Middlebrook v. Commissioner
United States Tax Court
Petitioner as of May 11, 1938, owned 455 shares of the 500 outstanding shares of stock of Metropolitan Buick Co. On July 12, 1938, he made a gift of 199 shares of stock to his wife and on March 8, 1939, he made a further gift of one share to her. The gifts were irrevocable and no condition of any kind was attached to them.
Read the full summary
Petitioner as of May 11, 1938, owned 455 shares of the 500 outstanding shares of stock of Metropolitan Buick Co. On July 12, 1938, he made a gift of 199 shares of stock to his wife and on March 8, 1939, he made a further gift of one share to her. The gifts were irrevocable and no condition of any kind was attached to them. On March 15, 1939, the corporation was dissolved and the petitioner, joined by his wife and the other remaining stockholder as the sole owners of the corporate assets, transferred them to a newly organized partnership composed of petitioner, his wife, and the other…
1Opinion of the Court
OPINION.
Black, Judge:
The principal issue in this proceeding is whether Virginia D. Middlebrook, petitioner’s wife, should be recognized in the taxable years 1941 to 1945 as a partner with her husband, the petitioner, and Harry E. Brown in a partnership doing business as Metropolitan Buick Co. Respondent does not dispute that the Metropolitan Buick Co. was operated as a partnership during the taxable years here in question and he has recognized petitioner and Harry E. Brown as partners, but has refused to give recognition to Virginia as a partner and has taxed her interest in the partnership…
2Cases cited6 opinions
- Commissioner v. CulbertsonSupreme Court of the United States · 1949
- Commissioner v. TowerSupreme Court of the United States · 1946
- Lusthaus v. CommissionerSupreme Court of the United States · 1946
- Reis v. CommissionerUnited States Tax Court · 1942
- Delchamps v. CommissionerUnited States Tax Court · 1949
1 more not listed; retrieve them via the Exa API.
3Cited by2 opinions
- Apt v. BirminghamDistrict Court, N.D. Iowa · 1950
- Middlebrook v. CommissionerUnited States Tax Court · 1949