Lucy H. Harper v. United States

BATTIN, District Judge:

Appellant United States appeals from an order of the District Court, 314 F. Supp. 360, declaring that certain payments made by Graybar Electric Company, Inc., to Appellee Harper were gifts and therefore not subject to inclusion in gross income. Appellant argues that under Commissioner of Internal Revenue v. Duberstein, 363 U.S. 278, 80 S.Ct. 1190, 4 L.Ed.2d 1218 (1960), the payments in question cannot be found to have been gifts and that they must therefore be included in the recipient’s gross income.

Mr. Harper was an employee of Gray-bar Electric Company until his…