New England Mut. Life Ins. v. United States

On Demurrer.

LITTLETON, Judge.

In this suit, plaintiff seeks to recover $211,618.91, together with interest, on account of overpayments of income tax for 1921, 1922, and 1923, on the ground that the Commissioner of Internal Revenue in computing the income for said years reduced the deduction from gross income of 4 per cent, of the mean of its reserve funds required by law to he held at the beginning and end of the taxable year by the amount of interest received by it during the year on tax-exempt securities. The amount of such exempt interest was $1,020,519.09 for 1921, $1,108,-776.19 for 1922,…