Daly v. Anderson

WOOLSEY, District Judge.

I grant the plaintiff’s motion for a directed verdict and deny the defendant’s motion therefor.

The facts are stipulated, and it would merely cumber the record to repeat them in this decision.

It may fairly be said that there are two questions involved here.

The first is whether the $8,500 paid by the plaintiff to his real estate broker was a capital expenditure and, hence, not deductible from income whether a taxpayer be on a cash or accrual basis, and the second is whether, as the taxpayer kept his books on a cash basis, he was entitled to deduct from his income in 1923…