- 191 -
conduit.143
In point of fact, the well-established substance over form
doctrine and related principles are so broad in their reach as to
permit ignoring or recharacterizing the role of a person in a
transaction that is otherwise engaged in business and is not con-
trolled by any of the other persons involved in that transaction.
See Koehring Co. v. United States, 583 F.2d at 320; Burns v.
Commissioner, 78 T.C. at 212-213; Estate of Weiskopf v. Com-
missioner, 64 T.C. at 93-98; Bank of Am. Natl. Trust & Sav.
Association v. Commissioner, 15 T.C. at 552-553. Moreover, as
pointed out by respondent, the public was put on notice when she
issued Rev. Rul. 76-192, supra, years before the issuance of Rev.
Rul. 87-89, 1987-2 C.B. 195, that a bank involved in a transac-
tion may be treated as a conduit even though it is engaged in
commercial banking and is not controlled by the other persons
involved in that transaction. In Rev. Rul. 76-192, supra, the
Service, relying on factors similar to those relied on in Rev.
Rul. 87-89, supra, held that such a bank was a conduit for pur-
poses of determining whether the foreign corporation involved in
Rev. Rul. 76-192, supra, had made an investment in U.S. property
under section 956(a)(1).
143 Petitioner cites Frank Lyon Co. v. United States, 435 U.S.
561 (1978), to support his contention. His reliance on that case
is misplaced. It is distinguishable from the instant cases. See
supra note 98.
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