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          guarantor of the indebtedness between the S corporation and the             
          bank.                                                                       
               In applying the "substance over form" doctrine in Grojean v.           
          Commissioner, supra, we did not purport to overrule Raynor v.               
          Commissioner, supra, or Gilday v. Commissioner, supra.  Instead,            
          we emphasized the distinctions between the lending arrangement in           
          Grojean and those found to give rise to basis in Raynor and                 
          Gilday.  We reasoned that, in Raynor, the taxpayer had borrowed             
          from a third party and then directly lent the funds to his S                
          corporation, whereas the taxpayer in Grojean "did not relend the            
          funds directly to" his S corporation.  Grojean v. Commissioner,             
          supra.  In Gilday, we observed, the taxpayer (along with other              
          shareholders of an S corporation) issued his note to a third-party          
          bank which thereupon canceled the S corporation's note it held.             
          In exchange, the S corporation gave its note of the same amount to          
          the taxpayer (and other shareholders).  The result, we noted, was           
          direct indebtedness of the S corporation to the shareholders in             
          Gilday, whereas the S corporation in Grojean "was not directly              
          indebted to petitioner in any way, and petitioner's rights were             
          against * * * [the bank], not * * * [the S corporation]."  Grojean          
          v. Commissioner, supra.                                                     
               When the loan arrangements at issue are compared to those in           
          Grojean v. Commissioner, supra, on the one hand and to those in             
          Raynor v. Commissioner, supra, and Gilday v. Commissioner, supra,           
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