Greensboro Pathology Associates, P.A. v. The United States

KASHIWA, Circuit Judge.

This case, on appeal from the United States Claims 'Court 1 , raises an issue of first impression for this court. We must decide whether the cost of an educational benefit plan for the children of employees is presently deductible by the employer under section 162 or deductible later under section 404 of the Internal Revenue Code. We hold that section 162 applies.

Appellant, Greensboro Pathology Associates, P.A., is a North Carolina professional corporation formed on July 1,1970. It provides medical services in the field of pathology to the Moses H. Cone Memorial…