Erskine v. Commissioner
United States Board of Tax Appeals
The petitioner in 1922 entered into an agreement to work for the Studebaker Corporation exclusively for a period of between four and five years.
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The petitioner in 1922 entered into an agreement to work for the Studebaker Corporation exclusively for a period of between four and five years. The contract provided that the petitioner should receive a cash salary of $100,000 a year and "have the right and option to buy and receive" a certain number of the shares of preferred and common stock of the corporation, to be determined upon the basis of the annual profits, upon payment to the corporation of a nominal price per share. The corporation purchased the shares in the open market at a cost of several times the agreed price to the…
1Opinion of the Court
*154OPINION.
Smith :
The petitioner’s contentions in these proceedings, as stated in his brief, are as follows:(1) That no income [other than the $100,000 salary reported] was realized by him, except upon the sale oí the stock:.(2) Alternatively, if petitioner realized any income as compensation prior to the sale of the stock it was realized in the year 1922 when the contract was received to the extent of its then value (not less than $800,000.00) and that any subsequent appreciation in value would be a capital gain realizable upon sale.(3) Alternatively, if income was realized upon the purchase of…
2Cases cited13 opinions
- Lucas v. EarlSupreme Court of the United States · 1930
- Eisner v. MacOmberSupreme Court of the United States · 1920
- Eisner, Internal Revenue Collector v. MacOmberSupreme Court of the United States · 1919
- United States v. PhellisSupreme Court of the United States · 1921
- Weiss v. StearnSupreme Court of the United States · 1924
8 more not listed; retrieve them via the Exa API.
3Cited by23 opinions
- Divine v. CommissionerUnited States Tax Court · 1972
- Haag v. CommissionerUnited States Tax Court · 1963
- Commissioner of Internal Revenue v. Philip J. Lo BueCourt of Appeals for the Third Circuit · 1955
- Rossheim v. Commissioner of Internal RevenueCourt of Appeals for the Third Circuit · 1937
- Clark v. CommissionerUnited States Board of Tax Appeals · 1933
18 more not listed; retrieve them via the Exa API.