DIAMOND SHOE CO. v. COMMISSIONER OF INTERNAL REVENUE

No. 338.

42 F.2d 144 (1930)

DIAMOND SHOE CO. v. COMMISSIONER OF INTERNAL REVENUE.

Circuit Court of Appeals, Second Circuit.

May 12, 1930.


Attorney(s) appearing for the Case

George W. Newgass, of New York City (Myron A. Finke, Franklin Waldheim, and A. H. Frisch, all of New York City, of counsel), for petitioner.

G. A. Youngquist, Asst. Atty. Gen., and J. Louis Monarch and A. H. Conner, Sp. Assts., to Atty. Gen. (C. M. Charest, Gen. Counsel, Bureau of Internal Revenue, and De Witt M. Evans, Sp. Atty., Bureau of Internal Revenue, both of Washington, D. C., of counsel), for respondent.

Before MANTON, L. HAND, and CHASE, Circuit Judges.


CHASE, Circuit Judge (after stating the facts as above).

Briefly stated, the issue of law which forms the basis of this appeal is whether these corporations were affiliated for taxation purposes not only in 1918, as all agree, but also whether their predecessors, owned by the same stockholders during the pre-war period from the time the Massachusetts corporation was organized in 1912, are to be treated as one for the purpose of computing the deductible pre-war credit...

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