Eddy Bros. v. United States

R. JASPER SMITH, District Judge.

This Is an action to recover federal excise taxes, in the form of a cabaret tax, assessed against and paid by plaintiff, for the taxable period November 1, 1950, through December 31, 1954, in the aggregate amount of $22,176.59, with statutory interest thereon from the dates of payment.

The question involved is whether plaintiff was subject to federal excise (cabaret) taxes under the provisions of Section 1700(e) of the Internal Revenue Code of 1939, 26 U.S.C.A. § 1700(e), for the period in question on amounts paid by plaintiff’s patrons for food and beverages…