Mann v. United States

MEMORANDUM OPINION

BUCHMEYER, District Judge.

This case involves an attempt by the government to offset a claim for additional estate tax which is barred by limitations against the amount recovered by the taxpayer in an income tax refund suit. One issue is presented:

Is the amount recovered by an estate in a successful income tax refund suit subject to offset — under the doctrine of “equitable recoupment” 1 — by the amount of additional estate tax which, although now barred by limitations, would have been due if the value of the claim for tax refund had been included as an asset for estate tax…