General Box Corp. v. Commissioner
United States Board of Tax Appeals
Four separate companies had net losses in 1921; three of them had net losses in the first two months of 1922 and one had a net income in that period.
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Four separate companies had net losses in 1921; three of them had net losses in the first two months of 1922 and one had a net income in that period. The four became affiliated on March 1, 1922, and remained affiliated throughout the remainder of that year and the calendar year 1923. Held that the first two months of 1922 do not constitute a taxable year and that the 1921 net losses should be applied to 1922 and 1923 income, in accordance with the decisions in Alabama By-Products Corporation,18 B.T.A. 919, and Swift & Co. v. United States,69 Ct.Cls. 171; 38 Fed.(2d) 365.
1Opinion of the Court
*727OPINION.
Arundell:
The four companies referred to in the findings of fact, before and after becoming affiliated, computed net income upon the basis of the calendar year. The calendar year was the taxable year of each. Sec. 212(b), Revenue Act of 1921. Unquestionably, were it not for affiliation each would be entitled to offset its net loss for 1921 against the net income for 1922, and to deduct the excess of such loss, over the net income for 1922, in computing net income for 1923, sec. 204(b), Revenue Act of 1921; though the respondent takes the position that the amount allowable as a…
2Cases cited4 opinions
- Knowlton v. MooreSupreme Court of the United States · 1900
- Bate Refrigerating Co. v. SulzbergerSupreme Court of the United States · 1895
- Bankers' Trust Co. v. BowersCourt of Appeals for the Second Circuit · 1923
- St. Louis National Baseball Club v. BurnetSupreme Court of the United States · 1930
3Cited by8 opinions
- W. M. Ritter Lumber Co. v. CommissionerUnited States Board of Tax Appeals · 1934
- Wolverine Petroleum Corp. v. CommissionerUnited States Board of Tax Appeals · 1934
- General Box Corp. v. CommissionerUnited States Board of Tax Appeals · 1931
- Riley Stoker Corp. v. CommissionerUnited States Board of Tax Appeals · 1932
- Summerfield Co. v. CommissionerUnited States Board of Tax Appeals · 1931
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