Scholarship Endowment Foundation v. Nicholas

BRATTON, Circuit Judge.

Its applications for refund having been denied, Scholarship Endowment Foundation, hereinafter called the foundation, sued the Collector of Internal Revenue for the district of Colorado to recover income and excess profits taxes paid for the year 1936, and capital stock taxes paid for the years 1936 and 1937, with accrued interest thereon. Judgment was rendered for the Collector. 25 F.Supp. 511. The foundation appealed, and the question presented is ■ whether it was entitled to exemption from such taxes.

The foundation was organized in 1932. Benjamin M. Rastall, his wife,…