Peoples Gin Co. v. Commissioner
United States Board of Tax Appeals
The petitioner was organized under the general corporation laws of the State of Mississippi for the purpose of purchasing and operating a public cotton gin. Among its patrons were stockholders and nonstockholders and the charge for cotton ginned was the same to all patrons.
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The petitioner was organized under the general corporation laws of the State of Mississippi for the purpose of purchasing and operating a public cotton gin. Among its patrons were stockholders and nonstockholders and the charge for cotton ginned was the same to all patrons. After the ginning season was over and after the profits here in question had been earned, the stockholders adopted bylaws providing that the net profits of petitioner allocable to cotton ginned for the said stockholders should be divided between them in proportion to the number of bales of cotton ginned for each…
1Opinion of the Court
*346OPINION.
Tuenee:
The petitioner is not a cooperative association exempt from Federal income tax within the meaning of section 103 of the Revenue Act of 1932 and section 101 of the Revenue Act of 1934. Producers Creamery Co. v. Commissioner, 55 Fed. (2d) 104; Farmers Union Cooperative Co., 33 B. T. A. 225; affd., 90 Fed. (2d) 488. Furthermore it was organized under the laws of the State of Mississippi as a general business corporation for the purpose of carrying on a public ginning business. Its charter shows that it was organized under the provisions of Chapter 100 of the Mississippi Code of…
2Cited by4 opinions
- Farmers Cooperative Co. v. BirminghamDistrict Court, N.D. Iowa · 1949
- Peoples Gin Co., Inc. v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1941
- Peoples Gin Co. v. CommissionerUnited States Tax Court · 1943
- Peoples Gin Co. v. CommissionerUnited States Board of Tax Appeals · 1940