WAYNE TITLE & TRUST CO. v. COMMISSIONER OF INTERNAL REV.

No. 10541.

195 F.2d 401 (1952)

WAYNE TITLE & TRUST CO. v. COMMISSIONER OF INTERNAL REVENUE.

United States Court of Appeals Third Circuit.

Filed March 17, 1952.


Attorney(s) appearing for the Case

Charles S. Jacobs, Philadelphia, Pa. (William R. Spofford, Robert R. Batt, Philadelphia, Pa., Ballard, Spahr, Andrews & Ingersoll, Philadelphia, Pa., on the brief), for petitioner.

Harry Marselli, Washington, D. C. (Theron Lamar Caudle, Asst. Atty. Gen., Ellis N. Slack, Lee A. Jackson, Special Assts. to the Atty. Gen., on the brief), for respondent.

Before GOODRICH and HASTIE, Circuit Judges, and BURNS, District Judge.


HASTIE, Circuit Judge.

In issue here is the status for income tax purposes of a percentage of title insurance premiums received by the taxpayer, an insurer, and set aside by it during the taxable year in a "reinsurance reserve fund" in compliance with a state statute.

The taxpayer is a Pennsylvania corporation authorized to engage in a general banking, trust and title insurance business. A Pennsylvania statute regarding title insurance provides, among other...

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