Hutchens Metal Products, Inc. v. Bookwalter

R. JASPER SMITH, District Judge.

This is an action to recover income taxes alleged to have been overpaid by plaintiff for the calendar year 1951.

The principal question involved is whether plaintiff, as the surviving corporation in a statutory merger of two separate corporations, in computing its net income for the calendar year of 1951, is entitled to carry over and deduct net operative losses sustained by the merging corporation for 1950 and for that portion of 1951 prior to the date of the merger, under the provisions of Sections 23(s) and 122(b) (2) (B) of the Internal Revenue Code of 1939,…