Van Camp Packing Co. v. Commissioner
United States Board of Tax Appeals
One member of an affiliated group bought shares of the capital stock of another affiliate and later sold some of the shares at an advance over the purchase price. Both transactions were with persons outside the affiliated group. Held, no taxable gain resulted from such sale. Farmers Deposit National Bank,5 B.T.A. 520, followed.
1Opinion of the Court
*257OPINION.
MaRqtjette :
The first assignment of error is conceded by the stipulation. Petitioner’s taxable net income for 1926 must, therefore, be reduced by $29,701.17.
The question left for our determination is whether the purchase and later sale of the capital stock of one affiliated corporation, made by another affiliate with persons not affiliated, resulted in gain or loss to the company making the same, and hence to the consolidated group. The transactions did not disturb the group affiliation.
*258The same question, upon factual conditions the same as appear here, was before us in Farmers…
2Cases cited1 opinion
- First Nat. Bank of Chicago v. United StatesSupreme Court of the United States · 1931
3Cited by5 opinions
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- Van Camp Packing Co. v. CommissionerUnited States Board of Tax Appeals · 1932