Powell-Hackney Grocery Co. v. Commissioner
United States Tax Court
Petitioner claimed relief for excess profits taxes for the taxable years 1941 to 1946, inclusive, under section 722 (b) (4), Internal Revenue Code, because of a change in the character of its business in its base period.
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Petitioner claimed relief for excess profits taxes for the taxable years 1941 to 1946, inclusive, under section 722 (b) (4), Internal Revenue Code, because of a change in the character of its business in its base period. Held, petitioner having failed to establish that its average base period net income is an inadequate standard of normal earnings because of the change, or that its tax computed without the benefit of section 722 results in an excessive and discriminatory tax, or, what would be a fair and just amount representing normal earnings to be used as a constructive average base period…
1Opinion of the Court
OPINION.
Hill, Judge:
Petitioner contests the respondent’s disallowance of its claims for relief for the fiscal years ended June 30, 1941 to 1946, inclusive, under section 722 (b) (4) of the Internal Eevenue Code. Petitioner originally claimed relief under (b) (5), but concedes on brief that it is not entitled to relief under that subsection.
The respondent’s disallowance was based on the ground that petitioner was not committed to a change in the character of its business prior to January 1, 1940, and was, therefore, not entitled to relief. A large part of the evidence and considerable argument…
2Cases cited3 opinions
- Wisconsin Farmer Co. v. CommissionerUnited States Tax Court · 1950
- 7-Up Ft. Worth Co. v. CommissionerUnited States Tax Court · 1947
- Pabst Air Conditioning Corp. v. CommissionerUnited States Tax Court · 1950
3Cited by14 opinions
- Farmers Creamery Co. v. CommissionerUnited States Tax Court · 1952
- Pittsburgh & Weirton Bus Co. v. CommissionerUnited States Tax Court · 1954
- Wentworth Military, Scientific & Literary Educational Co. v. CommissionerUnited States Tax Court · 1954
- Atlas Foundry Co. v. CommissionerUnited States Tax Court · 1958
- Industrial Supplies, Inc. v. CommissionerUnited States Tax Court · 1952
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