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VETERANS FOUNDATION v. UNITED STATES

No. 6313.

281 F.2d 912 (1960)

VETERANS FOUNDATION, a non-profit corporation, Appellant, v. UNITED STATES of America, Appellee.

United States Court of Appeals Tenth Circuit.

August 12, 1960.

Attorney(s) appearing for the Case

Gaylen S. Young, Salt Lake City, Utah, for appellant.

Joseph Kovner, Washington, D. C. (Charles K. Rice, Asst. Atty. Gen., Lee A. Jackson, Harry Baum, and Norman H. Wolfe, Attys., Dept. of Justice, Washington, D. C., and A. Pratt Kesler, U. S. Atty., Salt Lake City, Utah, were with him on the brief), for appellee.

Before MURRAH, Chief Judge, and PHILLIPS and BREITENSTEIN, Circuit Judges.

BREITENSTEIN, Circuit Judge.

Claiming exemption from federal income tax as an organization for the promotion of social welfare within the purview of 26 U.S.C. § 501(c) (4),1 appellant-plaintiff, Veterans Foundation, sued to recover taxes paid by it. The trial court found that Veterans Foundation was organized for the primary purpose of carrying on a business for profit and, although under contractual arrangements it paid a percentage...

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