Goldwyn v. Commissioner
United States Tax Court
Corporation X on September 11, 1930, declared a dividend payable December 15, 1930, which was charged to surplus and credited to a dividends payable account, in which appeared the amount due each shareholder. There was no crediting to the shareholders' individual accounts until 1933, when on their instructions most of the dividend was applied to their debts to the corporation.
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Corporation X on September 11, 1930, declared a dividend payable December 15, 1930, which was charged to surplus and credited to a dividends payable account, in which appeared the amount due each shareholder. There was no crediting to the shareholders' individual accounts until 1933, when on their instructions most of the dividend was applied to their debts to the corporation. In the fiscal year ended June 30, 1931, the corporation had accumulated earnings and profits sufficient to pay the dividend; in 1933 it did not. In 1942 it made a distribution in redemption of shares, and computed…
1Opinion of the Court
OPINION.
Johnson, Judge:
Petitioner, as sole shareholder of Studios, received in 1942 a dividend of $800,000. The parties are agreed that $104,-610.56 of this amount was earnings and profits if the dividend of $203,091, declared September 11, 1930, reduced Studios’ accumulated earnings and profits in the fiscal year ended June 30, 1931, and that $239,059.58 thereof was earnings and profits if, as the Commissioner determined, the prior dividend reduced accumulated earnings, profits, and paid-in capital in the fiscal year ended June 30,1933. Studios, be it noted, had more than ample earnings and…
2Cases cited5 opinions
- Avery v. CommissionerSupreme Court of the United States · 1934
- Mason v. RoutzahnSupreme Court of the United States · 1927
- Plant v. WalshDistrict Court, D. Connecticut · 1922
- United States v. GuinzburgCourt of Appeals for the Second Circuit · 1921
- Smith v. TaeckerCalifornia Court of Appeal · 1933
3Cited by19 opinions
- Fehrs Finance Co. v. CommissionerUnited States Tax Court · 1972
- Stephens v. CommissionerUnited States Tax Court · 1973
- Bush Bros. & Co. v. CommissionerUnited States Tax Court · 1979
- Roe v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1951
- Juha v. Comm'rUnited States Tax Court · 2012
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