Hudson v. Commissioner
United States Tax Court
The United States Educational Foundation in China was an instrumentality of the United States and was under the general control of the Secretary of State. The salary and allowances of petitioner as an officer of the Foundation were fixed with the approval of the State Department in accordance with its regulations governing the pay and allowances of Foreign Service officers and employees.
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The United States Educational Foundation in China was an instrumentality of the United States and was under the general control of the Secretary of State. The salary and allowances of petitioner as an officer of the Foundation were fixed with the approval of the State Department in accordance with its regulations governing the pay and allowances of Foreign Service officers and employees. Cost-of-living allowances so paid petitioner are excludible from her gross income under section 116 (j) of the Internal Revenue Code.
1Opinion of the Court
OPINION.
Arundell, Judge:
Under section 116 (j) of the Internal Revenue Code,2 civilian officers and employees of the Government of the United States stationed outside continental United States may exclude from gross income amounts received as cost-of-living allowances in accordance with regulations approved by the President. Although the exact technical relationship between the Foundation and the Department of State does not appear ever to have been finally determined, the parties are agreed that the Foundation was an agency of the United States and that petitioner was an employee of the…
2Cases cited1 opinion
- Brunelle v. CommissionerUnited States Tax Court · 1950
3Cited by4 opinions
- Dowd v. CommissionerUnited States Tax Court · 1961
- Dowd v. CommissionerUnited States Tax Court · 1961
- Dowd v. CommissionerUnited States Tax Court · 1961
- Hudson v. CommissionerUnited States Tax Court · 1953