Crellin v. Commissioner
United States Tax Court
The directors of a personal holding corporation in which petitioners were stockholders declared and paid a dividend approximate in amount to the capital gain which had been realized on sale of certain of its securities. The dividend was declared and paid by the directors after being advised that in the opinion of a certified public accountant the gains unless distributed would be subject to the personal holding corporation surtax.
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The directors of a personal holding corporation in which petitioners were stockholders declared and paid a dividend approximate in amount to the capital gain which had been realized on sale of certain of its securities. The dividend was declared and paid by the directors after being advised that in the opinion of a certified public accountant the gains unless distributed would be subject to the personal holding corporation surtax. Later in the year the directors learned that the opinion of the accountant had been erroneous whereupon they adopted a resolution purporting to rescind the…
1Opinion of the Court
OPINION.
Turner, Judge:
The respondent has determined deficiencies in income tax against the petitioners for 1946 as follows:
Docket No. Petitioner Deficiency
27089_Estate of Lloyd E. Crellin_$8,823.09
27090_Laura C. Fitzgerald_ 19,794. 50
27091_Mona L. Crellin_ 11,027.37
27092_Ethel C. Hall_ 10,336.70
27093_Jane E. Everett_ 13,072.31
The only issue presented is whether the respondent correctly determined that a certain dividend received by the petitioners during 1946 and thereafter returned to the paying corporation before the close of the year constituted taxable income to the petitioners for that…
2Cases cited5 opinions
- Commissioner of Internal Revenue v. ScatenaCourt of Appeals for the Ninth Circuit · 1936
- Meyers v. El Tejon Oil & Refining Co.California Supreme Court · 1946
- Clifton Mfg. Co. v. United StatesCourt of Appeals for the Fourth Circuit · 1935
- United States v. Southwestern Portland Cement Co.Court of Appeals for the Ninth Circuit · 1938
- Louisville Trust Co. v. GlennDistrict Court, W.D. Kentucky · 1946
3Cited by18 opinions
- Bishop v. CommissionerUnited States Tax Court · 1956
- Pahl v. CommissionerUnited States Tax Court · 1976
- Berger v. CommissionerUnited States Tax Court · 1962
- Adams v. CommissionerUnited States Tax Court · 1972
- Anton v. CommissionerUnited States Tax Court · 1960
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