Central Bag Co. v. Commissioner
United States Tax Court
Prior to 1937 petitioner operated a used bag business. In or about May 1937, petitioner expanded the business to include the manufacture and sale of new bags. Since petitioner operated on a fiscal year basis ending September 30, the expansion of its business occurred during its first base period year.
Read the full summary
Prior to 1937 petitioner operated a used bag business. In or about May 1937, petitioner expanded the business to include the manufacture and sale of new bags. Since petitioner operated on a fiscal year basis ending September 30, the expansion of its business occurred during its first base period year. Because of difficulties encountered primarily in developing its new bag business, petitioner seeks relief under section 722 (b) (4), Internal Revenue Code of 1939. Held, petitioner changed the character of its business, but failed to establish a fair and just amount representing normal earnings…
1Opinion of the Court
Central Bag Company, A Corporation, Petitioner, v. Commissioner of Internal Revenue, Respondent
Central Bag Co. v. Commissioner
Docket No. 31945
United States Tax Court
27 T.C. 230; 1956 U.S. Tax Ct. LEXIS 55;
October 31, 1956, Filed
Decision will be entered for the respondent.
Prior to 1937 petitioner operated a used bag business. In or about May 1937, petitioner expanded the business to include the manufacture and sale of new bags. Since petitioner operated on a fiscal year basis ending September 30, the expansion of its business occurred during its first base period year. Because of difficulties…
2Cases cited13 opinions
- Lamar Creamery Co. v. CommissionerUnited States Tax Court · 1947
- National Grinding Wheel Co. v. CommissionerUnited States Tax Court · 1947
- Farmers Creamery Co. v. CommissionerUnited States Tax Court · 1952
- Homer Laughlin China Co. v. CommissionerUnited States Tax Court · 1946
- Stimson Mill Co. v. CommissionerUnited States Tax Court · 1946
8 more not listed; retrieve them via the Exa API.