Edwards v. Cuba Railroad

Plaintiff, a New Jersey corporation, owns and operates a railroad in Cuba. In March, 1917, it made return of its income for 1916; and, in due time, paid the tax assessed on the basis of its return. Plaintiff had received in 1911 to 1916, inclusive, subsidy paymerits from the Republic of Cuba, amounting in- all to $1,696,216.20, but did not report any part of them as taxable income. January 1, 1918, the Commissioner of Internal Revenue assessed against plaintiff for 1916 an additional tax of $33,924.32, being two per cent. — the rate prescribed in the Revenue Act of 1916, (Act of September 8,…