United States v. Gordon P. Haynes and Essie M. Haynes

TUTTLE, Circuit Judge.

This appeal from a judgment of the district court in favor of the taxpayer raises the question whether payments made by his employer during sick leave, under the employer’s disability benefit plan, are exempt from taxation under •the provision of Section 22(b) (5) of the Internal Revenue Code of 1939, which ■exempts “amounts received through ■* * * health insurance * * * as -compensation for * * * sickness”.1

Taxes are a creature of statute. It is thus the duty of the Court to look to the ¡statute and if the incidence which makes the tax applicable exists, then the tax…