Bank of America Nat'l Trust & Sav. Asso. v. Commissioner
United States Tax Court
Petitioner transferred legal title to eight of its banking premises to Capital Co. for a consideration which was less than the adjusted bases of the properties. Capital Co. was the wholly owned subsidiary of a holding company which owned a substantial interest in petitioner.
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Petitioner transferred legal title to eight of its banking premises to Capital Co. for a consideration which was less than the adjusted bases of the properties. Capital Co. was the wholly owned subsidiary of a holding company which owned a substantial interest in petitioner. Prior to the transfers, the parties agreed orally that title to the properties would be reconveyed on petitioner's command to petitioner, or to its wholly owned subsidiary, Merchants, in about 30 days for the same consideration as was originally advanced. During the time Capital Co. held title to the properties, it was…
1Opinion of the Court
OPINION.
Harron, Judge:
The issue in this proceeding is whether transfers by petitioner of the legal title to eight of its banking properties resulted in deductible losses under section 23 (f).
Petitioner contends (1) that the transfer? of properties to Capital were bona fide sales which resulted in deductible losses; and (2) that even if the transactions are viewed as sales of the properties by petitioner to Merchants, the fact that Merchants was a wholly owned subsidiary of petitioner does not require disallowance of the claimed deductions.
Respondent contends that the losses are not deductible…
2Cases cited11 opinions
- Gregory v. HelveringSupreme Court of the United States · 1935
- Higgins v. SmithSupreme Court of the United States · 1940
- Corliss v. BowersSupreme Court of the United States · 1930
- Old Colony Railroad v. CommissionerSupreme Court of the United States · 1932
- Weiss v. WeinerSupreme Court of the United States · 1929
6 more not listed; retrieve them via the Exa API.
3Cited by3 opinions
- May Dep't Stores Co. v. CommissionerUnited States Tax Court · 1951
- Bank of America Nat'l Trust & Sav. Asso. v. CommissionerUnited States Tax Court · 1950
- May Dep't Stores Co. v. CommissionerUnited States Tax Court · 1951