Eder v. Commissioner
United States Board of Tax Appeals
The portion of the undistributed supplement P net income of a foreign personal holding company, as measured by subsection (b) of section 337 of the Revenue Act of 1938, is properly included in the gross income of the petitioners, shareholders therein, residents of the United States, for Federal income tax purposes, under section 337, subsection (a), despite restrictions preventing the legal transfer to the United States, if it had been actually distributed.
1Opinion of the Court
*238OPINION.
Leech:
The petitioners attack the contested determination only on
the ground that section 337 of the Revenue Act of 1938,1 under which that determination was made, is not applicable here.
*239They argue from the legislative history of supplement P of that act, of which section 337 is a part, that the Congressional intent was that the tax be imposed only upon “a comparatively few wealthy individuals” who “voluntarily and willfully” avoided or evaded their income taxes by the use of foreign personal holding companies, and that the tax was therefore wrongfully laid upon them, since they were…
2Cases cited6 opinions
- Caminetti v. United StatesSupreme Court of the United States · 1917
- Burnet v. HarmelSupreme Court of the United States · 1932
- North American Oil Consolidated v. BurnetSupreme Court of the United States · 1932
- Helvering v. Northwest Steel Rolling Mills, Inc.Supreme Court of the United States · 1940
- Helvering v. City Bank Farmers Trust Co.Supreme Court of the United States · 1935
1 more not listed; retrieve them via the Exa API.
3Cited by16 opinions
- Estate of Whitlock v. CommissionerUnited States Tax Court · 1972
- Gutierrez v. CommissionerUnited States Tax Court · 1969
- Riverfront Groves, Inc. v. CommissionerUnited States Tax Court · 1973
- G.M. Trading Corp. v. CommissionerUnited States Tax Court · 1994
- Mariani Frozen Foods, Inc. v. CommissionerUnited States Tax Court · 1983
11 more not listed; retrieve them via the Exa API.