Allen H. Dahme Associates, Inc. v. The United States

OPINION

COLLINS, Judge *

In this income tax refund case we are forced to deal with the concept of goodwill — one of the most troublesome in the law of taxation. The plaintiff taxpayer is suing to recover income tax paid (plus interest) by virtue of the disallowance by the Commissioner of Internal Revenue of amounts sought to be deducted under section 163 of the code 1 as interest paid or accrued on indebtedness during the taxable years 1961-63. The Commissioner disallowed the amounts because, in his opinion, no consideration was given for the debenture bonds upon which the interest was paid. In…