Wellman Operating Corp. v. Commissioner
United States Tax Court
Held, petitioner was availed of during the taxable years for the purpose of preventing imposition of surtax upon its shareholders by permitting earnings and profits to accumulate instead of being divided or distributed. Sec. 102, I.R.C. 1939.
1Opinion of the Court
OPINION.
Eaum, Judge:
The challenged deficiencies were determined under section 102 of the Internal Eevenue Code of 1939, which imposed a special surtax upon corporations formed or availed of for the purpose of preventing the imposition of surtax upon its shareholders by permitting earnings or profits to accumulate instead of being divided or distributed.1 Although a limited burden of proof in relation to accumulations beyond the reasonable needs of the business may be shifted to the Commissioner pursuant to section 534 of the Internal Revenue Code of 1954, as amended by sections 4 and 5 of…
2Cases cited10 opinions
- Pelton Steel Casting Co. v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 1958
- Pelton Steel Casting Co. v. CommissionerUnited States Tax Court · 1957
- Dixie, Inc. v. CommissionerUnited States Tax Court · 1958
- I. A. Dress Co. v. CommissionerUnited States Tax Court · 1959
- Kerr-Cochran, Inc. v. CommissionerUnited States Tax Court · 1958
5 more not listed; retrieve them via the Exa API.
3Cited by2 opinions
- Lamark Shipping Agency, Inc. v. CommissionerUnited States Tax Court · 1981
- Wellman Operating Corp. v. CommissionerUnited States Tax Court · 1959