United States v. J. Leslie Morris Co.

HEALY, Circuit Judge.

This is an appeal by the government from a judgment for the refund of excise taxes. It involves the question whether sales of automobile connecting rods were taxable under § 606(c) of the Revenue Act of 1932, 26 U.S.C.A.Int.Rev.Code, § 3403 (c), imposing a tax upon automobile parts “sold by the manufacturer, producer, or importer” thereof.

The taxpayer was incorporated to “operate a business for the manufacture, sale and distribution of automotive and industrial bearing metals and products”. During the taxable period it was engaged in rebabbiting and otherwise processing,…