Wheeler v. Commissioner
United States Tax Court
In December 1936, the W corporation declared certain dividends payable on December 31, 1936. The resolution making the declaration authorized the management of the company to borrow from any or all stockholders any or all of the "dividends so paid."
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In December 1936, the W corporation declared certain dividends payable on December 31, 1936. The resolution making the declaration authorized the management of the company to borrow from any or all stockholders any or all of the "dividends so paid." In January 1937 the dividends were charged to surplus and credited to the dividends payable account as of December 31, 1936. Shortly after the close of the year notes were issued as of the last day of the year to stockholders in the amount of the dividends to which each was entitled. Held, as the dividends declared in December 1936 were not "paid…
1Opinion of the Court
OPINION.
Arnold, Judge:
These consolidated proceedings involve a deficiency in surtax on undistributed profits for the year 1936 in the amount of $5,953.06 determined by the Commissioner to be due from John H. Wheeler Co. The petitioners concede that they are the transferees of the assets of the John H. Wheeler Co. and as such liable for the amount of any deficiency determined herein. The only question involved is whether the Commissioner erred in disallowing 81 dividends paid credit in the amount of $30,465.01 for the purpose of computing the surtax on undistributed profits of the company for…
2Cases cited1 opinion
- Helvering v. Ohio Leather Co.Supreme Court of the United States · 1942
3Cited by4 opinions
- Wheeler v. CommissionerUnited States Tax Court · 1943
- Commercial Union Assurance Co. v. CommissionerUnited States Tax Court · 1943
- Wheeler v. CommissionerUnited States Tax Court · 1943
- Wheeler v. CommissionerUnited States Tax Court · 1943