Easton Tractor & Equipment Co. v. Commissioner
United States Board of Tax Appeals
1. BUSINESS EXPENSE. - Where respondent has determined that certain commissions paid to an agent on sales made to the State Highway Commission of Louisiana were not deductible as ordinary and necessary business expenses and the facts disclose that the agent was employed because of his close relationship and personal influence with the state administration or government, held the commissions paid are not deductible as ordinary and necessary business expenses, because the…
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1. BUSINESS EXPENSE. - Where respondent has determined that certain commissions paid to an agent on sales made to the State Highway Commission of Louisiana were not deductible as ordinary and necessary business expenses and the facts disclose that the agent was employed because of his close relationship and personal influence with the state administration or government, held the commissions paid are not deductible as ordinary and necessary business expenses, because the agreement under which they were paid was against public policy. 2. BAD DEBT. - Claimed deduction disallowed upon failure to…
1Opinion of the Court
opinion.
Tyson :
These consolidated proceedings seek redetermination of income tax deficiencies in the amounts of $624 for 1930, $390.75 for 1931, and $692.54 for 1932. That part of the deficiency asserted for the year 1931 growing out of the disallowances of $231.25 for donations and $625 for campaign contributions is not in controversy.
Petitioners assign error in the respondent’s disallowance of a claimed deduction in each of the years 1930 and 1931 for the amount of commissions paid to H. R. Brothers on sales of tractors to the *190Louisiana State Highway Commission based upon respondent’s…
2Cases cited8 opinions
- Oscanyan v. Arms Co.Supreme Court of the United States · 1881
- Tool Co. v. NorrisSupreme Court of the United States · 1865
- Hazelton v. SheckellsSupreme Court of the United States · 1906
- Meguire v. CorwineSupreme Court of the United States · 1880
- Hayward v. Nordberg Mfg. Co.Court of Appeals for the Sixth Circuit · 1898
3 more not listed; retrieve them via the Exa API.
3Cited by12 opinions
- Rugel v. Commissioner of Internal RevenueCourt of Appeals for the Eighth Circuit · 1942
- Dukehart-Hughes Tractor & Equipment Co., Inc., a Corporation v. The United StatesUnited States Court of Claims · 1965
- Alexandria Gravel Co. v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1938
- Alexandria Gravel Co. v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1938
- Commissioner of Internal Rev. v. Textile Mills S. Corp.Court of Appeals for the Third Circuit · 1940
7 more not listed; retrieve them via the Exa API.