# Indianapolis Street Ry. v. Commissioner > United States Board of Tax Appeals · June 17, 1927 · 7 B.T.A. 397 URL: https://www.frixlaw.com/law-library/cases/4500094 ## Case - **Full name:** INDIANAPOLIS STREET RAILWAY CO., v. COMMISSIONER OF INTERNAL REVENUE - **Court:** United States Board of Tax Appeals - **Decided:** June 17, 1927 - **Citations:** 7 B.T.A. 397; 1927 BTA LEXIS 3189 - **Precedential status:** Published - **Opinion:** Opinion of the court by Littleton - **Judges:** Littleton - **Cited by:** 0 later opinions in the Frix Law Library ## Citator (automated) - No negative treatment found by the automated citator. That is not the same as a confirmation that the case is good law; read the citing cases. - Full citator and citing cases: https://www.frixlaw.com/law-library/cases/4500094 ## Opinion text *398 OPINION. Littleton : The Commissioner held that the petitioner derived a taxable gain in 1923 when it purchased the bonds of its predecessor companies which it had assumed when it took over their assets, at *399 less than par. Petitioner contends that no taxable gain resulted from such purchase. The Board has heretofore had occasion to consider this question and has held that the retirement by a corporation of its bonds at less than par does not result in taxable gain. Independent Brewing Co. of Pittsburgh, 4 B. T. A. 870; New Orleans, Texas & Mexico Ry. Co., 6 B. T. A. 436. See also Kerbaugh-Empire Co. v. Bowers, 300 Fed. 938 ; Bowers v. Kerbaugh-Empire Co., 271 U. S. 170 ; Meyer Jewelry Co., 3 B. T. A. 1319. It is accordingly held that the Commissioner erred in his determination that the petitioner derived a taxable gain upon the retirement of the bonds involved in this proceeding. Judgment will be entered on IS days'1 notice, under Rule 50. --- Source: Frix Law Library, https://www.frixlaw.com/law-library/cases/4500094. Public record. Not legal advice.