J. W. Sefton, Jr. v. Commissioner of Internal Revenue

BARNES, Circuit Judge.

Petitioner sought to redetermine an income tax deficiency assessed against him for the year 1953 in the sum of $14,214.19. This deficiency arose from the disallowance by the Commissioner of two items taxpayer claimed deductible; namely: (1) $39,533.49 allegedly paid by him as interest during 1953 ; 1 and (2) $8,037.06 paid by him as attorneys’ fees and costs in certain litigation during 1953.

In 1949 petitioner’s wife had sued him to recover $242,229.82 (hereinafter referred to as Item 3) alleged to be profits from sales of stock allegedly owned by her; (Item 4) $4,116.60…