May Hosiery Mills, Inc. v. Commissioner
United States Board of Tax Appeals
Petitioner, during the taxable year paid out $49,165.51 in purchase of shares of its preference stock Pursuant to an agreement by which it was required to set aside 15 percent of its net profits and apply them to the retirement of such stock.
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Petitioner, during the taxable year paid out $49,165.51 in purchase of shares of its preference stock Pursuant to an agreement by which it was required to set aside 15 percent of its net profits and apply them to the retirement of such stock. Held, petitioner is not entitled to a credit, under section 26(c)(2) of the Revenue Act of 1936, of the amount of either the profits required to be set aside or the amounts spent retiring the preference stock; held, further, petitioner may not claim a dividends-paid credit under section 27(f) of the Revenue Act of 1936 for that part of the $49,165.61…
1Opinion of the Court
MAY HOSIERY MILLS, INC., PETITIONER, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
May Hosiery Mills, Inc. v. Commissioner
Docket No. 99006.
United States Board of Tax Appeals
42 B.T.A. 646; 1940 BTA LEXIS 970;
August 29, 1940, Promulgated
Petitioner, during the taxable year paid out $49,165.51 in purchase of shares of its preference stock Pursuant to an agreement by which it was required to set aside 15 percent of its net profits and apply them to the retirement of such stock. Held, petitioner is not entitled to a credit, under section 26(c)(2) of the Revenue Act of 1936, of the amount of…
2Cases cited3 opinions
- Black Motor Co. v. CommissionerUnited States Board of Tax Appeals · 1940
- Haffenreffer Brewing Co. v. CommissionerUnited States Board of Tax Appeals · 1940
- May Hosiery Mills, Inc. v. CommissionerUnited States Board of Tax Appeals · 1940