Arkansas Best Corporation v. Commissioner of Internal Revenue

PETITIONER: Arkansas Best Corporation
RESPONDENT: Commissioner of Internal Revenue
LOCATION: United States Catholic Conference

DOCKET NO.: 86-751
DECIDED BY: Rehnquist Court (1988-1990)
LOWER COURT: United States Court of Appeals for the Eighth Circuit

CITATION: 485 US 212 (1988)
ARGUED: Dec 09, 1987
DECIDED: Mar 07, 1988

ADVOCATES:
Alan I. Horowitz - for the respondent
Vester T. Hughes, Jr. - on behalf of the Petitioner

Facts of the case

Question

Media for Arkansas Best Corporation v. Commissioner of Internal Revenue

Audio Transcription for Oral Argument - December 09, 1987 in Arkansas Best Corporation v. Commissioner of Internal Revenue

Audio Transcription for Opinion Announcement - March 07, 1988 in Arkansas Best Corporation v. Commissioner of Internal Revenue

William H. Rehnquist:

The opinion of the Court in No. 86-751, Arkansas Best Corporation versus Commissioner of Internal Revenue will be announced by Justice Marshall.

Thurgood Marshall:

This case is here on certiorari to the United States Court of Appeals for the Eighth Circuit.

The United States Tax Court held that the stock that was purchased for business purposes was subject to ordinary-loss treatment.

The Court of Appeals reversed this determination.

We conclude that petitioner's purpose in acquiring the stock is irrelevant to the determination whether the stock is within the broad definition of capital assets in the Internal Revenue Code.

We therefore affirm the judgment of the Court of Appeals of the Eighth Circuit.

Justice Kennedy took no part in the consideration or decision of this case.