Bryan v. Commissioner
United States Tax Court
1. Held, that two corporations of which the petitioners were shareholders were collapsible corporations within the meaning of section 117(m) of the Internal Revenue Code of 1939, and that gain derived by the petitioners upon the redemption of some of their stock is to be considered as gain from the sale or exchange of property which is not a capital asset. 2. Held, that each of the petitioners Bryan and McNairy is taxable upon "salary" paid to him by a partnership of which…
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1. Held, that two corporations of which the petitioners were shareholders were collapsible corporations within the meaning of section 117(m) of the Internal Revenue Code of 1939, and that gain derived by the petitioners upon the redemption of some of their stock is to be considered as gain from the sale or exchange of property which is not a capital asset. 2. Held, that each of the petitioners Bryan and McNairy is taxable upon "salary" paid to him by a partnership of which he was a member, except to the extent it represented a return to him of the capital which he had contributed to the…
1Opinion of the Court
Atkins, Judge:
The respondent determined deficiencies in income (ax and additions thereto as follows:
Additions to tax
Year Docket No. Income tax Sec. 294(d) (1) (A) Sec. 294(d) (2)
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In both dockets, the principal issues are whether the redemption of class B stock by Bragg Development Company and Bragg Investment Company in the years 1951 and 1953 resulted in ordinary income to the petitioner-shareholders, pursuant to the provisions of section 117 (m) of the Internal Revenue Code of 1939; whether payments made to petitioners as “salaries” pursuant to the terms of a partnership…
2Cases cited21 opinions
- Fuller v. CommissionerUnited States Tax Court · 1953
- Fred N. Acker v. Commissioner of Internal RevenueCourt of Appeals for the Sixth Circuit · 1958
- Raymond G. Burge and Kathleen E. Burge v. Commissioner of Internal RevenueCourt of Appeals for the Fourth Circuit · 1958
- Arthur Glickman Herman Glickman and Ruth Glickman and Aaron Glickmand and Freda Glickman v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1958
- Fuller v. Commissioner of Internal RevenueCourt of Appeals for the Tenth Circuit · 1954
16 more not listed; retrieve them via the Exa API.
3Cited by42 opinions
- Dustin v. CommissionerUnited States Tax Court · 1969
- Cagle v. CommissionerUnited States Tax Court · 1974
- Robinson's Dairy, Inc. v. CommissionerUnited States Tax Court · 1961
- R. A. Bryan and Ruby M. Bryan, C. B. McNairy and Rowena A. McNairy W. H. Weaver and Edith H. Weaver v. Commissioner of Internal RevenueCourt of Appeals for the Fourth Circuit · 1960
- Spangler v. CommissionerUnited States Tax Court · 1959
37 more not listed; retrieve them via the Exa API.