O. L. Schmidt Barge Lines, Inc. v. United States

In this case, before the court on the parties’ cross-motions for summary judgment, and on which oral argument has been heard, plaintiff seeks a refund, with interest, of $13,275.77, paid by plaintiff following assessment of a deficiency in income tax for the taxable year ended August 31, 1975. The deficiency was based on a determination by the Commissioner of Internal Revenue that plaintiff does not qualify for an investment credit since the investment in its barges was made with tax-deferred funds pursuant to section 607 of the Merchant Marine Act of 1970. 46 U.S.C. § 1177 (1970).

Plaintiff…