Delaware & Hudson Co. v. Commissioner
United States Board of Tax Appeals
1. The net losses of affiliated corporations for 1922 may not be used as a consolidated net loss of the affiliated group to be carried forward as a unit and applied against the consolidated group net income of the succeeding year 1923. 2. In determining the consolidated net income of an affiliated group for 1923, the 1922 net loss of one of the affiliated corporations is applicable to its current 1923 net income before and not after such current 1923 net income is combined…
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1. The net losses of affiliated corporations for 1922 may not be used as a consolidated net loss of the affiliated group to be carried forward as a unit and applied against the consolidated group net income of the succeeding year 1923. 2. In determining the consolidated net income of an affiliated group for 1923, the 1922 net loss of one of the affiliated corporations is applicable to its current 1923 net income before and not after such current 1923 net income is combined with others of the group to ascertain consolidated net income for 1923.
1Opinion of the Court
OPINION.
SteRNhagen:
The respondent determined a deficiency of $329,-530.62 in the income tax for 1923 of the petitioner, who was a member of an affiliated group filing a consolidated return. Of several issues originally found in the pleadings, all have been satisfactorily disposed of by the parties except one which remains to be decided. In this issue the petitioner assails the respondent’s treatment of the statutory net losses sustained in 1922 by some of the members of the affiliated group in the computation of the consolidated net income and resulting tax for 1923. As will hereafter appear,…
2Cases cited2 opinions
- Woolford Realty Co. v. RoseSupreme Court of the United States · 1932
- Planters Cotton Oil Co. v. HopkinsSupreme Court of the United States · 1932
3Cited by23 opinions
- W. M. Ritter Lumber Co. v. CommissionerUnited States Board of Tax Appeals · 1934
- Albert Leon & Son, Inc. v. CommissionerUnited States Board of Tax Appeals · 1933
- Carter, Rice & Co. v. CommissionerUnited States Board of Tax Appeals · 1933
- Wilson & Co. v. United StatesUnited States Court of Claims · 1936
- Post & Sheldon Corp. v. CommissionerUnited States Board of Tax Appeals · 1933
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