Granite Constr. Co. v. Commissioner
United States Tax Court
1. Petitioner undertook large construction jobs in new and unfamiliar areas during the period 1932 to 1935. As a result of substantial losses incurred thereon, petitioner's capital and credit were impaired to the extent that it was allegedly unable to secure or undertake large construction contracts during the base period.
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1. Petitioner undertook large construction jobs in new and unfamiliar areas during the period 1932 to 1935. As a result of substantial losses incurred thereon, petitioner's capital and credit were impaired to the extent that it was allegedly unable to secure or undertake large construction contracts during the base period. Held: Petitioner's undertaking of contracts outside its normal field of operations does not constitute an event, during or immediately prior to the base period, of the sort contemplated by section 722 (b) (1), and petitioner is denied relief thereunder. 2. Held: Relief…
1Opinion of the Court
OPINION.
Van Fossan, Judge:
Petitioner alleges that its excess profits taxes for the calendar years 1940, 1941, 1942, 1943, and 1944 are excessive and discriminatory and here seeks relief under the provisions of section 722, Internal Revenue Code.1 Specifically, petitioner invokes subparagraphs (1), (2), (4), and (5) of section 722 (b).2
As noted in the findings of fact, petitioner is entitled to compute its excess profits credit by using the average earnings method provided in section 713 of the Code. Its average net income in the base period, 1936 to 1939, inclusive, was $1,752.48. Petitioner…
2Cases cited9 opinions
- Monarch Cap Screw & Mfg. Co. v. CommissionerUnited States Tax Court · 1945
- Wisconsin Farmer Co. v. CommissionerUnited States Tax Court · 1950
- Avey Drilling Machine Co. v. CommissionerUnited States Tax Court · 1951
- Foskett & Bishop Co. v. CommissionerUnited States Tax Court · 1951
- Toledo Stove & Range Co. v. CommissionerUnited States Tax Court · 1951
4 more not listed; retrieve them via the Exa API.
3Cited by59 opinions
- Ainsworth Mfg. Corp. v. CommissionerUnited States Tax Court · 1954
- Constitution Publishing Co. v. CommissionerUnited States Tax Court · 1954
- Mitchell & Co. v. CommissionerUnited States Tax Court · 1953
- Pratt & Letchworth Co. v. CommissionerUnited States Tax Court · 1954
- Empire Constr. Co. v. CommissionerUnited States Tax Court · 1959
54 more not listed; retrieve them via the Exa API.