Commissioner of Internal Revenue v. Estate of James S. Ogsbury, Deceased, Florence N. Ogsbury, and Florence N. Ogsbury, Surviving Wife

WATERMAN, Circuit Judge.

The Commissioner seeks reversal of a decision of the Tax Court, 28 T.C. 93, which set aside an income tax deficiency assessed by him against the taxpayer for the year 1948. The sole question thus presented is whether an employee received income in respect of a stock option granted him by his employer in the year that he exercised the option, 1945, or whether he received the income in a later year, 1948, when he paid for the stock and acquired title to it. For the reasons hereinafter stated we agree with the Tax Court that in the instant case the significant event…