COBOURN v. BOWERS

Nos. 37081 and 37082.

173 Ohio St. 4 (1962)

COBOURN ET AL., APPELLANTS, v. BOWERS, TAX COMMR., APPELLEE. GOERLICH'S, A PARTNERSHIP, APPELLANT, v. BOWERS, TAX COMMR., APPELLEE.

Supreme Court of Ohio.

Decided January 10, 1962.


Attorney(s) appearing for the Case

Messrs. Cobourn, Yager, Smith & Falvey, for appellants.

Mr. Mark McElroy, attorney general, and Mr. Robert J. Kosydar, for appellee.


MATTHIAS, J.

The single question raised by these appeals is whether a preferred-stock dividend issued on a share-for-share basis on common stock, coupled with a simultaneous transfer from earned surplus to the capital account of an amount equal to the declared value of such preferred stock, constitutes income yield within the meaning of the Ohio Intangible Tax Act.

The Ohio Intangible Tax Act so far as it relates...

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