Asheville Mica Co. v. Commissioner
United States Tax Court
Inflated accounts receivable due to petitioner from three related corporations to which petitioner was at the same time indebted in amounts exceeding the receivables, held, not includible in petitioner's "total assets" as of December 31, 1949, for purpose of computing its substituted average base period net income under section 444, I.R.C. 1939, in determining its excess profits credit.
1Opinion of the Court
DiíeNNEN, Judge:
Respondent determined deficiencies in income tax against petitioner for the calendar years 1950 and 1952 in the amounts of $17,410.76 and $1,797.30, respectively. Petitioner claims an overpayment in 1952 in the amount of $500.93 based upon an additional deduction of $963.34 for State income taxes, the right to which respondent concedes.
The only issue is whether petitioner’s accounts receivable due from related corporations to which petitioner was at the same time indebted are includible in its “total assets” in computing its substituted average base period net income under…
2Cases cited3 opinions
- Hart-Bartlett-Sturtevant Grain Co. v. Commissioner of Internal RevenueCourt of Appeals for the Eighth Circuit · 1950
- West Constr. Co. v. CommissionerUnited States Tax Court · 1946
- Adams Brothers Company v. Commissioner of Internal RevenueCourt of Appeals for the Eighth Circuit · 1955
3Cited by1 opinion
- Asheville Mica Co. v. CommissionerUnited States Tax Court · 1960