Chamberlin v. Commissioner
United States Tax Court
Income -- Stock Dividend. -- The petitioners received a pro rata dividend paid in shares of preferred of the distributing corporation on its voting common, the only class then outstanding, pursuant to a prearranged plan embracing the authorization of the new preferred on terms imposed by insurance companies which agreed to purchase them for a stated consideration if, as, and when issued, the issuance thereof as a stock dividend, and the concurrent sale thereof for cash to…
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Income -- Stock Dividend. -- The petitioners received a pro rata dividend paid in shares of preferred of the distributing corporation on its voting common, the only class then outstanding, pursuant to a prearranged plan embracing the authorization of the new preferred on terms imposed by insurance companies which agreed to purchase them for a stated consideration if, as, and when issued, the issuance thereof as a stock dividend, and the concurrent sale thereof for cash to petitioners. Held, that the purposes of the issuance of the preferred was concurrently to place that issue in the hands of…
1Opinion of the Court
OPINION.
Tietjens, Judge:
The petitioners contend that the essential facts material to a decision are that the Metal Company had only one class of stock outstanding, namely, voting common, on December 28, 1946, on which date it distributed a pro rata stock dividend of its preferred shares; that thus the facts herein parallel those in Strassburger v. Commissioner, 318 U. S. 604; and that accordingly the rule in the cited case is conclusive of the present controversy in favor of petitioners. We do not agree. Without discussing the Strassburger case at the present time, it is our opinion that the…
2Cases cited7 opinions
- Eisner v. MacOmberSupreme Court of the United States · 1920
- Helvering v. GowranSupreme Court of the United States · 1937
- Towne v. EisnerSupreme Court of the United States · 1918
- Koshland v. HelveringSupreme Court of the United States · 1936
- Bazley v. CommissionerSupreme Court of the United States · 1947
2 more not listed; retrieve them via the Exa API.
3Cited by14 opinions
- Esmark, Inc. v. CommissionerUnited States Tax Court · 1988
- Chamberlin v. CommissionerCourt of Appeals for the Sixth Circuit · 1953
- Bialo v. CommissionerUnited States Tax Court · 1987
- Rosenberg v. CommissionerUnited States Tax Court · 1961
- Chamberlin v. Commissioner of Internal Revenue (Two Cases). Toner v. Commissioner of Internal Revenue. Carl v. Commissioner of Internal Revenue. Schrock v. Commissioner of Internal Revenue. Pierce v. Commissioner of Internal RevenueCourt of Appeals for the Sixth Circuit · 1953
9 more not listed; retrieve them via the Exa API.