capital stock was $65,000 and the accumulated earnings and profits, $94,941.63 at which time the Board of Directors…