Buscaglia v. Tax Court of Puerto Rico

Mb. Justice De Jesús

delivered the opinion of the court.

Dubón & Ochoteco', a law firm, declared a net income of $60,016.23 for the taxable year 1941, and claimed deductions for that same amount. On August 6, 1943, the Treasurer sent the taxpayer a deficiency bill for $4,142.55 for that same year plus interest at 6 per cent since March 15, 1942, to September 15, 1943, amounting to $372.83, and a penalty of 5 per cent amounting to $207.13, the whole amount being $4,722.51.

In order to determine that deficiency' the Treasurer rejected from the deductions claimed by the firm, the amount of two…