Gittens v. Commissioner
United States Tax Court
Incident to a corporate reorganization in which the assets and liabilities of one corporation were transferred to another in exchange for stock, a distribution was made to petitioner within 1 taxable year of the total amount due him under a profit-sharing plan. The plan was adopted by a corporation established to carry on the business of the transferor corporation under the same name but in a different State of incorporation.
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Incident to a corporate reorganization in which the assets and liabilities of one corporation were transferred to another in exchange for stock, a distribution was made to petitioner within 1 taxable year of the total amount due him under a profit-sharing plan. The plan was adopted by a corporation established to carry on the business of the transferor corporation under the same name but in a different State of incorporation. There was no substantial change in the makeup of employees, and petitioner was employed in the same capacity under the same supervisors both before and after the…
1Opinion of the Court
OPINION
Petitioner received within 1 taxable year the total distribution payable to him under an employees’ trust which was exempt from tax under section 501(a). Consequently, we must decide whether the distribution was made “on account of the employee’s * * * separation from the service,” resulting in capital gains treatment under section 402(a) (2).2
Petitioner was a salaried employee of Philco-Penn from its inception and continued to be employed in the same capacity by Philco-Del until his retirement on June 30, 1965. He contends that when the corporate reorganization occurred the change in…
2Cases cited9 opinions
- United States v. Ophelia Johnson and Ophelia R. Johnson, as Under the Last Will and Testament of Clifford L. Johnson, DeceasedCourt of Appeals for the Fifth Circuit · 1964
- Miller v. CommissionerUnited States Tax Court · 1954
- United States v. Ben Martin and Rachel T. MartinCourt of Appeals for the Eighth Circuit · 1964
- E. N. Funkhouser and Estate of Nellie S. Funkhouser, Deceased, E. N. Funkhouser v. Commissioner of Internal RevenueCourt of Appeals for the Fourth Circuit · 1967
- Harry K. Oliphint and Anna Leblanc Oliphint v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1956
4 more not listed; retrieve them via the Exa API.
3Cited by28 opinions
- Reinhardt v. CommissionerUnited States Tax Court · 1985
- United States v. William L. Haggart and Marjorie HaggartCourt of Appeals for the Eighth Circuit · 1969
- Rudolph F. Adler Jacquelyn L. Adler v. Commissioner of the Internal Revenue ServiceCourt of Appeals for the Fourth Circuit · 1996
- Patty R. Smith v. United StatesCourt of Appeals for the Sixth Circuit · 1972
- Burton v. CommissionerUnited States Tax Court · 1992
23 more not listed; retrieve them via the Exa API.