U.S. Court of Appeals for the Third Circuit, 1956

Allied Trades Club, Inc. v. Commissioner of Internal Revenue

U.S. Court of Appeals for the Third Circuit · Decided January 3, 1956 · McLaughlin, Kalodner, Hastie

228 F.2d 906; 48 A.F.T.R. (P-H) 840; 1956 U.S. App. LEXIS 4310 (Federal Reporter, Second Series)

Counsel

Samuel M. Baker, Erie, Pa. (English, Gilson, Baker & Bowler, Erie, Pa., on the brief), for appellant., Davis W. Morton, Jr., Washington, D. C. (H. Brian Holland, Asst. Atty. Gen., Ellis N. Slack, Hilbert P. Zarky, George F. Lynch, Attys., Dept, of Justice, Washington, D. C., on the brief), for appel-lee.

Cases that cite this one

4 later published cases cite this decision.

Santa Barbara Club v. Commissioner (United States Tax Court 1977)
Rochester Liederkranz, Inc. v. United States (2d Cir. 1972)
Polish Army Veterans Post 147 v. Commissioner of Internal Revenue, Polish Army Veterans Post 147 Home Association v. Commissioner of Internal Revenue (3d Cir. 1956)
Allgemeiner Arbeiter Verein v. Commissioner of Internal Revenue (3d Cir. 1956)

This list shows which later cases cite this one. It does not say how they treated it, and no review of that has been done. Not a substitute for Shepard’s or KeyCite — verify before relying.

Opinion

PER CURIAM.

The Tax Court held that petitioner club cannot be exempted from taxation under Section 101(9) of the Internal Revenue Code of 1939, 26 U.S.C. § 101 (9), as a club “organized and operated exclusively for pleasure, recreation, and other nonprofitable purposes, no part of the net earnings of which inures to the benefit of any private shareholder.” Petitioner club meticulously fulfils the Code requirements except that it operates a small members death benefit fund which was commenced by a transfer of $500 from its general funds and for which a fourth of dues paid is set aside. Though nonprofitable, the purpose of the fund is not for “ ‘pleasure [or] recreation’ ” or similar purpose as the language “ ‘and other nonprofitable purposes’ ” has been construed by this court. Keystone Automobile Club v. Commissioner, 3 Cir., 1950, 181 F.2d 402, 403. 1 We are bound by that decision and therefore the decision of the Tax Court will be affirmed.

. See also Chattanooga Automobile Club 7. Commissioner, 6 Cir., 1950, 182 F.2d 551.

Case-law data current through December 31, 2025. Source: CourtListener bulk data.