Ace-Chicago Great Dane Corporation v. United States

HARLINGTON WOOD, Jr., Circuit Judge.

The United States appeals from the judgment of the district court holding plaintiff-appellee Ace-Chicago Great Dane Corporation (Ace) not liable for manufacturers’ excise taxes on the sale of motor vehicle parts and accessories that were assessed against it and collected for the years 1970 through 1975. The district court ruled that the tax liability should be borne by Ace’s customers. The government maintains that the district court erred in finding that Ace’s customers were the “manufacturers” under the applicable Treasury Regulation rather than Ace. We…