court case brief

Read the attached Revenue Ruling 69-608 and summarize the rules concerning constructive dividends when a corporation redeems stock where another shareholder has entered into a contract to purchase the redeemed stock. This situation arises when shareholders and the corporation create what is commonly referred to as a “shareholders’ agreement” to control how and to whom a shareholder may sell his/her stock. The nuances in Rev. Rul. 69-608 are important and knowing the correct “order” may avoid the IRS classifying the redemption by the corporation as a constructive dividend to the other shareholder(s).

The form of the the “brief” of a Revenue Ruling follows generally the form for Court Cases.

Your Brief should be no more than 3 pages in length (double-spaced, 12 pt Arial or Times New Roman font). Submit your Brief in a Word or PDF file.