Wendell Olk v. United States

SNEED, Circuit Judge:

This is a suit to obtain a refund of federal income taxes. The issue is whether monies, called “tokes” in the relevant trade, received by the taxpayer, a craps dealer employed by Las Vegas casinos, constitute taxable income or gifts within the meaning of section 102(a), Int.Rev.Code of 1954. The taxpayer insists “tokes” are non-taxable gifts. If he is right, he is entitled to the refund for which this suit was brought. The trial court in a trial without a jury held that “tokes” were gifts. The Government appealed and we reverse and hold that “tokes” are taxable income.

I.…