Kleinschmidt v. Commissioner
United States Tax Court
During the taxable year petitioner paid out $ 1,881 as court costs, attorney fees, and other expenses in connection with three libel suits that he brought against certain newspaper publishers for alleged libelous statements made against him as a candidate for circuit judge. Petitioner deducted the $ 1,881 as ordinary and necessary expenses of his law office. Held, the expenditures did not constitute ordinary and necessary expenses of carrying on his trade or business.
1Opinion of the Court
OPINION.
Arnold, Judge-.
Section 23 (a) (1) of the Internal Revenue Code authorizes a taxpayer to deduct from his gross income all the ordinary and necessary expenses paid or incurred during the taxable year in carrying on any trade or business. Petitioner contends that the expenses of $1,881 paid in connection with the libel suits were ordinary and necessary expenses of his law practice. Such expenses, he says, were “ordinary and necessary expenditures directly connected with or pertaining to” his trade or business, as set forth in section 29.23 (a)-l of Regulations 111.
The code expressions…
2Cases cited8 opinions
- Welch v. HelveringSupreme Court of the United States · 1933
- Deputy, Administratrix v. Du PontSupreme Court of the United States · 1940
- Commissioner v. HeiningerSupreme Court of the United States · 1943
- McDonald v. CommissionerSupreme Court of the United States · 1944
- Hochschild v. CommissionerUnited States Tax Court · 1946
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3Cited by16 opinions
- Threlkeld v. CommissionerUnited States Tax Court · 1986
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- Roemer v. CommissionerUnited States Tax Court · 1982
- Carey v. CommissionerUnited States Tax Court · 1971
- Rafter v. CommissionerUnited States Tax Court · 1973
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