Rosenblatt v. Commissioner
United States Tax Court
Petitioner, one of the shareholders and bondholders of a corporation, was in 1938 indebted to the corporation by reason of prior borrowing from the corporation. The remaining stockholders and bondholders were also indebted to the corporation but in varying and lesser amounts. Interest at 6 per cent based on the average borrowings of all stockholders was adjusted among the accounts of the stockholders.
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Petitioner, one of the shareholders and bondholders of a corporation, was in 1938 indebted to the corporation by reason of prior borrowing from the corporation. The remaining stockholders and bondholders were also indebted to the corporation but in varying and lesser amounts. Interest at 6 per cent based on the average borrowings of all stockholders was adjusted among the accounts of the stockholders. In December 1938 petitioner and the remaining stockholders conveyed all of the assets of the corporation, including the claims of the corporation against petitioner and the remaining…
1Opinion of the Court
OPINION.
Black, Judge:
The sole issue herein is whether petitioner may deduct in her return for 1945 the amount of $3,327.41 debited to her account on the books of the Goldsmith Trust. The Goldsmith Trust (conceded by the parties to be a revocable trust) was created in 1938 by petitioner and the other former stockholders and bondholders of the F. & H. G. Corporation, by transferring to the trust all the assets of every kind owned by the stockholders, creditors and bondholders of F. & H. G. Included in the assets transferred to the trust were the claims against petitioner and the remaining…
2Cases cited1 opinion
- Wiesler v. CommissionerUnited States Tax Court · 1946
3Cited by4 opinions
- Bair v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1952
- Coldwater Seafood Corp. v. CommissionerUnited States Tax Court · 1978
- Coldwater Seafood Corp. v. CommissionerUnited States Tax Court · 1978
- Rosenblatt v. CommissionerUnited States Tax Court · 1951