Nemours Corporation v. Commissioner of Internal Revenue

The taxpayer in the above matter sought a review of the Commissioner of Internal Revenue’s determination that there existed a deficiency in its income tax for the taxable year 1956, on the theory that it was subject to the personal holding company tax. During the trial, the Commissioner, after he had amended his answer to the petition, abandoned his former claim and determined that the taxpayer was deficient in a lesser amount on the ground that it was subject to the accumulated earnings tax under §§ 531 and 532 of the Internal Revenue Code of 1954, 26 U.S.C.A. §§ 531 and 532. The Tax Court…