Bump Confectionery Co. v. Commissioner
United States Board of Tax Appeals
A liability to respond in damages for breach of contract occurring in 1920, which taxpayer does not admit to the injured party and does not accrue on its books, is not a proper deduction for the taxable year in which the breach occurred.
1Opinion of the Court
APPEAL OF BUMP CONFECTIONERY CO.
Bump Confectionery Co. v. Commissioner
Docket No. 451.
United States Board of Tax Appeals
4 B.T.A. 50; 1926 BTA LEXIS 2387;
April 22, 1926, Decided Submitted October 23, 1925.
A liability to respond in damages for breach of contract occurring in 1920, which taxpayer does not admit to the injured party and does not accrue on its books, is not a proper deduction for the taxable year in which the breach occurred.
E. H. Grimm, Esq., for the taxpayer.
Briggs G. Simpick, Esq., for the Commissioner.
ARUNDELL
Before STERNHAGEN, LANSDON, and ARUNDELL.
The Commissioner has…
2Cases cited1 opinion
- Bump Confectionery Co. v. CommissionerUnited States Board of Tax Appeals · 1926