Koppers Co. v. Commissioner
United States Tax Court
Petitioner, as a member of an affiliated group of corporations which filed a consolidated return for the year 1930, under section 141 of the 1928 Revenue Act, was severally liable for the tax upon the consolidated income, including the deficiency. Upon determination in 1940 of a deficiency in the 1930 tax, the remaining members of the group, who were severally liable also, agreed upon their proportionate shares of the deficiency.
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Petitioner, as a member of an affiliated group of corporations which filed a consolidated return for the year 1930, under section 141 of the 1928 Revenue Act, was severally liable for the tax upon the consolidated income, including the deficiency. Upon determination in 1940 of a deficiency in the 1930 tax, the remaining members of the group, who were severally liable also, agreed upon their proportionate shares of the deficiency. Petitioner paid its share, thus agreed upon, and interest thereon. Held, that the interest was paid upon an obligation of the petitioner upon which there was no…
1Opinion of the Court
supplemental opinion.
HaeROn, Judge:
The only question to be decided is whether petitioner is entitled to deduct, under section 23 (b), interest in the amount of $290,659.24, the statutory interest on the part of the tax deficiency which it paid in 1940.
Both parties recognize that petitioner is severally liable for the tax imposed upon the group, including any deficiency in respect thereof. See Regulations 75, art. 15. Petitioner filed Form 1122, consenting to be bound by the regulations governing consolidated returns. See also Mississippi River & Bonne Terre Railway, 39 B. T. A. 995, 1004. But…
2Cases cited2 opinions
- Phillips-Jones Corp. v. ParmleySupreme Court of the United States · 1937
- Koppers Co. v. CommissionerUnited States Tax Court · 1944
3Cited by1 opinion
- Koppers Co. v. CommissionerUnited States Tax Court · 1948