Candy Bros. Mfg. Co. v. Commissioner
United States Tax Court
Petitioner from December 17, 1940, was a wholly owned subsidiary of its parent corporation. For 1941 the parent and subsidiaries, including petitioner, filed a consolidated excess profits tax return, using petitioner's net operating loss for 1941, but not its net operating loss for 1940. The year 1941 was the last consolidated return period for the consolidated group.
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Petitioner from December 17, 1940, was a wholly owned subsidiary of its parent corporation. For 1941 the parent and subsidiaries, including petitioner, filed a consolidated excess profits tax return, using petitioner's net operating loss for 1941, but not its net operating loss for 1940. The year 1941 was the last consolidated return period for the consolidated group. The Commissioner, in the deficiency notice here involved, for the years 1942 and 1943, denied to petitioner deduction of its net operating losses for 1940 and 1941, in the computation of surtax net income in computation of…
1Opinion of the Court
OPINION.
Disney, Judge:
The petitioner had net operating losses for the years 1940 and 1941. It seeks to carry them forward for use, as to the taxable years 1942 and 1943, in the computation of “Corporation surtax net income” under section 710 (a) (1) (B) of the Internal Revenue Code. Since December 17,1940, petitioner has been a wholly owned subsidiary of Universal Match Corporation and for 1941, and for that year only, a consolidated excess profits tax return was filed by Universal Match Corporation and its subsidiaries, including petitioner, as an affiliated group. Therein the petitioner’s…
2Cases cited5 opinions
- National Labor Relations Board v. Bailey Co. (East Side Branch)Court of Appeals for the Sixth Circuit · 1950
- Jorden v. CommissionerUnited States Tax Court · 1948
- Sokol Bros. Furniture Co. v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1950
- Basalt Rock Co. v. CommissionerUnited States Tax Court · 1948
- Doylestown & Easton Motor Coach Co. v. CommissionerUnited States Tax Court · 1947
3Cited by1 opinion
- Candy Bros. Mfg. Co. v. CommissionerUnited States Tax Court · 1951