United States v. O'Neill (Three Cases). United States v. Avery

Appellees are beneficiaries of a testamentary trust which, prior to and in the year 1946, was engaged in the business of raising beef cattle for market. In 1944 323 head of 2-year-old heifers were sold and profits realized therefrom reported as a capital gain under the provisions of § 117(j) of the Internal Revenue Code, 26 U.S.C.A. The Commissioner of Internal Revenue made a “redetermination of the amount of income taxes due and treated the income from the sale of the heifers as ordinary income. Appel-lees paid the additional amount assessed and being denied a refund instituted suit to…