Niagara Share Corp. v. Commissioner
United States Board of Tax Appeals
1. A loss sustained in 1929 by a corporation through the liquidation, prior to dissolution, of an affiliated corporation of which it owns all the shares is not deductible on consolidated return, Ilfeld Co. v. Hernandez,292 U.S. 62. 2. The exchange by a corporation of shares held by it in an unaffiliated corporation for some of its own shares owned by the other corporation, the value of its own shares received being less than the cost of the shares given up, supports a…
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1. A loss sustained in 1929 by a corporation through the liquidation, prior to dissolution, of an affiliated corporation of which it owns all the shares is not deductible on consolidated return, Ilfeld Co. v. Hernandez,292 U.S. 62. 2. The exchange by a corporation of shares held by it in an unaffiliated corporation for some of its own shares owned by the other corporation, the value of its own shares received being less than the cost of the shares given up, supports a deduction for loss.
1Opinion of the Court
OPINION.
Sterni-iagen :
The Commissioner determined a deficiency of $32,-132.42 in the consolidated income tax of petitioners for 1929. Several items of the Commissioner’s determination are assailed, which will be considered separately. The proceedings were submitted upon a voluminous stipulation of facts with appended exhibits, so there is no occasion for findings. The opinion states as much of the facts as is necessary to an understanding of each point.
1. a. Loss on liquidation of affiliated corporation. — In August 1929 the Niagara Share Corporation of Delaware acquired shares of American…
2Cases cited12 opinions
- Charles Ilfeld Co. v. HernandezSupreme Court of the United States · 1934
- Houghton & D. Co. v. CommissionerUnited States Board of Tax Appeals · 1932
- Odorono Co. v. CommissionerUnited States Board of Tax Appeals · 1932
- Van Keuren v. CommissionerUnited States Board of Tax Appeals · 1933
- Houston Bros. Co. v. CommissionerUnited States Board of Tax Appeals · 1930
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