Beatrice B. Bramer, Cecil B. Mihaly and George C. Brown, Surviving Executors, Estate of S. Eugene Bramer, Deceased v. United States

KALODNER, Circuit Judge.

This appeal arises out of a suit to recover income and victory taxes paid by plaintiffs’ decedent (“taxpayer”) for the year 1943. The District Court denied relief, Kaplan v. United States, 154 F. Supp. 167, and this appeal followed. Two transactions are involved. They are the basis of taxpayer’s two causes of action set forth in a single complaint. An issue common to both is whether the taxpayer, who made his income tax returns on the basis of cash receipts and disbursements, was entitled to deduct payments made in 1942 and 1943 on account of obligations arising from…