Columbia Theatre Co. v. Commissioner
United States Board of Tax Appeals
1. Stockholders surrendered and authorized the cancellation of certain notes evidencing money advanced by them to a corporation. Held, that, in the circumstances of this appeal, the amount of the notes so surrendered and canceled became paid-in surplus from the date of such surrender and cancellation. 2. In response to proper corporate action stockholders paid in to a corporation certain assessments.
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1. Stockholders surrendered and authorized the cancellation of certain notes evidencing money advanced by them to a corporation. Held, that, in the circumstances of this appeal, the amount of the notes so surrendered and canceled became paid-in surplus from the date of such surrender and cancellation. 2. In response to proper corporate action stockholders paid in to a corporation certain assessments. Held, that such payments were additions to paid-in surplus. 3. During the period required for the construction of buildings on leased land, such construction being a condition of the lease, a…
1Opinion of the Court
*626OPINION.
Lansdon:
This appeal involves the correct determination of the statutory invested capital of a group of affiliated companies, which made a consolidated income and profits-tax return for the year 1919 through the taxpayer, which is the parent corporation. The questions involved must be resolved by ascertaining the correct invested capital of the Mid-City Realty Co. and the Middleton Theatre Co.
The Mid-City Realty Co. had capital paid in for shares in the amount of $100,000, concerning which there is no controversy. The taxpayer contends that the amounts of $75,000 loaned to the company…
2Cases cited2 opinions
- United States v. Oregon-Washington R. & Nav. Co.Court of Appeals for the Second Circuit · 1918
- Lincoln Chemical Co. v. EdwardsCourt of Appeals for the Second Circuit · 1923
3Cited by15 opinions
- Shainberg v. CommissionerUnited States Tax Court · 1959
- Southern Natural Gas Company v. The United StatesUnited States Court of Claims · 1969
- Southern Ry. v. CommissionerUnited States Board of Tax Appeals · 1933
- Jones v. CommissionerUnited States Tax Court · 1963
- Central Real Estate Co. v. CommissionerUnited States Board of Tax Appeals · 1929
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