United States v. John M. Winters, Jr., and Marian M. Winters

Admittedly, the decisive question is whether these expenditures, otherwise deductible as ordinary and necessary business expenses under Section 162(a) of the Internal Revenue Code of 1954, are nevertheless nondeductible in Oklahoma because they frustrate a sharply defined public policy of that state with respect to the sale or disposition of intoxicating liquor. While the deductibility of expenses incurred in this manner is eon-cededly a matter of legislative grace, their nondeductibility in Oklahoma for reasons of public policy is assuredly a matter of judicial fiat. No considerations of…