Floyd E. Riley, Appellee/cross-Appellant v. United States of America, Appellant/cross-Appellee

BEAM, Circuit Judge.

The United States appeals the district court’s summary judgment order concluding that Floyd E. Riley is entitled to a $2,000 tax refund. Riley cross-appeals the court’s denial of his motion for attorney fees. We reverse the court’s summary judgment order and remand for further proceedings.

I. BACKGROUND

Through 1990, Floyd E. Riley was associated, in various capacities, with Ferco Fabricators, Inc., a company in Moberly, Missouri. During this time Riley was majority shareholder and at one point served as chairman of the board of directors. The government alleges that in…