Bell Realty Trust v. Commissioner
United States Tax Court
Held, T corp. was not a mere conduit in respect of certain interest payments received by it; such payments were includable in its own "gross income," with the consequence that it qualified as a personal holding company under sec. 542, I.R.C. 1954, and thereby became subject to the special tax imposed by sec. 541 on its undistributed personal holding company income.
1Opinion of the Court
OPINION
The ultimate issue in this case is whether, for the taxable years, petitioner was a “personal holding company.” If so, then it was subject to the 70-percent tax imposed by section 541,1.R.C. 1954, on the undistributed personal holding company income of every personal holding company, and, as the parties have stipulated, there are deficiencies in the amounts determined by the Commissioner. Section 542(a) defines “personal holding company” to mean any corporation satisfying the following requirements:(1) Adjusted ordinary gross income requirement. — At least 60 percent of its adjusted…
2Cases cited11 opinions
- O'Sullivan Rubber Co. v. Commissioner of Int. Rev.Court of Appeals for the Second Circuit · 1941
- Pleasanton Gravel Co. v. CommissionerUnited States Tax Court · 1975
- Knestis v. Unemployment Compensation & Placement DivisionWashington Supreme Court · 1943
- Coshocton Sec. Co. v. CommissionerUnited States Tax Court · 1956
- Cedarburg Canning Co. v. Commissioner of Int. Rev.Court of Appeals for the Seventh Circuit · 1945
6 more not listed; retrieve them via the Exa API.
3Cited by9 opinions
- Peters v. CommissionerUnited States Tax Court · 1981
- Lake Gerar Development Co. v. CommissionerUnited States Tax Court · 1979
- Krueger Co. v. CommissionerUnited States Tax Court · 1982
- Bell Realty Trust v. CommissionerUnited States Tax Court · 1976
- Blair Holding Co. v. CommissionerUnited States Tax Court · 1980
4 more not listed; retrieve them via the Exa API.