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KARAN v. C. I. R.

Nos. 13980, 13981.

319 F.2d 303 (1963)

Max B. KARAN and Rita Karan, His Wife, Petitioners, v. COMMISSIONER OF INTERNAL REVENUE, Respondent. COMMISSIONER OF INTERNAL REVENUE, Petitioner, v. ESTATE of Leo MELNIK, Deceased, Samuel Goldenberg, Executor, Respondent.

United States Court of Appeals Seventh Circuit.

June 26, 1963.

Attorney(s) appearing for the Case

George J. Laikin, Samuel Goldenberg, Joseph I. Swietlik, Sherwin C. Peltin, Milwaukee, Wis., Laikin, Jacobson & Swietlik, Milwaukee, Wis., of counsel, for Karan and Melnik.

Louis F. Oberdorfer, Asst. Atty. Gen., William A. Geoghegan, Atty., Tax Division, Lee A. Jackson, David O. Walter, Arthur I. Gould, Attys., Dept. of Justice, Washington, D. C., for C. I. R.

Before KNOCH, CASTLE and KILEY, Circuit Judges.

KNOCH, Circuit Judge.

No. 13980. Petitioners Max B. Karan and Rita Karan, his wife,1 brought action in the United States Tax Court to overrule portions of deficiencies determined by the Commissioner of Internal Revenue, respondent, in the Karans' income taxes for the years 1954 through 1957. The petitioners had claimed, as deductions in their returns for the aforesaid years, sums paid to Leo Melnik2 in connection...

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