Holly Farms Poultry Industries, Inc. v. Clayton

The issue before us is whether under the circumstances disclosed by the stipulated facts, a surviving corporation (Mocks-ville Feed Mills, Inc.) which resulted from the merger into it of two other corporations (Lovette Poultry Company, Inc., and Davie Poultry Company, Inc.) is entitled under G.S. 105-147 (9)d to carry over and deduct for North Carolina income tax purposes the pre-merger net economic losses of the two submerged corporations from the post-merger income earned by the combined corporate businesses. We hold that it is not.

(No question is presented on this appeal as to the right of…