Sansome rule
Defined in 1 dictionary — Case Law
Definitions from Case Law
From 336 U.S. 410 - Commissioner v. Phipps · 1949Most cited · 109 citing opinions
the effect of the Sansome rule is simply this: a distribution of assets that would have been taxable as dividends absent the reorganization or liquidation does not lose that character by virtue of the tax-free transaction.