Wusich v. Commissioner
United States Tax Court
In 1950 and 1951, petitioner, while employed as general manager of a bank, credited the account of a depositor with a deposit which had not in fact been made, honored checks on an account lacking funds to pay them, and falsified bank records to conceal the shortage. These acts were done with intent to injure and defraud the bank and were not approved of by the bank.
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In 1950 and 1951, petitioner, while employed as general manager of a bank, credited the account of a depositor with a deposit which had not in fact been made, honored checks on an account lacking funds to pay them, and falsified bank records to conceal the shortage. These acts were done with intent to injure and defraud the bank and were not approved of by the bank. In December of 1951, the petitioner and the depositor were indicted for willfully misapplying bank funds and falsifying bank records in violation of sections 656 and 1005 of Title 18 of the United States Code. The petitioner…
1Opinion of the Court
OPINION.
Turner, Judge:
The first question is whether the petitioner is entitled to deduct as ordinary and necessary business expenses3 amounts paid by him to a bonding company in 1953 and 1954 in satisfaction of his liability to the bonding company.
At the trial and on brief, the petitioner has made the contention that the amounts paid to the bonding company are deductible as ordinary and necessary business expenses. It is the respondent’s position that the payments resulted from the petitioner’s criminal activity which was outside the scope of his business or employment, and that the allowance…
2Cases cited17 opinions
- Welch v. HelveringSupreme Court of the United States · 1933
- Deputy, Administratrix v. Du PontSupreme Court of the United States · 1940
- Commissioner v. HeiningerSupreme Court of the United States · 1943
- Evans v. United StatesSupreme Court of the United States · 1894
- Tank Truck Rentals, Inc. v. CommissionerSupreme Court of the United States · 1958
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3Cited by7 opinions
- Bixby v. CommissionerUnited States Tax Court · 1972
- O'Brien v. CommissionerUnited States Tax Court · 1961
- Casy O'Brien and Dorotha O'Brien v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1963
- Bixby v. CommissionerUnited States Tax Court · 1972
- Lafayette Extended Care, Inc. v. CommissionerUnited States Tax Court · 1978
2 more not listed; retrieve them via the Exa API.