B.W. CO. v. STATE TAX COMMISSION


370 Mass. 18 (1976)

345 N.E.2d 884

B.W. COMPANY & another vs. STATE TAX COMMISSION.

Supreme Judicial Court of Massachusetts, Suffolk.

April 1, 1976.


Attorney(s) appearing for the Case

Richard H. Appert, of New York (Emanuel G. Demos, of New York, & Michael H. Goshko with him) for the taxpayer & another.

Thomas Miller, Assistant Attorney General, for the State Tax Commission.

Peter B. Benfield for the trustees of College House Trust & others, amici curiae, submitted a brief.

Present: REARDON, QUIRICO, BRAUCHER, KAPLAN, & WILKINS, JJ.


WILKINS, J.

This case presents the question whether gain realized from the sale of trust assets under a plan of liquidation adopted pursuant to § 337 of the Internal Revenue Code (Code) was taxable to the trust under the Massachusetts income tax laws applicable in 1971 and 1972 to trusts with transferable shares. We hold that such a gain was not so taxable under the law then in effect.

In March, 1971, the B.W...

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