The Globe, Inc. v. Commissioner
United States Board of Tax Appeals
On its income tax returns, which were filed on the basis of cash receipts and disbursements, the petitioner deducted amounts as salaries which it neither paid nor credited in the taxable years. Held, the deductions should be disallowed and the fraud penalties affirmed.
1Opinion of the Court
*120OPINION.
Lansdon:
The respondent has alleged fraud and has submitted evidence sufficient in our opinion to prove it. The facts clearly show that the amounts in question were not paid or credited to the petitioner’s officers during the taxable years and that no charges for such amounts were made on the books of the corporation. It is also clear that such amounts were deducted from income on the income tax returns filed by the petitioner for each of the taxable years. The petitioner’s president and treasurer have sworn to returns which were false, for the purpose of evading income taxes. The…
2Cases cited2 opinions
- L. Schepp Co. v. CommissionerUnited States Board of Tax Appeals · 1932
- Tanner Oil Co. v. CommissionerUnited States Board of Tax Appeals · 1930
3Cited by3 opinions
- Hicks Co. v. CommissionerUnited States Tax Court · 1971
- Hicks Co. v. CommissionerUnited States Tax Court · 1971
- The Globe, Inc. v. CommissionerUnited States Board of Tax Appeals · 1933