Alphaco, Inc. v. Nelson’s Empirical Analysis
385 F.2d 244 · 1967
Citation profile
23 federal appellate ·
How this case has been cited
Cited by 38 later decisions — most recently August 2018 · most notably Stanton v. Commissioner (1968), United States v. Morton (1968)
23 federal appellate ·
Later decisions citing this case, by decade. The current decade is in progress, and our corpus holds fewer opinions from the most recent years, so the latest bars are undercounted — not a real decline.
Relationships
Applies 26 U.S.C. § 337
Relies on Commissioner of Internal Revenue v. Court Holding Co · United States v. Cumberland Public Service Co. · Spreckels v. Helvering · Pridemark, Inc. v. Commissioner of Internal Revenue · Penn v. Rinaldi
Most-quoted passages
The sentences later courts lift from this opinion, ranked by how many decisions quote each — the parts of the opinion doing the work. These counts are smaller than the citation total above because most of the 38 citing decisions cite the case generally; a passage count includes only decisions quoting that exact language verbatim.
““But if the corporation in such case is permitted to deduct the selling cost from ordinary income as an ordinary and necessary business expense when it sells the property, then the corporation (and through it, the shareholder) receives an additional tax benefit in the form of the deduction against the ordinary income (the earning of which had no connection with the capital sale transaction) reported in the corporation’s last return. The tax differential Congress sought to avoid would thus be re-created, and the purpose and objective of Section 337 wholly frustrated and defeated. Consequently, the allowance of the costs incident to the sale of capital assets as an ordinary and necessary business expense deductible from ordinary income was improper in the instant case.””
2 later decisions quote this exact passage · from the majority““The scheme of the income tax statute is that the cost of producing a given type of income is to be accorded the same tax character as the income produced — that related disbursements and receipts should be given consistent tax treatment.””
2 later decisions quote this exact passage · from the majority“SEO. 337. GAIN OB LOSS ON SALES OB EXCHANGES IN CONNECTION WITH CEBTAIN LIQUIDATIONS. (a) General Bule. — If— (1) a corporation adopts a plan of complete liquidation on or after June 22, 1954, and (2) within the 12-month period beginning on the date of the adoption of such plan, all of the assets of the corporation are distributed in complete liquidation, less assets retained to meet claims, then no gain or loss shall be recognized to such corporation from the sale or exchange by it of property within such 12-month period.”
1 later decision quote this exact passage · from the majority
How this case has been treated — in progress
Whether each later court followed, distinguished, criticized, or overruled this decision. The treatment classification (task #35) runs highest-cited cases first and lights up here as it reaches this one.