Commissioner v. Kenan

AUGUSTUS N. HAND, Circuit Judge.

The question before us is whether $25,-867.31 paid in the year 1940 by the respondents as trustees under the will of Mary Lily (Flagler) Bingham were “ordinary and necessary expenses paid or incurred during the taxable year for the production or collection of income, or for the management, conservation, or maintenance of property held for the production of income” and thus deductible in computing income tax under Section 23 (a) (2) of the Internal Revenue Act of 1942, 26 U.S.C.AJnt.Rev.Code, § 23(a) (2), which amended Section 23(a) by adding subdivision (2),…