Miller v. Commissioner
United States Board of Tax Appeals
The cancellation by a corporation, with the consent of its shareholders, of a debt from its president, who was its largest shareholder, created by withdrawals over a period of years, the corporation at the time of cancellation having substantial surplus and the debtor being solvent, is not a tax-free gift, but is taxable as a dividend.
1Opinion of the Court
HUGH H. MILLER, PETITIONER, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
Miller v. Commissioner
Docket No. 36075.
United States Board of Tax Appeals
25 B.T.A. 418; 1932 BTA LEXIS 1529;
January 29, 1932, Promulgated
The cancellation by a corporation, with the consent of its shareholders, of a debt from its president, who was its largest shareholder, created by withdrawals over a period of years, the corporation at the time of cancellation having substantial surplus and the debtor being solvent, is not a tax-free gift, but is taxable as a dividend.
M. manning Marcus, Esq., for the petitioner.
James…
2Cases cited1 opinion
- Miller v. CommissionerUnited States Board of Tax Appeals · 1932