Ferguson v. Commissioner
United States Tax Court
Held: Ps donated to various charitable organizations (the Charities) appreciated stock in C1. Prior to the gifts, C1 and C2 entered into a merger agreement, C2 made a tender offer for the shares of C1, and shares of C1 sufficient to approve the merger were tendered or guaranteed. The Charities subsequently sold the stock of C1 received from Ps pursuant to the tender offer.
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Held: Ps donated to various charitable organizations (the Charities) appreciated stock in C1. Prior to the gifts, C1 and C2 entered into a merger agreement, C2 made a tender offer for the shares of C1, and shares of C1 sufficient to approve the merger were tendered or guaranteed. The Charities subsequently sold the stock of C1 received from Ps pursuant to the tender offer. Ps are taxable on the gain in the stock transferred to the Charities under the anticipatory assignment of income doctrine.
1Opinion of the Court
HALPERN, Judge:
These consolidated cases involve the following determinations by respondent of deficiencies in, additions to, and penalties on petitioners’ Federal income tax:
Docket No. 21808-93 Michael Ferguson and Valerte Ferguson
Additions to tax and penalties
Year Deficiency Sec. 6653 Sec. 6654 Sec. 6661 Sec. 6662
1987 $29,115 $5,823
1988 1,249,580 $36,491 $94,384 $182,456 103,951
1989 117,227 23,445
1990 75,197 15,039
1991 66,942 13,388
Docket No. 18250-94 Roger N. Ferguson and Sybil Ferguson
Additions to tax, penalties, and increased interest
Sec. Sec. Sec. Sec. Year Deficiency 6653(a)(1) 6659…
2Cases cited18 opinions
- Lucas v. EarlSupreme Court of the United States · 1930
- Harrison v. SchaffnerSupreme Court of the United States · 1941
- United States v. Cumberland Public Service Co.Supreme Court of the United States · 1950
- Leonard Greene and Joyce Greene v. United StatesCourt of Appeals for the Second Circuit · 1994
- Harold Dejong and Marjorie J. Dejong v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1962
13 more not listed; retrieve them via the Exa API.
3Cited by10 opinions
- Rauenhorst v. Comm'rUnited States Tax Court · 2002
- CMA Consol., Inc. v. Comm'rUnited States Tax Court · 2005
- Michael Ferguson, Valene Ferguson, Roger N. Ferguson and Sybil Ferguson v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1999
- Ferguson v. CommissionerUnited States Tax Court · 1997
- Gerald A. and Henrietta v. Rauenhorst v. CommissionerUnited States Tax Court · 2002
5 more not listed; retrieve them via the Exa API.