Commissioner of Internal Revenue v. Walsh

PRETTYMAN, Circuit Judge.

This is an appeal by the Commissioner of Internal Revenue from a decision of the Tax Court of the United States, in which a deficiency in income and victory taxes proposed for the year 1943 and penalties proposed for the years 1942 and 1943 were not approved. Respondent is the divorced wife of Raoul Walsh. They were *804married in 1916 and separated in 1926. On February 21, 1927, they entered into a written agreement providing for support and maintenance. On June 10, 1927, an interlocutory divorce decree was entered in California, and on August 1, 1928, a final divorce…