Pierce v. Commissioner
United States Board of Tax Appeals
Amounts paid by a member of a brokerage firm for the purpose of securing evidence with which to suppress bucket shops are deductible as an ordinary and necessary business expense.
1Opinion of the Court
*449OPINION.
Phillips:
Prior to the year 1922 petitioner was and still is a member of a firm of brokers doing a large business all over the United States, and in New York City in particular, in the sale and purchase of securities and commodities including cotton. There was in New York a concern known as the American Cotton and Grain Exchange, purporting to do business as a cotton and security exchange. The evidence discloses that it was in fact the harbor and refuge of a large number of bucket shops located in New York and other cities. Such establishments are illegitimate and tend to bring the…
2Cases cited1 opinion
- Kornhauser v. United StatesSupreme Court of the United States · 1928
3Cited by3 opinions
- McGee v. NeeCourt of Appeals for the Eighth Circuit · 1940
- Harding v. United StatesUnited States Court of Claims · 1953
- Pierce v. CommissionerUnited States Board of Tax Appeals · 1929