Alameda Inv. Co. v. McLaughlin

BOURQUIN, District Judge.

Three corporations (Alameda, Hawley, Pacific) sue the defendant collector to recover income taxes paid by Alameda for the year 1922. Each of them made return, but only Alameda was subject to and paid taxes. In 1924, they joined in an application for refund, on the ground that they were affiliated and entitled to make consolidated return upon which no taxes would have been due, which application was denied. Ho objection to parties has been madé.

Revenue Act 1921, § 240 (Comp. St. § 6336%ss), provides that corporations which are affiliated, within its meaning, may make…