Harrison v. Commissioner
United States Board of Tax Appeals
The H corporation transferred all of its assets (except amounts reserved and shortly thereafter paid for taxes, etc.), to the R corporation for preferred shares of the latter, a statutory reorganization, and H agreed, pursuant to the plan of reorganization, to distribute to its shareholders the preferred shares of R to be received by it and to wind up its affairs and dissolve.
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The H corporation transferred all of its assets (except amounts reserved and shortly thereafter paid for taxes, etc.), to the R corporation for preferred shares of the latter, a statutory reorganization, and H agreed, pursuant to the plan of reorganization, to distribute to its shareholders the preferred shares of R to be received by it and to wind up its affairs and dissolve. Such shares were distributed to the shareholders of H without surrender by them of their shares of H, and some months later H was dissolved. Held, that the gain realized by a shareholder of H from the distribution may…
1Dissent
Adams,
dissenting: I am unable to agree -with the conclusion reached in the prevailing opinion. I believe that J. M. Harrison, the petitioner, received stock of the Ross Industries Corporation in liquidation of his stock in J. M. Harrison, Inc., and that under the circumstances the transaction is one in which gain or loss must be recognized in so far as this petitioner is concerned.
We held in J. M. Harrison, Inc., 30 B.T.A. 455, that under the facts presented there was a statutory reorganization between J. M. Harrison, Inc., and the Ross Industries Corporation. That holding is not controlling…
2Cases cited2 opinions
- J. M. Harrison, Inc. v. CommissionerUnited States Board of Tax Appeals · 1934
- Winston Bros. Co. v. CommissionerUnited States Board of Tax Appeals · 1934