Atlas Storage Company, a Corporation v. United States of America, Atlas Storage Company, a Corporation v. United States

This is an appeal from a decision of the District Court sustaining the action of the Commissioner of Internal Revenue in disallowing surtax exemptions for fifteen of the eighteen warehouse corporations controlled by William J. Maier, Jr., and located in Charleston and Clarks-burg, West Virginia, and Columbus, Ohio. The District Court found after an extensive hearing that the principal purpose for the formation of the fifteen corporations was tax avoidance, and consequently that under § 269 of the Internal Revenue Code of 1954 these taxpayers were not entitled to the benefit of the surtax…