Roy Miller and Artie Miller v. Commissioner of Internal Revenue

OPINION

Before WALLACE and SNEED, Circuit Judges, and MILLER, * Judge. SNEED, Circuit Judge:

This is an appeal from a Tax Court decision which held the taxpayers, Roy and Artie Miller, not liable for the deficiency asserted by the Commissioner in his Notice of Deficiency of August 31, 1970, pertaining to the taxpayers’ return for the calendar year 1967. The essence of this case best can be revealed by quoting from the Commissioner’s Notice. Its Explanation of Adjustments reads:

Since you own more than 80% in value of the stock of both corporations, it is. determined that the sale of equipment in…