Houston Chronicle Publishing Co. v. Commissioner
United States Tax Court
1. Petitioner, as a policyholder, received during the taxable years 1938 and 1939 certain refunds of premiums on policies of workmen's compensation insurance.
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1. Petitioner, as a policyholder, received during the taxable years 1938 and 1939 certain refunds of premiums on policies of workmen's compensation insurance. Held, the refunds represented ordinary income and not "dividends" as that term is used in section 26 (b) of the Revenue Act of 1938 and of the Internal Revenue Code. 2. During 1938 petitioner made certain net advances to a wholly owned subsidiary which had been insolvent since 1933 and was already indebted to petitioner in large amounts which it could not pay and which had been charged off as bad debts in prior years. In 1939 part of…
1Opinion of the Court
OPINION.
Black, Judge:
The first question is whether the refunds of premiums on policies of workmen’s compensation insurance in the amounts set out in our findings received by petitioner during the taxable years 1938 and 1939 from the Texas Employers’ Insurance Association, hereinafter sometimes referred to as the association, are in reality “dividends” as that term is used in section 26 (b) of the Revenue Act of 1938 and of the Internal Revenue Code. This section is substantially the same in both the act and the code, and the material portion thereof is set out in the margin as it appears in…
2Cases cited5 opinions
- Interstate Transit Lines v. CommissionerSupreme Court of the United States · 1943
- Middleton v. Texas Power & Light Co.Texas Supreme Court · 1916
- Texas Employers' Ins. Ass'n v. City of DallasCourt of Appeals of Texas · 1928
- Texas Employers Insurance v. RussellTexas Supreme Court · 1936
- Texas Employers Ins. Ass'n v. Humble Oil & Refining Co.Court of Appeals of Texas · 1937
3Cited by10 opinions
- New York Water Service Corp. v. CommissionerUnited States Tax Court · 1949
- Calavo, Inc., and Calavo Growers of California, Successor to Assets and Liabilities of Calavo, Inc. v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1962
- Mill Factors Corp. v. CommissionerUnited States Tax Court · 1950
- Drew v. CommissionerUnited States Tax Court · 1972
- Calavo, Inc. v. CommissionerUnited States Tax Court · 1960
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