Allen v. Commissioner
United States Board of Tax Appeals
Corporate stock issued as a stock dividend was redeemed nine years later because of desire to reduce indebtedness to the corporation by the stockholders, in order to have the high credit rating necessary for borrowing at extremely low rates of interest. Held, the stock was not redeemed at such time and in such manner as to make the distribution essentially equivalent to a taxable dividend under section 115(g), Revenue Act of 1934.
1Opinion of the Court
*207OPINION.
Disney :
The above proceedings, consolidated for hearing, all involve income tax for the year 1934, as follows:
[[Image here]]
Although error as to disallowance of deduction for depreciation on certain buildings was alleged by the petitioners in Docket Nos. 93810 and 93812, such error is denied by respondent’s answer and no evidence was adduced in that respect, and that issue is therefore considered abandoned. The only remaining issue is common to all proceedings and is as to whether, as respondent determined, section 115 (g) of the Eevenue Act of 1934 applies and there was essential…
2Cited by14 opinions
- Flanagan v. HelveringCourt of Appeals for the D.C. Circuit · 1940
- Decker v. CommissionerUnited States Tax Court · 1959
- Anna I. Woodworth v. Commissioner of Internal RevenueCourt of Appeals for the Sixth Circuit · 1955
- Hirsch v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1941
- Allen v. CommissionerUnited States Board of Tax Appeals · 1940
9 more not listed; retrieve them via the Exa API.