Brann & Stuart Co. v. Commissioner
United States Tax Court
Excess Profits Tax -- Credit Based upon Invested Capital -- Borrowed Capital -- Section 719 (a). -- A taxpayer has borrowed invested capital within the meaning of section 719 (a) where a bank advances money to it on its note for the purpose of financing work under a Government war contract, even though the taxpayer assigns to the bank its right to receive moneys from the Government under the contract.
1Opinion of the Court
OPINION.
Murdock, Judge:
The Commissioner determined a deficiency in excess profits tax for 1942 in the amount of $98,582.70 and one for 1943 in the amount of $44,310.00. The parties have settled a number of matters by agreement and the only issue for decision is whether amounts which the petitioner borrowed from banks should be considered as borrowed capital in the computation of its excess profits credit, based upon invested capital. The stipulation of facts and the exhibits offered in evidence are adopted as the findings of fact.
The petitioner is a Pennsylvania corporation which filed its…
2Cited by7 opinions
- Ames Trust & Sav. Bank v. CommissionerUnited States Tax Court · 1949
- McDonnell Aircraft Corp. v. CommissionerUnited States Tax Court · 1951
- Cramp Shipbuilding Co. v. CommissionerUnited States Tax Court · 1951
- Ames Trust & Sav. Bank v. CommissionerUnited States Tax Court · 1949
- Brann & Stuart Co. v. CommissionerUnited States Tax Court · 1947
2 more not listed; retrieve them via the Exa API.