BENNETT ASSOCIATION v. UTAH STATE TAX COMMISSION

No. 10682.

19 Utah 2d 108 (1967)

426 P.2d 812

BENNETT ASSOCIATION, PLAINTIFF, v. UTAH STATE TAX COMMISSION, DEFENDANT.

Supreme Court of Utah.

April 21, 1967.


Attorney(s) appearing for the Case

Mulliner, Prince & Mangum, F.S. Prince, John K. Mangum, Salt Lake City, for plaintiff.

Phil L. Hansen, Atty. Gen., F. Burton Howard, Salt Lake City, for defendant.


CROCKETT, Chief Justice:

Bennett Association contests a corporate franchise tax deficiency of $73,029 assessed against it by the defendant Tax Commission based on its receipt of a $1,766,362 liquidating distribution of assets from a subsidiary corporation, Bennett's, during the taxable year of 1964

Plaintiff places reliance on Article 34 of Regulation 4(a) of the Tax Commission which provides that:

Gain or loss shall not be recognized upon a distribution...

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