Gray v. Commissioner
United States Tax Court
Yarg, a foreign personal holding company fully owned by petitioners in the years in issue, held preferred stock in Omark 1960, also a foreign corporation. Petitioners owned 90.4 percent of Omark 1960. Omark 1960 redeemed all of its preferred stock held by Yarg from Yarg on Sept. 25, 1962. That same day, petitioners sold all their stock in Yarg to independent third parties. Petitioners used the calendar year as their tax accounting period.
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Yarg, a foreign personal holding company fully owned by petitioners in the years in issue, held preferred stock in Omark 1960, also a foreign corporation. Petitioners owned 90.4 percent of Omark 1960. Omark 1960 redeemed all of its preferred stock held by Yarg from Yarg on Sept. 25, 1962. That same day, petitioners sold all their stock in Yarg to independent third parties. Petitioners used the calendar year as their tax accounting period. Omark 1960 and Yarg used a taxable year ending June 30. Held, on remand, petitioners are taxable in their taxable year 1963 on so much of Yarg's…
1Opinion of the Court
OPINION
Sterrett, Judge:
These eases are before us on remand from the Ninth Circuit following that court’s decision in Gray v. Commissioner, 561 F.2d 753 (9th Cir. 1977). A controversy has arisen between the parties with respect to the amount of undistributed foreign personal holding company income taxable to petitioners as a result of the transaction herein and the taxable year in which petitioners must take this amount into income. We made complete findings of fact when the cases were before us initially and the facts were summarized in relevant part by the Ninth Circuit. We need here,…
2Cases cited1 opinion
- Gray v. CommissionerCourt of Appeals for the Ninth Circuit · 1977
3Cited by1 opinion
- Gray v. CommissionerUnited States Tax Court · 1979