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Full-Text Articles in Securities Law
Taxation-Income Tax-Exempt Reorganizations-Recapitalization As Device For Distributing Earnings, Bayard E. Heath S.Ed.
Taxation-Income Tax-Exempt Reorganizations-Recapitalization As Device For Distributing Earnings, Bayard E. Heath S.Ed.
Michigan Law Review
Petitioner owned more than three-fourths of the stock in a corporation whose shares had a par value of $100. Except for one share, his wife owned the remainder. Under a plan of recapitalization the stockholders received in exchange for each old share, five shares of no par stock with a stated value of $60 per share plus a portion of $400,000 worth of callable debentures issued by the corporation. At the time of this exchange the earned surplus of the corporation exceeded $850,000. The commissioner held that the full value of the debentures received was chargeable to the taxpayer as …
Constitutional Law-Taxation-Gross Receipts Taxes In Relation To Interstate Commerce-Freeman V. Hewit, Irving Slifkin S.Ed.
Constitutional Law-Taxation-Gross Receipts Taxes In Relation To Interstate Commerce-Freeman V. Hewit, Irving Slifkin S.Ed.
Michigan Law Review
The scope of state taxation of interstate commerce has been redefined in two recent Supreme Court cases involving the application of state gross receipts taxes. In Freeman v. Hewit and Joseph v. Carter and Weekes Stevedoring Co., the Court discarded the cumulative burdens test, which for the past eight years had served as the basis for determining the extent of state taxation of interstate commerce, and readopted the direct and indirect burden test.