Pebble Springs Distilling Co. v. Commissioner

OPINION.

Rice, Judge:

Respondent predicated his disallowance of the claimed net operating loss carry-back here on three grounds: (1) That the sale of petitioner’s noninventory assets was, in fact, made to Silberstein as representative of the controlling stockholder group, and that any loss thereon is barred by section 24 (b) (1) (B) of the 1939 Code;1 (2) that if the sale was, in fact, made to Old Peoria, petitioner’s transfer of its assets was pursuant to a plan of reorganization within the provisions of section 112 (b) (3) and (g) (1) (D)2 and no loss is, therefore, recognized; and (3) that…