Bergh v. Pedrick

HINCKS, District Judge.

The only open questioji is one of law. In Sec. 107(c) of the Internal Revenue Code as it stood in 1939 and 1940 (see historical note to 26 U.S.C.A. Int.Rev.Code, § 107), does the treatment acoorded compensation required to be included in gross income “for any taxable year beginning after December 31, 1938” mean any one or single taxable year as contended by the defendant or does it mean any one or more taxable years as contended by the plaintiffs?

Concededly, Slough v. Commissioner, 6 Cir., 147 F.2d 836, directly supports plaintiffs’ position. But that case reversed a…