Gregory v. State of California

This is an appeal from a judgment whereby plaintiff recovered $11,295.41, together with interest from November 11, 1943. The principal sum was paid under protest as a gift tax assessed on the conveyance, by him to the Redlands Security Company on December 31, 1942, of the Platt Building in San Bernardino, California. The facts are not in dispute. We will hereafter refer to the Redlands Security Company as the corporation.

*28The corporation was a family company, plaintiff owning 40 per cent of its stock and his four children and a nephew, who evidently was considered a member of his family,…