(Download) "American Range Lines Inc. v. Commissioner of Internal Revenue." by United States Court Of Appeals Second Circuit # Book PDF Kindle ePub Free
eBook details
- Title: American Range Lines Inc. v. Commissioner of Internal Revenue.
- Author : United States Court Of Appeals Second Circuit
- Release Date : January 03, 1952
- Genre: Law,Books,Professional & Technical,
- Pages : * pages
- Size : 71 KB
Description
When taxpayers sole stockholder, Mrs. Rogers, litigated the question of her taxes arising from this very transaction, the Third Circuit (reversing the Tax Court) held that the entire consideration paid by Liberty (i. e ., American Liberty Steamship Corporation) was paid to Mrs. Rogers for her consent - evidenced by the November 27, 1944 contract - to terminate the so-called "joint venture" which had been operating under the August 1943 contract. See Rogers v. Commissioner of Internal Revenue, 3 Cir., 180 F.2d 720. We respectfully disagree with that conclusion. For we agree with the Tax Court that the taxpayer transferred to Liberty assets of considerable value, especially the General Agency which taxpayer had acquired by its agreement with the War Shipping Administration. W.S.A. had given its consent to the transfer to Liberty; the fact that W.S.A. could terminate the General Agency did not render it valueless, for obviously the parties considered it as practically an important privilege despite that revocability.