American Air Liquide, Inc. v. Commissioner
United States Tax Court
P is the parent of a consolidated group that includes L. P's ultimate parent is L'Air, a French corporation. L'Air pays royalties to P and L under license agreements for intellectual property owned by P and L and used by L'Air outside the United States.
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P is the parent of a consolidated group that includes L. P's ultimate parent is L'Air, a French corporation. L'Air pays royalties to P and L under license agreements for intellectual property owned by P and L and used by L'Air outside the United States. P treated the royalty income as sec. 904(d)(1)(I), I.R.C., general limitation income, relying on the "reserved" paragraph in sec. 1.904-5(i)(3), Income Tax Regs.; Article 24(3) of the U.S.-France Treaty, the capital nondiscrimination provision; and written statements of Treasury officials. R determined the royalty income is sec. 904(d)(1)(A),…
1Opinion of the Court
OPINION
Laro, Judge:
Respondent determined deficiencies in petitioner’s Federal income taxes of $320,351, $1,083,746, and $942,456 for 1989, 1990, and 1991,1 respectively.
This matter is before the Court on cross-motions for judgment on the pleadings under Rule 120(a).2 In support of its motion, petitioner attached exhibits to its response. These exhibits require us to consider matters outside the pleadings, and as a consequence we have recharacterized the motions as cross-motions for summary judgment under Rule 121. See Rule 120(b).
We must decide whether royalties received by petitioner, a…
2Cases cited19 opinions
- Sundstrand Corporation v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 1994
- Sundstrand Corp. v. CommissionerUnited States Tax Court · 1992
- Naftel v. CommissionerUnited States Tax Court · 1985
- Florida Peach Corp. v. CommissionerUnited States Tax Court · 1988
- Whitney v. RobertsonSupreme Court of the United States · 1888
14 more not listed; retrieve them via the Exa API.
3Cited by7 opinions
- Square D Co. v. Comm'rUnited States Tax Court · 2002
- American Air Liquide, Inc. and Subsidiaries v. CommissionerUnited States Tax Court · 2001
- American Air Liquide, Inc. v. CommissionerUnited States Tax Court · 2001
- Evgeny Kiselev v. CommissionerUnited States Tax Court · 2018
- Square D Co. v. Comm'rUnited States Tax Court · 2002
2 more not listed; retrieve them via the Exa API.