Legal Opinion

Wells v. Commissioner

United States Board of Tax Appeals

Decided October 31, 1933No. Docket No. 62948Published

Petitioner owned stock of corporation A. with other stockholders of that company he organized a new corporation, each subscribing to its stock in amounts equal to their holdings of A stock, and paying for the same in cash. At the same time the new corporation purchased from petitioner and the other stockholders their A company stock, paying for the same in cash.

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Petitioner owned stock of corporation A. with other stockholders of that company he organized a new corporation, each subscribing to its stock in amounts equal to their holdings of A stock, and paying for the same in cash. At the same time the new corporation purchased from petitioner and the other stockholders their A company stock, paying for the same in cash. Held, petitioner did not exchange old stock for new within the meaning of section 112(b)(5) of the Revenue Act of 1928, but made sale of one stock and purchase of another. Held, further, that petitioner sustained a deductible loss…

1Opinion of the Court

JAMES E. WELLS, PETITIONER, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.

Wells v. Commissioner

Docket No. 62948.

United States Board of Tax Appeals

29 B.T.A. 222; 1933 BTA LEXIS 971;

October 31, 1933, Promulgated

Petitioner owned stock of corporation A. with other stockholders of that company he organized a new corporation, each subscribing to its stock in amounts equal to their holdings of A stock, and paying for the same in cash. At the same time the new corporation purchased from petitioner and the other stockholders their A company stock, paying for the same in cash. Held, petitioner did…

2Cases cited1 opinion

  1. Wells v. CommissionerUnited States Board of Tax Appeals · 1933

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