U.S. Supreme Court
Peabody v. Eisner, 247 U.S. 347 (1918)
Peabody v. Eisner
Argued March 4, 5, 6, 1918
Decided June 3, 1918
247 U.S. 347
A dividend received by a shareholder after, from surplus profit of the corporation existing before, March 1, 1913, was subject to the "surtax" under the Income Tax Act of 1913. Lynch v. Hornby, ante, 247 U. S. 339. A dividend by a corporation of shares owned by it in another corporation is not a stock dividend, and is subject to the tax, like an equivalent distribution of money. Towne v. Eisner, 245 U. S. 418, distinguished.
The case is stated in the opinion.