State v. Snyder Bros. Co.

Pannell, Judge.

The State Revenue- Commissioner disallowed certain interest deductions of the taxpayer, Snyder Brothers Company, on its income tax returns for several years and issued an execution for the deficiency in income tax payments created thereby. To the executions the taxpayer filed its affidavit of illegality alleging that the interest deducted and which the Revenue Commissioner disallowed was interest paid upon an indebtedness evidenced by certain debentures of the taxpayer and was therefore deductible under Code § 92-3109. The taxpayer then made a motion for summary judgment…