American Range Lines, Inc. v. Commissioner

OPINION.

Opfer, Judge:

The identical facts were before us in Lucille H. Rogers, 11 T. C. 435, revd. (C. A. 3) 180 F. 2d 720. We there held in the case of an individual taxpayer who was a shareholder in the present petitioner that what she received was in the nature of a distribution of petitioner’s earnings, which in turn represented part payment to it for assets of which the transfer created the consideration for the payment. That conclusion was disapproved on review with the comment in part that: “In the absence of a suggestion of fraud, we are all bound to acquiesce in the judgment of…