Gossett v. Commissioner
United States Board of Tax Appeals
1. In all cases before the Board, the primary issue is the correctness of the ultimate determination of deficiency, and the usual presumption of correctness of the Commissioner's determination is not destroyed by the reason given, even if it be unsound or badly expressed. 2. Where a corporation, after consummating a sale of its assets under a contract requiring it promptly to take steps to dissolve, declares and pays a dividend many times greater than the usual annual rate…
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1. In all cases before the Board, the primary issue is the correctness of the ultimate determination of deficiency, and the usual presumption of correctness of the Commissioner's determination is not destroyed by the reason given, even if it be unsound or badly expressed. 2. Where a corporation, after consummating a sale of its assets under a contract requiring it promptly to take steps to dissolve, declares and pays a dividend many times greater than the usual annual rate from the cash received from the sale, and the evidence clearly indicates that sale, liquidation and dissolution were the…
1Opinion of the Court
*1283OPINION.
Sternhagen:
By virtue of the directors’ resolution of December 15, 1925, the petitioners as shareholders of the corporation received in 1925, $3,000 and $13,100, respectively, indicating that they were the owners of 60 shares and 262 shares, respectively. The respondent in determining the deficiencies advised each of the petitioners that “ Your contention that the dividend received in 1925 from the Brogon Mill was not a liquidating dividend has been denied. You are advised that this office has consistently held that the dividend distributed by the Brogon Mill December 21,1925, was a…
2Cited by23 opinions
- Estate of Finder v. CommissionerUnited States Tax Court · 1961
- Clark v. CommissionerUnited States Tax Court · 1957
- Fowler Hosiery Co. v. CommissionerUnited States Tax Court · 1961
- Holmby Corp. v. CommissionerUnited States Board of Tax Appeals · 1933
- Curlee v. CommissionerUnited States Board of Tax Appeals · 1933
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