Yamamoto v. Commissioner
United States Tax Court
Y owned all the stock of P, which in turn owned all the stock of S. S made loans to Y in 1970 and 1971. Y transferred several properties in 1970 and 1971 to S in exchange for cash, releases of indebtedness between Y and S, and assumption of liabilities. S transferred the 1970 properties to P in exchange for consideration equal to S's book value in the properties. Y also transferred cash in 1970 and 1971 to P, in exchange for P stock.
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Y owned all the stock of P, which in turn owned all the stock of S. S made loans to Y in 1970 and 1971. Y transferred several properties in 1970 and 1971 to S in exchange for cash, releases of indebtedness between Y and S, and assumption of liabilities. S transferred the 1970 properties to P in exchange for consideration equal to S's book value in the properties. Y also transferred cash in 1970 and 1971 to P, in exchange for P stock. Held: 1. Y's transfers to S are not exchanges for stock -- the nonrecognition provisions of sec. 351 do not apply. 2. Sec. 1239 does not apply to the transfers.…
1Opinion of the Court
Hirotoshi Yamamoto and Shizuko Yamamoto, Petitioners v. Commissioner of Internal Revenue, Respondent
Yamamoto v. Commissioner
Docket No. 9726-75
United States Tax Court
73 T.C. 946; 1980 U.S. Tax Ct. LEXIS 179;
February 28, 1980, Filed
Decision will be entered under Rule 155.
Y owned all the stock of P, which in turn owned all the stock of S. S made loans to Y in 1970 and 1971. Y transferred several properties in 1970 and 1971 to S in exchange for cash, releases of indebtedness between Y and S, and assumption of liabilities. S transferred the 1970 properties to P in exchange for consideration equal…
Also in this document: Concurrence.
2Cases cited29 opinions
- Gregory v. HelveringSupreme Court of the United States · 1935
- Moline Properties, Inc. v. CommissionerSupreme Court of the United States · 1943
- Commissioner v. National Alfalfa Dehydrating & Milling Co.Supreme Court of the United States · 1974
- Helvering v. Alabama Asphaltic Limestone Co.Supreme Court of the United States · 1942
- Don E. Williams Co. v. CommissionerSupreme Court of the United States · 1977
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