Old Equity Life Ins. Co. v. Commissioner
United States Tax Court
Petitioner is a stock life insurance company, taxable pursuant to the provisions of subch. L, I.R.C. 1954. Held, in computing its gain from operations, petitioner is entitled to use the 3-percent alternative deduction provided for under sec. 809(d)(5) for premiums received on certain guaranteed renewable accident and health policies during the years in issue, since such policies are "issued or renewed for periods of 5 years or more," as required by sec. 809(d)(5). Pacific…
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Petitioner is a stock life insurance company, taxable pursuant to the provisions of subch. L, I.R.C. 1954. Held, in computing its gain from operations, petitioner is entitled to use the 3-percent alternative deduction provided for under sec. 809(d)(5) for premiums received on certain guaranteed renewable accident and health policies during the years in issue, since such policies are "issued or renewed for periods of 5 years or more," as required by sec. 809(d)(5). Pacific Mutual Life Insurance Co., 413 F.2d 55 (9th Cir. 1969), revg. 48 T.C. 118 (1967), not followed.
1Opinion of the Court
Wilbur, Judge:
Respondent has determined deficiencies in petitioner’s Federal income tax as follows:
TYE Dec.31— Deficiency TYE Dec.31Deficiency
1964. $17,637.88 1969. $52,503.68
1965. 17,236.23 1970. 110,340.06
1966. 33,116.01 1971. 44,106.53
1968. 2,688.83
The issues presented for decision are (1) whether petitioner’s individual nonparticipating guaranteed renewable accident and health insurance contracts are "issued or renewed for periods of 5 years or more” within the meaning of section 809(d)(5),1 thereby entitling petitioner to the 3-percent deduction for premiums provided in such section and…
2Cases cited3 opinions
- Pacific Mut. Life Ins. Co. v. CommissionerUnited States Tax Court · 1967
- Commissioner of Internal Revenue v. Pacific Mutual Life Insurance CompanyCourt of Appeals for the Ninth Circuit · 1969
- United American Insurance v. United StatesUnited States Court of Claims · 1973
3Cited by1 opinion
- Old Equity Life Ins. Co. v. CommissionerUnited States Tax Court · 1976