E. I. Du Pont De Nemours and Company v. United States

JONES, Chief Judge.

This is a suit for refund of taxes. Three separate claims are involved. The defendant has conceded plaintiff’s right to recover on the third claim.

The two primary contested issues are:

1. When deposits are made to assure the return of certain pressurized gas cylinders, and the cylinders are not returned and the deposits are forfeited whether the excess of the deposits over the adjusted basis of the cylinders should be treated as capital gain or ordinary income.

2. Whether a taxpayer receives capital gain or ordinary income when he makes a nonexclusive transfer of certain…