Brunswick Corp. & Subsidiaries v. Commissioner
United States Tax Court
P received a distribution from a foreign subsidiary which constituted an ordinary income dividend under sec. 1248, I.R.C., to the extent of the subsidiary's then accumulated profits at that time. The subsidiary had earnings and profits in some prior years and deficits in other such years.
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P received a distribution from a foreign subsidiary which constituted an ordinary income dividend under sec. 1248, I.R.C., to the extent of the subsidiary's then accumulated profits at that time. The subsidiary had earnings and profits in some prior years and deficits in other such years. Held, that, even though all the foreign subsidiary's accumulated profits were distributed as a dividend, all foreign taxes paid by the subsidiary in prior years cannot be aggregated and credited under sec. 902(a)(1), I.R.C.Held, further, the same principles for year-by-year sourcing of a dividend to…
1Opinion of the Court
OPINION
Tannenwald, Judge:
Respondent determined deficiencies in petitioner’s Federal income taxes for the taxable years 1980, 1981, and 1982 of $1,098,354, $10,604,917, and $14,531,731, respectively.
The issue for decision is the amount of foreign taxes that petitioner should be deemed to have paid under section 9021 for purposes of determining the foreign tax credit.
This case was submitted fully stipulated pursuant to Rule 122(a). The stipulation of facts and accompanying exhibits are incorporated herein by reference. We set forth below those facts necessary to an understanding and resolution…
2Cases cited17 opinions
- Hanover Bank v. CommissionerSupreme Court of the United States · 1962
- Burnet v. Chicago Portrait Co.Supreme Court of the United States · 1932
- American Chicle Co. v. United StatesSupreme Court of the United States · 1942
- Girard Trust Co. v. United StatesSupreme Court of the United States · 1926
- Bobsee Corporation v. United StatesCourt of Appeals for the Fifth Circuit · 1969
12 more not listed; retrieve them via the Exa API.
3Cited by6 opinions
- Redlark v. Comm'rUnited States Tax Court · 1996
- Perkin-Elmer Corp. v. CommissionerUnited States Tax Court · 1994
- Brunswick Corp. & Subsidiaries v. CommissionerUnited States Tax Court · 1993
- James E. Redlark and Cheryl L. Redlark v. CommissionerUnited States Tax Court · 1996
- Perkin-Elmer Corp. v. CommissionerUnited States Tax Court · 1994
1 more not listed; retrieve them via the Exa API.