- 4 - shareholdings and as capital contributions by those same shareholders to Foods. Paragraphs 6(i) of both the Hatchery and Foods petitions allege that the Commissioner erred in failing to determine an increase in Foods’ shareholders' bases in their stock equal to the amount of the constructive contributions that they are deemed to have made to Foods as a consequence of respondent's section 482 adjustments for each of the years in issue. Paragraphs 6(j) of both the Hatchery and Foods petitions allege that the Commissioner erred in failing to determine that, as a consequence of the constructive corporate distributions and shareholder contributions described in paragraphs 6(h) and (i), Foods shareholders had adequate bases in their Foods stock to deduct their proportionate shares of the annual losses attributed to Foods pursuant to respondent's section 482 adjustments and that the adjustments produced a wash for tax purposes at the individual shareholder level. Paragraphs 6(k), (l), and (m) of the Hatchery petition contain allegations contesting the accuracy-related penalties under section 6662. The petition alleges that the Commissioner erred in determining that accuracy-related penalties are applicable to the section 482 adjustments in dispute and that the Commissioner erred in determining that the penalties are not subchapter S items subject to review in these proceedings.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Next
Last modified: May 25, 2011